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While Facebook CEO Mark Zuckerberg forsook his trademark hoodie sweatshirt to testify before Congress earlier this week, the overall impression was left as Facebook shares staged a 5% relief rally that Congress is not yet coming to grips in an organized way as to how best to go about regulating social media to ensure data privacy. Questions have been raised as to whether the numerous issues that need to addressed following the Cambridge Analytica 2016 election data sharing scandal are something that Congress has the political will to address. To this end, while it may be on some level satisfying to witness Zuckerberg sweating under the kleig lights, we are left with the view that while Congress will ultimately act to impose greater regulatory oversight on social media the hope that data privacy can be secured is a fanciful one. The technology infrastructure on which the internet operates is too porous or otherwise compromised to allow the data that has already been gathered to be fully expunged. There is no putting the genie back in the bottle. If we are active on today’s internet, we must accept that we are exposed in plain sight. Despite the dire prospects, bear in mind that Facebook still faces fines from its violation of its 2011 FTC consent decree that are likely to run in excess of $2bn. Zuckerberg may be out from under the lights, but Facebook and the social media sector are by no means out of the woods or, in DC parlance, the swamp.
The EU General Data Protection Regulation (GDPR, in force as of 5/25/18) Will Cover The World’s Largest Developed Economy Market – A Template
As discouraging as this may sound, there are significant legal jurisdictions where data privacy is considered a fundamental human right as embodied in the EU’s Charter of Fundamental Rights wherein citizens have the right to have their data processed fairly, to know what data an organization holds about them and what it is doing with those data. The EU is putting into force its General Data Protection Regulation (GDPR) on May 25th and in doing so will establish standards for data privacy that will impact all firms dealing with the data of EU citizens. As the EU is the largest single unified market in the developed world, the GDPR will set a standard that very likely all companies will have to meet. However, as the GDPR has 99 articles and 173 preliminary comments, it is arguably the most complex regulation the EU has ever produced and as such will pose a daunting task for companies to interpret and implement. Important to note that compliance will be important as failure to do so could risk fines of up to 4% of a company’s global revenues. As such, the GDPR has teeth. In the process, companies are likely to rely increasingly on third-party vendors (think IBM and other IT outsourcers) to both structure and maintain data storage and management operations. To this end, as data management undergoes a restructuring in response to regulatory regime change, there is an opportunity for new vendors with new technology standards to emerge and prosper.
Developing Technology Products To Ensure GDPR Compliance And Greater Security – Quantum1Net (Q1N)
As it has been working on developing more secure technology incorporating quantum encryption and distributed peer-to-peer networking, Q1N is deploying a quantum encrypted peer-to-peer messaging & file transfer application, Teleporter(TM) that is GDPR compliant. The company has been working over the past year with clients in Europe such as law firms and other professional services organizations to have a product to which they can transfer their activities with the May 2018 implementation of GDPR. Q1N will also have a digital privacy network (DPN) that will operate on a distributed computing platform which will represent a material upgrade to existing virtual private networks (VPN). With GDPR, there is the opportunity to develop and deploy a new layer atop the existing internet that will incorporate quantum encryption and distributed computing which will offer meaningful enhancements to both data security and data privacy. Q1N is pioneering these efforts with products that both enterprises and consumers can adopt now.
For more information, please find below:
1) On the product front, here is the 4/3/18 press release announcing alpha test availability of Teleporter, Q1N’s quantum encrypted peer-to-peer messaging & file transfer application,
2) Github link providing more materials on Q1N platform, revenue nodes, product description,
3) The Yellow Paper discussing Q1N technologies, and
4) On the risk quantum computing poses to Bitcoin and blockchain, you may find this National Review article published Wed 2/28/18 of interest.