We have seen a broad acceptance that data is invaluable business asset and often derives value from sharing and combining it with other data. There is no doubt that many of today’s successful companies (including those from IMT sector such as smart factories) are based on data-driven business models. Trend shows that, across sectors, businesses are under pressure to leverage or monetize data. Monetizing data can be done in different ways, such as personalizing products or services, making manufacturing or logistic processes more efficient, automating tasks and operations, engaging in targeted advertising and improving internal systems, just to name a few. Therefore, possibilities seem limitless and businesses are becoming ever more sophisticated and creative in deriving value from data.

When it comes to regulatory issues, what can be unfolded? Simply speaking, we are seeing regulatory challenges around the world.

First, in parallel with the rise of data and digital economy, in recent years, we have seen a rise of laws and regulations around the world focused on the protection of the personal data of individuals. 

Second, around the world, countries are deploying or reforming comprehensive data privacy and security regimes resulting in a constantly evolving compliance landscape and issue.

  • Singapore was one of the first countries to impose regulations on data with personal data with its Personal Data Protection Act in 2012.
  • The UK's Open Banking initiative required the UK's 9 leading retail banks to enable customers to access their own data and, with the customer's consent, share it with authorized third parties. 
  • The EU regulation, PSD2, introduced in 2018, imposed similar data sharing requirement.
  • Following EU's General Data Protection Regulations in 2016, Vietnam recently released the draft Personal Data Protection Decree. Important comments from the stakeholders are expected to submit to the drafting team as soon as possible.

Last but not least, local regulators are becoming tougher on businesses with noncompliant data management practices, and fines are increasing to levels that can be hurt. This poses a real challenge for various sectors including IMT businesses in 2021 and beyond.