Recommendations for driving the transatlantic economy

The global economy cannot function without constant cross-border data flows, which have also proved to be a source of innovation and competitive advantages across all sectors. Global companies depend on their communications networks in order to provide services for their customers, carry out production activities, supervise their internal operations and manage their global supply chains.

On October 6th of this year, the Court of Justice of the European Union (CJEU) delivered a major blow to cross-border data flows by invalidating the Safe Harbor agreement, approved by the European Commission (EC) in 2000 –Decision 520/2000/EC– and which facilitated personal data transfer from EU member countries to the United States. The ruling of the High Court seeks to defend the content in the directive 95/46/EC on privacy for European citizens, but also creates uncertainty for the business sector that frequently uses international data transfer as an essential tool.

Up until October of this year, more than 4,000 European and U.S. organizations had adhered to the Safe Harbor agreement for cross-border data transfers.