China’s new data privacy laws push large technology firms

Privacy laws usually dictate how organizations use technology. Unlike the European General Data Protection Regulation (GDPR), countries in the Asia-Pacific region have their own rules that apply to different industries.

According to the GDPR, some countries have also formulated extremely strict data laws. And this is where the difficulties arise. Most large technology companies hope to have a strong influence in the region.

However, with the tightening of privacy laws, most of Hong Kong, which is the center of most of these companies in the Asia-Pacific region, faces major changes in the technological landscape. China has plans to amend its laws to include confidentiality.

Reuters, Facebook, Google, and Twitter are some companies that may fail in the region. If officials change privacy laws, make these tech giants responsible for human activities.

According to reports, the Asian Internet Alliance, which includes the aforementioned three technology companies, said that changes in the law might affect freedom of speech. The coalition called on Hong Kong to reduce violations.

New data privacy laws

Although data protection laws are generally used to protect consumer privacy, people are concerned about freedom of speech and unregulated Internet access. For example, in China, you cannot access Google and Facebook.

Facebook, Google, and Twitter are relocating their activities to regions outside of Hong Kong, and Southeast Asia (SEA) may be the most suitable region for relocation.

Singapore, which already has a strong data protection law, is already a recognized technology center in the island country. These companies also have regional offices there. The data center is an important infrastructure that enables technology providers to meet their needs.

As the economy grows, it also owns most of the technology users in the region. Local data protection laws ensure that these companies building infrastructure locally comply with all applicable rules and regulations. However, in Indonesia, data transmission rules are not clear. Although data cannot be exported, it must be analyzed and stored locally.

A large technology company

Amazon Web Services (AWS), Alibaba, Google, and other companies have invested in data centers in the region to meet these needs. These members meet the ever-increasing technical requirements and ensure compliance with all data protection and compliance rules of the governments of their countries/regions. It will open the first data center for its cloud services in the Philippines.

Small and medium enterprises (SME). The US$1 billion fund aims to cultivate start-ups and technical talents in the Asia-Pacific region. In Malaysia, Alibaba also plans to build an international innovation center as a unique platform for innovation. Back to data protection: Countries like the Philippines and Malaysia still do not have strict data protection laws.

There are still loopholes that need to be addressed in protecting user data. Southeast Asia still has a lot of work to do in complying with appropriate privacy and security laws, but they are moving in the right direction. And laws provide strong data protection, and they must also be appropriate, not too strict.

If data protection laws are not good for international companies, they may want to work elsewhere. But local companies, especially small and medium-sized enterprises, may not be able to do so.


Image courtesy of Absolute/YouTube

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