The arrival of the Internet has transformed the way we communicate and share information. As consumer data has evolved and online transactions have become the norm, capturing customer information becomes increasingly more accessible. But this comes with increased risk of data security.
In 2018 alone, there were over 4.5 billion data breaches worldwide. That’s over 7 million data records compromised daily, or 56 data records compromised every second. In Australia, it was recently revealed that the Commonwealth Bank had been using data unethically, and collecting fees from customers it knew had passed away. In another incident, it lost the bank records of almost 20 million Australians. This increased the demands for stricter, more identifiable rules about personal data.
Before 2018, there were multiple newsworthy breaches that made the headlines:
The real watershed case, though, was the Facebook–Cambridge Analytica data scandal, which caused a public outcry. It was discovered that Cambridge Analytica, a British political consulting firm, had harvested the personal data from millions of Facebook users without their consent. National governments demanded answers and the public called for new laws to protect themselves.
What came out of all of these data scandals was simple: companies were too lax about security. Worse, they weren’t being transparent with users about how, why, and where they were using their data. Users were being left in the dark, and made to feel as though their valuable data was being stolen and manipulated.
As these issues have come to light, the Australian government has moved to protect consumer rights. New legislation is being rolled out that expands data privacy and consumer consent, under the Consumer Data Right.
To learn more about Consumer Data Rights, download our free whitepaper here.