China’s sweeping Personal Information Protection Law to come into effect on November 1
- The law, one of the world’s toughest on personal data security, will make it harder and costlier for tech firms in China to access and use consumer information
- The full text of the final law has not been released, but Xinhua reported that it would empower users to turn off targeted advertising
China’s legislature has officially passed the Personal Information Protection Law (PIPL), placing legal restrictions on how personal data can be collected, used and managed after it comes into effect on November 1.
The law, one of the world’s toughest on personal data security, is set to make it significantly harder and more expensive for tech firms in China to access and use consumer information, with a far-reaching impact that is being compared with the implementation of the General Data Protection Regulation in the European Union.
According to Xinhua, the law aims to protect privacy by offering individuals the legal right to say “no” to excessive data collection by business entities and even certain government agencies.
The full text of the final version has not been released, but Xinhua reported that it would empower users to turn off targeted advertising.
The law also states that companies need to obtain individual consent to obtain sensitive personal information such as biometrics, medical health, financial accounts, and location. For platforms that illegally collect personal information, regulators can suspend or terminate the provision of their services.
The newly passed legislation, along with the Data Security Law which goes into effect next month, is expected to put an end to the Wild West era for China’s Big Tech companies, in which they have largely had a free hand in how they collect and use consumer data.