bbieron@platformeconomyinsights.com

EU Commission Releases “Digital Omnibus” to Boost European AI and Tech

Nov 1, 2025

Report from Reuters

In Brief – The EU Commission has announced proposals dubbed the “Digital Omnibus” aimed at simplifying AI and privacy regulations to promote European digital innovation and boost efforts to claw back ground against tech dominance by the US and China. Digital package highlights include delaying, from August 2026 to December 2027, the implementation of AI Act rules applied to “high risk” AI services such as healthcare and credit worthiness, exempting companies from registering AI systems in a database of high-risk systems if the tech is only used for narrow or procedural tasks, amending EU data privacy rules to ease the ability of companies to train AI models on European user data, and change the rules applying to online cookies to address so-called “cookie fatigue”.  The proposal to clarify when user data stops being “personal” under the landmark GDPR privacy law to ease the ability of companies to use anonymous information from EU citizens for AI training drew condemnation from privacy advocates and other Big Tech critics. The commission proposals need to be approved by EU countries and the European Parliament before implementation. Henna Virkkunen, the lead EU Commissioner on tech policy, said Europe had fallen behind on technology and innovation and that objections from some that the plan is “not enough” and others that “there’s too much” shows that it is “a balanced package”.

Context – While increasingly vocal concerns over European Digital Sovereignty extend far beyond AI, the AI Act is a striking example of EU leading on regulation not innovation. In response, the Commission released an “AI Continent Action Plan” in April and two more AI initiatives in October. A recently leaked draft of the Digital Omnibus caused privacy advocates to react with alarm and charge that changes to the GDPR threatened people’s fundamental right to privacy, while privacy campaigner Max Schrems called the public unveiling a “panic reaction” by the European Commission and a giveaway to US tech giants, saying the changes mean that, “all your data is shoved into the algorithms of Meta, Google or Amazon.”

View By Monthly
Latest Blog
Italy’s Competition Authority Opens DMA Probe of Apple Cloud Policies

Report from EU Today In Brief – Italy’s competition authority has announced an investigation into whether Apple is complying with interoperability requirements of Article 6 the EU’s Digital Markets Act (DMA), marking the national regulator’s first probe under the...

Coupang Issued Record $410 Million Data Breach Fine in South Korea

Report from the Wall Street Journal In Brief – South Korea's Personal Information Protection Commission (PIPC), the country’s data protection authority, has imposed a record 624.7 billion won ($410 million) fine on ecommerce giant Coupang, often referred to as Korea’s...

Florida Sues TikTok Under Law Regulating Social Media for Young Teens

Report from Politico In Brief – Florida’s Attorney General James Uthmeier (R), who has staked out a reputation as an aggressive conservative critic of digital platforms, has sued TikTok alleging that the platform deceived parents, exposed minors to harmful content,...

Ohio Court Rejects Argument that Google Search is a Common Carrier

Report from MediaPost In Brief – An Ohio appeals court has thoroughly rejected former Ohio Attorney General David Yost’s effort to revive a lawsuit seeking to classify Google as a common carrier and subject its search engine to state regulation. The case, initiated in...

UK Announces Plan for Social Media Age Limit and Restrictions

Report from Reuters In Brief – UK Prime Minister Keir Starmer has announced plans to ban social media use for children under 16 and impose new restrictions on gaming and livestreaming platforms, which could include overnight curfews and restrictions on infinite...

Platform Economy Insights produces a short email four times a week that reviews two top stories with concise analysis. It is the best way to keep on top of the news you should know. Sign up for this free email here.

* indicates required