EU Member States plan "digital expropriation" of Europeans in the interest of AI

A leaked Council proposal drafted under the Irish Presidency would amend EU law (Article 88c/88bis) to make virtually any use of personal data “in the context of AI” automatically lawful, prioritizing the commercial interests of AI firms such as OpenAI, Google, Meta and others over data protection. Backed by several member states including Germany and advanced through a fast-track process without a fundamental-rights assessment, the draft presumes “legitimate interest” for AI training and use, removes the need for consent, and would permit AI companies to reuse decades-old or non-customer data with few practical limits. Advocates call it a sweeping liberalization; critics call it “digital expropriation,” arguing it hands a blanket license to Big Tech and undermines longstanding European privacy guarantees.

The proposal also narrows what counts as personal data via expanded pseudonymization, allows companies’ internal capabilities to influence GDPR applicability, and bars rights where requests are deemed “abusive,” creating subjective, company-driven loopholes that cripple enforcement. It would legalize previously illegal processing if performed with AI - from targeted advertising to manipulation, deepfakes or violent applications - and effectively funnel European data and know‑how to US and Chinese providers, weakening EU competitors. The Commission has shifted toward industry-friendly positions, the Parliament is divided, and opponents say only the Court of Justice could plausibly overturn such an extreme law, though that would leave prolonged legal uncertainty.