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News from Brussels
Negotiators from the European Parliament and the Council of the EU reached an agreement last night on the Data Act legislation, which will regulate how data generated by connected objects can be accessed and shared.
Automotive technology is rapidly advancing, with vehicles generating and collecting ever greater quantities of data to operate and monitor systems. This data offers a huge potential to improve and develop new services for the benefit of consumers. However, automotive suppliers and other third-party service providers currently rely on the willingness and conditions of a limited group of market players to provide access to this data. Such a level of control on the market carries the risk of creating “gatekeepers,” with a detrimental effect on fair competition, innovation, and consumer choice. Both personal cars and commercial trucks are affected by this issue.
CLEPA, the European Association of Automotive Suppliers, welcomes the conclusion of the negotiations on the Data Act. The final agreement has yet to be reviewed in detail to assess the latest changes. Overall, CLEPA expects this horizontal legislation will be an important first step towards improving the situation by ensuring that third-parties can provide innovative services to the end user. Moreover, the association welcomes that this legislative text puts the consumer at the centre and imposes obligations on data holders.
Nevertheless, the Data Act alone will be insufficient to fully address the complexities of the deployment of data-based services in the automotive sector. Therefore, we strongly advocate for the swift publication of the proposal for a complementing sector-specific regulation, which is currently being drafted by the European Commission and has been publicly confirmed. The Parliament and Council made the Data Act a priority and managed to conclude complex discussions in a very short time period. We now call on the Commission to dedicate the same effort towards the sector-specific legislation and publish its proposal by the end of the summer.
“A prompt publication of the sector-specific proposal on access to in-vehicle data, functions, and resources by the Commission will contribute to improving competition, boosting innovation capabilities of thousands of automotive supply companies, and will protect consumer rights and choice,” says CLEPA’s Secretary General Benjamin Krieger. “The technical work and discussions behind this legislation have been going on for years. It is now time for the proposal to be finalised and published.”
Earlier in 2023, CLEPA published a position paper looking at the complexities of vehicle data services in the European mobility ecosystem. You can read it here.