What is GDPR Compliance?
The General Data Protection Regulation (GDPR) is the EU's comprehensive data privacy law that governs how organizations collect, store, process, and share personal data of EU residents.
The General Data Protection Regulation (GDPR) is the EU's comprehensive data privacy law that governs how organizations collect, store, process, and share personal data of EU residents. It applies to any organization worldwide that processes EU residents' data.
Key GDPR requirements: lawful basis for processing (consent, legitimate interest, contract), data minimization (collect only what you need), right to access (users can request their data), right to deletion (users can request erasure), data portability (users can export their data), breach notification (72-hour reporting requirement), and Data Protection Impact Assessments (DPIAs for high-risk processing).
GDPR penalties: up to €20 million or 4% of annual global revenue, whichever is higher. Major fines include: Meta (€1.2B), Amazon (€746M), and Google (€150M).
For product teams, GDPR affects: data collection (consent flows), analytics (anonymization requirements), AI training (data usage restrictions), and feature design (privacy by design principle).
Why It Matters
GDPR compliance is a legal requirement for any company serving EU customers. Non-compliance carries fines up to 4% of global revenue. Beyond legal risk, GDPR compliance is increasingly expected by customers as a trust signal.
Frequently Asked Questions
What is GDPR?
The EU General Data Protection Regulation governing how organizations handle personal data of EU residents. It applies worldwide to any company processing EU data.
Does GDPR apply to US companies?
Yes, if you process data of EU residents — including website visitors. If EU users can access your service, GDPR likely applies.
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Richard Ewing is a Product Economist and AI Capital Auditor. He helps companies translate technical complexity into financial clarity.
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