EU Digital Deregulation Sparks Privacy and Consumer Rights Concerns

EU's Digital Omnibus: Simplification or Setback for Privacy?

The European Commission has unveiled its ambitious Digital Omnibus proposal, aiming to simplify the bloc's digital regulations and boost competitiveness. However, this sweeping deregulation initiative has triggered alarm among privacy advocates and consumer protection groups who fear it could undermine fundamental digital rights.

What's in the Digital Omnibus Package?

The proposal, presented on November 19, 2025, targets significant reductions in administrative burdens - at least 25% overall and 35% for small and medium-sized enterprises by 2029. The package focuses on three key areas: data protection reforms, cybersecurity adjustments, and modifications to the Artificial Intelligence Act.

EU Economy Commissioner Valdis Dombrovskis emphasized the economic rationale behind the changes: 'By simplifying rules, reducing administrative burdens, and introducing more flexible and proportionate rules, we will continue delivering on our commitment to give EU businesses more space to innovate and grow.'

Cookie Consent Revolution

One of the most visible changes concerns GDPR cookie rules. The Commission proposes to reduce the frequency of cookie consent banners while browsing and allow users to save their cookie preferences with a single click through browser settings. While this might improve user experience, critics worry about the implications for privacy control.

Henna Virkkunen, Vice-President of the Commission responsible for digital affairs, defended the approach: 'Our rules should not be a burden, but an added value. For this, we need immediate steps to get rid of regulatory clutter.'

AI Act Delays and Data Training Concerns

The proposal extends compliance deadlines for high-risk AI systems under the AI Act until the end of 2027, even though the legislation only became fully applicable in August 2026. More controversially, it introduces a new legal basis for using personal data to train AI models through 'legitimate interest' provisions, potentially allowing companies to process user data without explicit consent.

Italian MEP Brando Benifei, who served as rapporteur for the AI Act, expressed serious concerns: 'Some of the proposed changes to the law could end up being a huge favour to big tech.'

Civil Society Backlash

More than 120 civil society organizations have signed an open letter warning that the proposals represent 'the biggest rollback of digital fundamental rights in EU history.' Austrian data protection activist Max Schrems was even more direct, calling it 'the biggest attack on Europeans' digital rights in years.'

The criticism extends to the legislative process itself. According to noyb's analysis, the reforms appear driven by corporate lobbying rather than citizen interests, with industry actors having greater access during the drafting phase.

Political Support and Opposition

The proposal has received support from key European leaders. German Chancellor Friedrich Merz and French President Emmanuel Macron recently called for less stringency in digital regulations during a Berlin summit on digital sovereignty. Slovenia's Digital Transformation Minister Ksenija Klampfer argued that 'only with clear standards, smart investments, and effective protection of citizens will we ensure true digital sovereignty.'

However, former EU Internal Market Commissioner Thierry Breton, architect of the AI Act, accused Washington of being behind attempts to dismantle EU digital laws, warning: 'Let's not be useful idiots.'

Big Tech Context

The deregulation push comes amid ongoing tensions between Brussels and major tech companies. The EU has imposed significant fines on tech giants in recent years, including 500 million euros on Apple and 200 million euros on Meta for DMA violations earlier this year. Google has faced multiple antitrust fines totaling billions of euros since 2017.

These companies have repeatedly complained that EU regulations are too restrictive and anti-competitive. The Digital Omnibus represents a potential shift in this dynamic, though Commissioner Virkkunen insists that 'simplification does not mean softening our safeguards. We stand firmly behind our high standards for privacy, fairness and security.'

What's Next?

The Commission must now discuss the proposal with the European Parliament and Council. The coming months will determine whether Europe's attempt at regulatory simplification strengthens its digital sovereignty, fuels tensions with global tech giants, or represents a significant retreat from its position as a global standard-setter for digital rights.

As Bulgarian MEP Eva Maydell noted: 'Europe cannot afford a digital rulebook that drains time, talent, and opportunity. The Digital Omnibus is our chance to make laws work like a jigsaw: efficient, consistent, and agile.' The question remains whether this puzzle will protect citizens' rights or create dangerous gaps in digital protection.