🔒 Privacy at Stake: The Future Depends on Us (not USA)
Privacy as a Driver of Innovation and Sustainable Growth
Data protection has been treated as a regulatory challenge, but the truth is that it is an essential issue for economic and technological development1. Countries that invest in good privacy practices create more trustworthy markets, drive digital innovation, and foster inclusion. However, the global reality remains uneven: while some nations advance with robust regulations, others remain in a gray area, where the lack of clear rules creates room for violations and systemic risks. See the map below.
Of course, if we consider regional laws in the U.S., the map would look slightly different. However, from a federal perspective, one of the world's largest economies lacking a specific data protection law (and with no positive prospects in sight) is a risk.
The United States has a fragmented approach to privacy, which creates a global ripple effect. Unlike Europe, which established the GDPR as a standard—even in the post-Brexit UK and countries like Switzerland—the U.S. still operates with sectoral and state-level laws, creating a confusing landscape full of loopholes. The Schrems II2 case exposed this weakness by invalidating the Privacy Shield, revealing how U.S. mass surveillance is incompatible with European rights. In the end, this impacts the entire digital market. American companies that rely on data flows with Europe face legal uncertainty, while big techs continue to push for makeshift agreements.
On the IAPP3 website, you can track the progress of regional privacy laws in the United States, as shown below. Once all states have a privacy law, could we consider that the country as a whole has a unified privacy framework—where the common points across all state laws form the core, and the differences are seen as extensions or local interpretations of data protection aspects?
I’m not sure.
For now, at the current pace, the U.S. risks falling behind in a world where trust and transparency are no longer optional.
Companies that see privacy as an obstacle are missing the opportunity to position themselves as leaders in an ethical and sustainable digital future. The mass collection of data without transparency is no longer a viable model, and consumers and investors now demand accountability and security.
Compliance programs are not just shields against fines; they are competitive advantages. Those who view privacy as a strategic factor gain credibility, reduce risks, and open doors to new markets.
If digital development continues without a solid commitment to data protection, the cost to society will be high. Algorithmic discrimination, excessive surveillance, and digital exclusion are real risks in a world where privacy is treated as a bargaining chip. To change this scenario, governments and companies must align economic growth with fundamental rights and freedoms, ensuring that innovation does not come at the expense of individual liberty.
https://blogs.worldbank.org/en/digital-development/data-protection-in-development--where-are-we-headed--
https://www.europarl.europa.eu/RegData/etudes/ATAG/2020/652073/EPRS_ATA(2020)652073_EN.pdf
https://iapp.org/resources/article/us-state-privacy-legislation-tracker/