Data Act: Fast Track Instead of Speed Bump
The Data Act will significantly shake up the market for connected products. But what does this mean for your compliance? And what new opportunities does the Data Act open up for your business model? We analyze where you need to act and show you how to fully leverage the advantages of the new framework - such as in your product development. Gain a valuable head start and contact us for an initial consultation! Also, take a look at our references.
Find out more!Over 25 Years of Experience
Implementing regulatory frameworks in complex industries:
- TARGET2-Securities (T2S) Implementation for a Swiss Financial Institution
- syracom's project contribution: Preliminary analysis, high-level design, detailed business analysis, system adjustments, coordination, implementation planning, and execution.
Replacing an IoT Product?
Is adapting your IoT product to meet the requirements of the Data Act not economically viable? We’ll support you in phasing it out.
- 2022: Managed the controlled wind-down of the direct banking operations of a European cooperative bank.
- syracom’s role: Project management support in the Execution Project Team throughout the entire project lifecycle. Provided structured analyses and expert knowledge to ensure seamless customer offboarding and the decommissioning of all IT systems and interfaces.
You bring your business goals and challenges related to IoT or data-driven product development.
We bring the business and technical expertise around the Data Act.
Together, we unlock the potential of the new data era!
![[Translate to English:] Data Act: Pflichten, Chancen und Risiken](/fileadmin/_processed_/5/6/csm_Branchen_Digitalisierung_3ff00290e6.jpg "[Translate to English:] istock.com/gremlin")
Opportunities and Risks of the Data Act for IoT Providers
The requirements of the Data Act must be implemented by September 2025. It affects companies offering or distributing connected products and associated services - ranging from fitness trackers to cars, from industrial IoT devices to smart home applications. Essentially, any situation where products collect and exchange data and are, for example, logged in with a provider.
What does this mean for you? In short: You must make the data generated by your products accessible to your customers and to other companies - but you also gain the right to access data from other companies.
This leads to significant compliance risks, but also great opportunities:
- Non-compliance risks: Sanctions (up to 4% of annual turnover), Loss of reputation, Missed business opportunities, Competitive disadvantages
- Early compliance and strategic use benefits: Advancement of your own products, Innovation through access to other companies' data, Monetization of your own data
Are you affected by the new regulations? Our recommendation: Take the Data Act requirements into account now when developing new connected products and associated services (IoT). This is the only way to avoid significant last-minute effort and potentially harsh penalties.
Above all, it will give you a competitive edge: The Data Act will create momentum - especially for business models and services that rely heavily on data. It explicitly aims to support small and medium-sized enterprises (SMEs) by granting them access to data previously reserved for larger corporations.
We provide tailored, expert advice to help you meet the Data Act requirements with confidence. And we move you forward: Link your business models with new opportunities.
Your advantage with syracom: Quickly and securely in the Data Act fast lane.
If You Are Affected by the Data Act (Data Holder)
- Gain transparency about your rights and obligations under the Data Act
- Ensure appropriate protection of data related to trade secrets despite the more open nature of the Data Act
- Adapt your products in a timely manner to enable data sharing and avoid sanctions
- Monetize the effort required for data sharing - including a profit margin - as effectively as possible
Our services - your advantage:
Gap Analysis
We determine the extent to which your existing or future IoT products comply with the requirements of the Data Act, identify gaps, and propose possible measures to close them.
Technical Product Adaptation
If legal exemptions to avoid direct data provision are not applicable, we show you how to technically adapt your products to ensure a secure interface.
Consulting on Data Provision
The Data Act allows companies to be compensated for the effort involved in providing data to other businesses, including a profit margin. We guide you in achieving the best possible margins!
Consulting on Contract Design
We advise you on the necessary contract adjustments with your end customers (users) and ensure you fulfill your information obligations and avoid severe sanctions.
Identification of Relevant Data
To enable the procurement of high-quality data for your data-driven product development, we work with you to develop tailored strategies for optimal use of the Data Act.
Procurement and Use of Relevant Data
We not only show you where and how to obtain the right data—we also ensure that you comply with the Data Act requirements. After all, there are extensive provisions regarding data usage and the data lifecycle that significantly impact how data can be utilized.
The impact of the Data Act
What companies and users need to know now.
- Usage Rights: Users have rights to the data generated by IoT devices
- Information Obligations: Users must be provided with extensive information throughout the product lifecycle
- Data Provision: Obligations to provide data to users, authorities, and third-party companies—ideally in real time
- Contractual Clauses: Prohibition of certain abusive clauses towards users and third-party companies
- Switching Services: Regulations to facilitate switching between data processing services for easier provider changes
- Opportunities through the Data Act: Monetization of data sharing and data-driven product development
- Sanctions: In the event of violations, bans on data processing and fines of up to €20 million or 4% of annual turnover may be imposed
Interested?
Talk to us.
Katharina Siemund
Product Line Manager
Governance, Risk & Compliance / IT Security
Talk to us.
Katharina Siemund
Product Line Manager
Governance, Risk & Compliance / IT Security