Data Is the New Currency

As data is becoming the new currency, the privacy and ownership of personal data are undergoing major transformations. The new European regulation regarding data protection (GDPR) is promising to put individuals back in control of their personal data and unify data protection and privacy laws, while amending business practices and the way companies interact with customers and promise traceable, monitored access to personal data.

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Multinational corporations are coming under attack for privacy violation. Tech giants like Google and Facebook and their social media subsidiaries are being slapped with fines in various parts of the world. Companies are going to have to reinvent themselves to deal with the potential loss of revenues stemming from data monetization. They will have to review data flow on an ongoing basis, depending on artificial intelligence-enabled solutions for automatic and seamless performance. Consumer needs differ depending on age: seniors in the developed world, who hold the greatest financial power today, are experiencing loss of trust and as a result are voting with their pockets. Meanwhile, tech-savvy millennials, often seen as sharing anything online, know how to retain control of their own data. They demand ownership of their personal data and potentially the right to be compensated for any use of it.

The amount of data will continue to increase exponentially in every sector of the economy. Autonomous cars will store data far beyond destination-related information. Smart speakers already installed in 50% of homes in the US are tracking conversations. Israeli technological innovation is thriving in the field of data management and access solutions, with companies like PlainID Ltd., BioCatch Ltd., and Octopai B.I. Ltd. focusing on this vertical. The paradigm shift in the amount and the use of information will lead to innovative solutions, and Israel is well poised for an active role in shaping this new reality.

Mor Assia is a founding Partner and Co-CEO of Tel Aviv-based venture capital firm iAngels Crowd Ltd. She took part in the opening of the Israeli Innovation Center at the Peres Center for Peace and Innovation, on October 25 during the Israeli Innovation Summit held under the auspices of the Israeli Prime Minister.