As we progress through 2025, data privacy laws are surging in number and scale.
Approximately 70% of nations have enacted national data privacy legislation, covering nearly 80% of the world’s population. In the United States, the absence of a federal privacy law has led to an abundance of state-level regulations, with over 20 states implementing their own privacy laws. Along with this surge in data privacy laws, key trends are shaping the landscape.
In honor of Data Privacy Week 2025, learn key data privacy trends and understand high-level strategies for addressing them.
Trend #1: Integration of AI in Data Privacy
AI-driven tools have the capability to not only enable organizations to increase efficiency and output but to also enhance data protection by identifying and mitigating privacy risks in real-time. Nevertheless, the rapid adoption of AI technologies has increased the need for governance, security and privacy measures. As such, the introduction of specific regulations, such as the EU’s AI Act and Colorado’s AI Act, have come to fruition to address associated AI privacy concerns.
Trend #2: Consumer-Centric Privacy Approaches
Consumers are demanding greater control over their personal data, leading businesses to implement more transparent and user-friendly privacy practices. This shift includes providing clear privacy policies, easy-to-use consent management tools, and options for users to access, modify or delete their data, thereby building trust while aligning their compliance initiatives with privacy regulations.
Trend #3: Data Localization and Sovereignty
Countries are increasingly enacting laws that require data generated within their borders to be stored and processed locally. This trend aims to enhance data security and protect national interests but presents challenges for multinational organizations in terms of compliance and operational efficiency.
Now that you’re informed of key high-level, emerging data privacy trends, let’s explore your options to stay ahead, ensuring you’re prepared to navigate the evolving landscape effectively.
To address some of the emerging data privacy trends in 2025, organizations can adopt a proactive and strategic approach by focusing on the following actions:
1. Integration Privacy with AI and Cybersecurity
- AI Risk Management: Build internal AI governance policies to ensure ethical and privacy-compliant AI usage.
- Privacy-by-Design in AI: Ensure AI tools are designed with built-in privacy controls, such as anonymization.
- Collaborate Across Functions: Foster collaboration between privacy, AI and cybersecurity teams to address overlapping risks.
2. Foster Consumer Trust Through Transparency
- Clear Communication: Draft concise, easy-to-understand privacy notices and terms.
- User-Centric Privacy Features: Provide intuitive mechanisms for users to control their data, including consent management, opt-out options and data deletion requests.
- Proactive Engagement: Communicate how data is used in a way that builds trust and showcases responsible data practices.
3. Address Data Localization Challenges
- Cloud-Based Solutions: Partner with cloud providers that comply with local data storage regulations while enabling global operations.
- Local Expertise: Work with regional experts or hire compliance professionals familiar with local privacy laws.
- Data Sovereignty Strategy: Develop a strategy for managing data flows across borders, including encryption and secure data transfer protocols.
4. Leverage Privacy Technology
- Automation and AI for Privacy: Adopt AI-driven tools for monitoring privacy risks, automating compliance workflows and detecting data breaches.
- Privacy Impact Assessments (PIAs): Regularly conduct PIAs for new operational or technology initiatives to evaluate potential privacy and compliance risks.
- Data Discovery and Classification: Use tools to identify and classify sensitive data across the organization for better governance.
5. Build an Organizational Privacy Culture
- Leadership Commitment: Ensure leadership visibly supports privacy initiatives as a core business value.
- Employee Training: Regularly educate employees about privacy policies, regulatory changes and the importance of data security.
- Ethical Data Practices: Foster an internal culture that prioritizes responsible data usage and consumer trust.
6. Stay Agile and Proactive
- Regular Audits: Conduct frequent privacy audits to identify gaps and areas of improvement.
- Participate in Industry Alliances: Engage in forums or industry groups focused on privacy to stay ahead of emerging trends.
- Prepare for Future Regulations: Invest in adaptable systems and processes that can easily incorporate new compliance requirements.
By aligning these strategies with overall business objectives, organizations can address privacy trends effectively and gain a competitive edge by demonstrating leadership in responsible data practices.
Have a data privacy question or concern? Contact us to help you assess and enhance your privacy and security posture through a tailored assessment specific to your needs.
About Data Privacy Week
As recognized by the National Cybersecurity Alliance (NCA), Data Privacy Week is an international effort to empower individuals and organizations to respect privacy, safeguard data and enable trust. Check out the resources on the Data Privacy Week website to learn ways to more effectively manage your personal information and understand, from an organizational perspective, why it is important to respect user data.
About IT Risk Advisory
Schneider Downs’ team of experienced risk advisory professionals focus on collaborating with your organization to identify and effectively mitigate risks. Our goal is to understand not only the risks related to potential loss to the organization, but to drive solutions that add value to your organization and advise on opportunities to ensure minimal disruption to your business.
To learn more, visit our dedicated IT Risk Advisory page.
