Luxembourg Clarifies GDPR Application to IAB Europe’s Online Advertising Model, Belgian Court of Appeal to Rule on Case

The Belgian Court of Appeal is set to rule on a case involving IAB Europe’s online advertising model after receiving clarification from Luxembourg regarding the General Data Protection Regulation (GDPR). The European Court of Justice (ECJ) clarified that IAB Europe’s advertising real-time bidding model, which uses personal data, falls under the GDPR.

IAB Europe, an association representing digital advertising and marketing companies, created a system where brokers and platforms bid for advertising space based on website users’ profiles in real time. However, the Belgian Data Protection Authority found that IAB Europe failed to provide users with precise information on the use of their data and ordered the company to establish a legal basis for data processing.

The ECJ’s clarification means that the case will now be referred back to the Belgian Court of Appeals for a ruling. This development comes as the European Commission plans to present a Cookie Pledge at its Consumer Summit in April, aiming to give users more control over the processing of their data.

The GDPR, which came into force in 2018, is set to undergo a review in mid-2024. The commission has also proposed new rules to improve cross-border cooperation between data protection authorities and strengthen enforcement of the GDPR. The highest fine for non-compliance with the GDPR was issued in Ireland, where Meta was ordered to pay a €1.2 billion fine for transferring data collected from Facebook users in the EU to the US.

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