On 12 September, the European Union’s Data Act officially entered into application – an important milestone for Europe’s digital transition and for data access in the automotive sector.
While the Data Act holds great promise for European businesses and industry, its true impact will strongly depend on how effectively it is implemented and enforced.
At its core, the Data Act empowers users of connected devices with rights over the data they generate. It mandates that this data can be shared with third parties of the user’s choice and obliges data holders to make information accessible and transparent.
This legislation marks a step forward for the automotive aftermarket, as it establishes a horizontal framework to address long-standing barriers to fair access to vehicle-generated data.
FIGIEFA, together with a coalition of automotive aftermarket stakeholders known as the Independent Service Providers (ISP) group, has welcomed the Data Act’s application.
This legislation marks a step forward for the automotive aftermarket, as it establishes a horizontal framework to address long-standing barriers to fair access to vehicle-generated data
As the automotive sector undergoes a rapid digital transformation, independent parts suppliers and distributors, repairers, insurers and mobility service providers have faced considerable challenges in accessing crucial vehicle data, limiting their ability to compete fairly and innovate.
The Data Act intends to level the playing field by ensuring that market players of all sizes can deliver competitive, consumer-friendly services.
However, attempts by some stakeholders to possibly weaken the Data Act through upcoming simplification packages planned by the European Commission, such as the Digital Omnibus, must be resisted at all costs.
Diluting the Act would threaten the very principles of fairness, openness, and competition this legislation was designed to uphold. FIGIEFA emphasises that simplification must not mean deregulation: voluntary compliance and a lack of binding rules could risk exacerbating existing market distortions.
Moreover, strong enforcement will also be crucial for the Data Act’s effectiveness. At national level, the rights and obligations enshrined in the Data Act must be translated from paper to practice. FIGIEFA stresses that enforcement must be consistent, strong and effective across the Union.
The publication of the Commission’s sector-specific Guidance Document provided a number of clarifications for the implementation of the Data Act in the automotive sector
To this end, Member States must be empowered with the necessary resources to ensure compliance by dominant market players.
The publication of the Commission’s sector-specific Guidance Document provided a number of clarifications for the implementation of the Data Act in the automotive sector. Yet, important gaps remain, such as access to ‘in-vehicle functions and resources’ as crucial elements for competitive data-driven services.
Therefore, Guidance alone will not be enough to fully address the unique challenges of the automotive aftermarket and mobility services ecosystem. The Data Act provides a much-needed foundation on which dedicated sectoral rules can be built to provide greater legal clarity and enable independent actors to keep pace with technological innovation.
The Data Act’s success will ultimately hinge upon the political will and the commitment of all stakeholders involved to uphold its core principles. This will determine whether the Data Act’s promise of competitive and innovative European ecosystems of data driven services will be realised.
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