€500 billion-worth European data economy troubles continue in World Economy News 08/04/2026 As AI grabs the spotlight, Europe’s data economy still powers billions in value, yet fragmented GDPR enforcement continues to hold innovators back. The Digital Omnibus was meant to help, but the EU now risks retreating from even modest reform. With the rise of artificial intelligence, the term “data economy” has somewhat fallen into the shadows, even though the European data market/data economy remains substantial. According to a 2025 study commissioned by the European Commission, data market has exceeded €115 billion in 2025 and is expected to reach €148 billion by 2030. The broader term – data economy – was already worth €325 billion in 2019 (2,6% of the EU’s GDP) and was projected to reach €500 billion by 2025. The roadblocks for data-driven companies in Europe to scale, become globally competitive and benefit EU’s economy are largely similar across sectors: the definition of personal data under the General Data Protection Regulation (GDPR) is broad, companies have limited capacity to navigate fragmented interpretations of the GDPR across EU Member States, and the non-binding recommendations and guidelines by the European Data Protection Board (EDBP) provide only limited help. While large companies (and usually non-European companies) have the resources to deal with local authorities and even challenge the EDBP, smaller companies are left to cope with fragmented rules across the EU. Amending the GDPR even in a very targeted way is a highly sensitive subject in the EU, with many privacy advocates and data protection authorities (DPAs) remaining sceptical. Add geopolitical tensions between the EU and the US to the mix, along with fears that Europeans’ data could end up outside the EU, and even the most common-sense reforms risk being blocked. As AI grabs the spotlight, Europe’s data economy still powers billions in value, yet fragmented GDPR enforcement continues to hold innovators back. The Digital Omnibus was meant to help, but the EU now risks retreating from even modest reform. With the rise of artificial intelligence, the term “data economy” has somewhat fallen into the shadows, even though the European data market/data economy remains substantial. According to a 2025 study commissioned by the European Commission, data market has exceeded €115 billion in 2025 and is expected to reach €148 billion by 2030. The broader term – data economy – was already worth €325 billion in 2019 (2,6% of the EU’s GDP) and was projected to reach €500 billion by 2025. The roadblocks for data-driven companies in Europe to scale, become globally competitive and benefit EU’s economy are largely similar across sectors: the definition of personal data under the General Data Protection Regulation (GDPR) is broad, companies have limited capacity to navigate fragmented interpretations of the GDPR across EU Member States, and the non-binding recommendations and guidelines by the European Data Protection Board (EDBP) provide only limited help. While large companies (and usually non-European companies) have the resources to deal with local authorities and even challenge the EDBP, smaller companies are left to cope with fragmented rules across the EU. Amending the GDPR even in a very targeted way is a highly sensitive subject in the EU, with many privacy advocates and data protection authorities (DPAs) remaining sceptical. Add geopolitical tensions between the EU and the U