- EU is considering blocking us for technology from financial data sharing through fida -regulation
- Knocking back restrictions while tech groups warn of reduced consumer choice in Europe
- Trump threatens tariffs if US companies are excluded from EU Digital Finance
The European Union is preparing new rules for sharing financial data that can prevent us from tech giants from accessing consumer information.
The Financial times Reports on the draft regulation of Fidra Data Access (FIDA) have reached its final negotiation stage, and according to its sources, Amazon, Apple, Google and Meta are likely to be excluded.
The measure is intended to give consumers more threat to how their financial data is used, as under FIDA, customers can allow third parties to view information that banks and insurance companies have and open the way for new services such as digital budgeting tools and financial advice.
US technology companies excluded
Supporters of FIDA say the regulation will encourage innovation and give individuals greater control over their own items.
However, banks across Europe have argued to expand this access to larger US tech companies as they fear that global platforms can benefit from the information to build products that weaken the relationship between banks and their customers.
Germany has been special vocals in wanting a ban on American technical giant involvement.
A position document that was shared with other EU capitals said to keep us platforms outside FIDA would support the development of a European digital financial sector that paved the way to fair competition and protects consumer sovereignty.
The Europe Parliament and the Commission have also supported boundaries for access.
However, industry representatives in Europe claim that consumers would be the real losers if the regulation excludes US companies.
“Fida’s original vision was to give people control over their own data and access to better, more innovative financial services,” Daniel Friedlaender, head of Computer & Communications Industry Association Europe told Financial times.
“By bowing to current banks, the EU will limit consumer choices and anchor older players who already have ‘gatekeeper’ power over customer data.”
Donald Trump, who has often criticized European rules for digital services, has warned that he could impose on countries that he believes are acting against US companies’ interests.
Lecture on the final text is expected to end later in 2025.
