GDPR vs. CCPA: 3 Similarities and 6 Differences

What Is GDPR? 

The General Data Protection Regulation (GDPR) is a data protection law enacted by the European Union (EU) in May 2018. It aims to safeguard personal data of individuals within the EU by enforcing strict guidelines on data handling, processing, and storage. GDPR applies to any organization, even those outside the EU, that handles the data of EU citizens. It emphasizes transparent data practices, consent, and individual rights over personal data.

The GDPR mandates fines for non-compliance, potentially up to 20 million Euros or 4% of annual global turnover, whichever is higher. The regulation focuses on protecting privacy by requiring organizations to implement security measures and report breaches promptly. It also grants individuals rights to access, correct, and delete their data, enhancing control over personal information.

Learn more about the impact of AI in cyber security: AI Cyber Security: Securing AI Systems Against Cyber Threats.

What Is CCPA? 

The California Consumer Privacy Act (CCPA) is a state-level privacy law enacted to protect the personal data of California residents. Effective from January 2020, the CCPA grants residents privacy rights and greater transparency in how businesses collect, use, and share their data. It applies to businesses that meet specified criteria, such as annual gross revenues exceeding $25 million, or handling data of 50,000 or more consumers, households, or devices.

What Are the Similarities Between CCPA vs. GDPR? 

1. Protection of Personal Data

Both GDPR and CCPA aim to protect personal information, focusing on transparency and control over data usage. GDPR covers any information that can identify an individual, such as name, email address, and IP address. CCPA’s definition extends to include data such as browsing history, purchase records, and even inferences drawn to create a profile about a person. Both regulations mandate clear communication about data collection purposes and data security measures.

GDPR and CCPA enforce data subject rights, requiring businesses to inform individuals about the data collected and stored. Despite differences in scope, both laws push for minimizing data collection and implementing data protection by design and by default. They also necessitate security protocols to prevent unauthorized access, ensuring any breaches are promptly reported to affected individuals.

2. Consumer Rights

GDPR provides EU citizens with extensive rights, including access, correction, deletion, and the right to object to data processing. Similarly, CCPA offers California residents the right to know what personal information is collected, sold, or disclosed, and the ability to opt-out of data sales. Both laws emphasize consumer empowerment, encouraging businesses to adopt transparent privacy policies and procedures.

Under GDPR, individuals can request data portability, allowing them to obtain and reuse their personal data across different services. CCPA includes similar provisions, allowing consumers to access their data in a readily usable format. Both regulations mandate timely responses to consumer requests, typically within one month for GDPR and 45 days for CCPA, ensuring prompt action by organizations.

3. Regulatory Requirements

GDPR requires organizations to conduct data protection impact assessments (DPIAs) when processing activities pose high risks to personal data. It also necessitates appointing a data protection officer (DPO) for certain organizations. CCPA, while not requiring a DPO, obligates businesses to disclose data collection practices and implement mechanisms for consumer requests. Both regulations underscore the importance of privacy governance and accountability in data processing activities.

Compliance with GDPR entails stricter documentation and adherence to principles such as lawfulness, fairness, and transparency. CCPA prioritizes clarity in data practices and availability of opt-out options.

GDPR vs. CCPA: The Key Differences 

1. Scope and Applicability

GDPR applies to any organization that processes personal data of EU citizens, regardless of the organization’s location. It covers all sectors, imposing regulations on data handling practices. In contrast, CCPA targets for-profit businesses doing business in California, which meet certain criteria such as annual gross revenues or the amount of personal data processed. This results in a narrower scope compared to GDPR’s global applicability.

The territorial scope of GDPR is expansive, influencing data protection regulations beyond the EU. It also includes non-EU organizations that offer goods or services to EU residents. Similarly, CCPA can affect organizations established outside California or the United States, if they do business with California residents.

2. Type of Data Covered

GDPR’s definition of personal data is broad, encompassing any information related to an identifiable person. This includes direct identifiers like names and indirect identifiers such as IP addresses. CCPA’s definition is broader, including traditional personal information and extends to data like browsing history, purchasing behavior, and biometric data.

Both regulations include special categories of sensitive data requiring additional protections, such as health records and biometric information under GDPR. CCPA also covers data used to create consumer profiles, emphasizing data’s evolving nature in digital marketing and analytics.

3. Legal Basis for Processing

GDPR requires organizations to have a legal basis for processing personal data, such as consent, contractual necessity, or legitimate interest. It places emphasis on obtaining explicit consent for data processing activities, with conditions ensuring consent is informed and freely given. CCPA does not stipulate specific legal bases but focuses on consumer rights to access, delete, and opt-out of data sales, shifting the emphasis to user control.

Under GDPR, processing sensitive personal data demands higher protection measures and justifications, including explicit consent or compliance with legal obligations. CCPA’s approach centers on transparency and consumer empowerment, mandating businesses to notify consumers about data practices and respect their opt-out choices.

4. Enforcement and Penalties

GDPR allows supervisory authorities to impose fines up to 20 million Euros or 4% of the annual global turnover, whichever is higher. These penalties act as a deterrent against non-compliance. CCPA imposes fines up to $7,500 for intentional violations and $2,500 for unintentional violations, enforced by the California Attorney General.

GDPR’s enforcement involves data protection authorities (DPAs) across EU member states, ensuring uniform application of the regulation. CCPA relies on the California Attorney General for enforcement, with consumers having a private right of action for specific data breaches. 

5. Data Breach Notification

Under GDPR, data breaches posing a risk to individual rights must be reported to the relevant authority within 72 hours. Affected individuals must also be notified without undue delay. CCPA requires notifying affected consumers as soon as possible but does not mandate a specific timeframe.

Both regulations demand detailed breach notifications, including the nature of the breach, affected data categories, and steps taken to mitigate impact. They also require businesses to maintain records of data breaches and implement preventive measures.

6. Security Tools and Process Requirements

GDPR mandates security tools and processes to protect personal data, such as encryption and pseudonymization. Organizations must implement technical and organizational controls proportional to the data’s sensitivity and risks posed by processing activities. CCPA does not outline security measures but holds businesses accountable for implementing security practices to protect consumer data.

Security under GDPR is an ongoing process, involving regular assessments and updates to security protocols. CCPA’s approach is less prescriptive, giving businesses flexibility to determine security measures. However, both regulations underscore the importance of safeguarding personal data and maintaining consumer trust through effective security practices.

GDPR Compliance with Exabeam

Exabeam helps organizations meet both the technological and operational requirements of GDPR including:

• External Threat Reduction: Exabeam works alongside existing security solutions, using machine learning and behavioral analytics to identify unusual activity that may be indicative of an adversary’s attempt to find and access data. Exabeam threat timelines combine events from anomalies and correlation rules to group events by user or device. 
• Internal Threat Reduction: Exabeam works alongside identity and access management solutions to prevent security incidents resulting from the accidental or malicious abuse of allocated permissions. By flagging activity that falls outside the norm for a given user, Exabeam helps to detect potential incidents that could lead to data theft. Ideal log sources mapped to use cases and the MITRE ATT&CK^Ⓡ framework show which tools in the security arsenal can combine to show the clearest picture of events.

Visualization and Dashboards: Exabeam offers clear compliance-based GDPR Dashboards for easy download, export, or emailing regularly in support of GDPR mandates and the needs of the data privacy officer.