Digital Omnibus: A Call For Courage

For the past decade the EU has embarked on an unprecedented legislative campaign to regulate technology. Abandoning the goals set out in the Lisbon Strategy we covered every aspect of the digital economy with layer upon layer of often conflicting rules.  

The effect was a gradual decline of European competitiveness and an increasing distance to the tech superpowers – US and increasingly China. 

In 2024 Mario Draghi’s seminal report and the declarations of President Von Der Leyen gave innovators in Europe hope for a move back towards a regulatory environment that actually makes sense. When the European Commission announced the “Digital Omnibus,” it felt like the lawmakers finally heard us. It was supposed to be the “great simplification”  and a small, but important first step to let SMEs innovate without drowning in paperwork. One of the key parts of the package were changes to the GPDR regime, which has been a heavy burden on the EU economy, with its overbroad scope and hazy boundaries, creating stifling legal risks. 

But look at the Council’s latest moves, and the picture changes. According to the latest compromise texts, the Council is systematically gutting the most important parts of the proposal. Most frustratingly, they’ve removed the revised definition of “personal data” and stripped away the Commission’s ability to set clear rules for data pseudonymization.

To a bureaucrat, this might look like a minor legal edit. To an AI founder in Warsaw or Prague, it’s a disaster. These definitions were meant to bring legal certainty by reflecting actual court rulings. Without them, we’re back to a world of “maybe” and “what if.” If every piece of data remains a potential legal landmine, European startups simply cannot train the models needed to compete globally.

It’s clear what’s happening: the Council is buckling under pressure from an ever-expanding bureaucracy and interest groups that prioritize theoretical risks over real-world economic survival. We need to be blunt: Europe’s future depends on economic growth. As we highlighted in our recent open letter, growth isn’t a “nice-to-have” – it is vital if the EU is to survive as a project.

We are tired of “cosmetic” reforms that leave the heavy lifting to small businesses. We don’t need more vague guidelines that take years to arrive. We need a true risk-based approach where the rules actually match the reality of modern technology.

The Council needs to stop retreating. Don’t hollow out the Omnibus. Keep the revised definitions, protect R&D, and stop giving in to the pressure groups that have never had to scale a business. If the EU wants to regain its competitiveness, it needs to start by keeping its promises to the people actually building the future.