SAN FRANCISCO, Jan. 11, 2016 /PRNewswire/ -- New research amongst companies who previously relied on the Safe Harbor framework shows that three-quarters (78%) are holding out for a new Safe Harbor 2.0, but many are hedging their bets and looking to a combination of solutions to ensure EU data transfer compliance in 2016. With limited time and budget and increased regulatory scrutiny as major concerns, TRUSTe announced today a new EU Data Transfer Privacy Assessment solution that provides a flexible approach to the changing compliance requirements ahead.
TRUSTe conducted research between December 15-29, 2015 with 248 US companies that had used Safe Harbor prior to the European Court of Justice (CJEU) ruling on October 6. Three-quarters (78%) of companies are continuing with Safe Harbor and preparing for the announcement of Safe Harbor 2.0. Half (53%) of these companies are also now using or preparing to use Model Contract Clauses. A quarter (24%) are now considering localized data centers in the EU and 4% are looking to scale back their EU investment. Limited time and resources (72%), limited budget (56%) and an unclear or unwieldy assessment process (57%) are the major concerns around managing EU data transfers. Compliance is a high priority with 87% thinking there will be increased regulatory scrutiny should a new Safe Harbor 2.0 framework be introduced.
Chris Babel, CEO, TRUSTe said: "After a turbulent year of privacy change there's no shortage of commentators crystal-ball gazing into what courts and regulators may decide in 2016, but companies can't wait and need certainty now to make critical business decisions.
"This new TRUSTe assessment package cushions companies from the impact of regulatory change offering a fixed price solution to assess compliance for Model Contract Clauses or a new Safe Harbor 2.0 framework when agreement is reached, or a combination of the two. Only with this kind of comprehensive and flexible approach can companies manage costs and privacy risk as compliance requirements evolve throughout the year."
The TRUSTe EU Data Transfer Privacy Assessment privacy solution uses both TRUSTe's team of privacy experts and the SaaS-based TRUSTe Assessment Manager to help companies quickly and efficiently assess compliance versus any combination of Safe Harbor and Model Contract Clauses they select. Assessment Manager helps automate the review process providing an easy path across the different standards, enabling companies to move from Safe Harbor 1.0 to Model Contract Clauses and / or Safe Harbor 2.0 and produce a compliance report to support their work.
For further details of the EU Data Transfer Privacy Assessment solution, see https://www.truste.com/business-products/eu-data-transfer-assessment/ and for pricing call 1-888-878-7830.
The research was conducted online by TRUSTe between December 15-29, 2015. The results are based on responses from 248 individuals at companies that had participated in the original Safe Harbor program prior to the CJEU ruling on October 6. Companies comprised a range of sizes: 31% were companies with less than $10 million in revenue, 40% from $10 million to $100 million, and 19% from $100 million to $1 billion, and 10% over $1 billion). 81% of these companies had pure Business-to-Business (B2B) models, 7% pure Business-to-Consumer (B2C) models, and another 12% following hybrid B2B / B2C models. Further details of this and other related research are included in the TRUSTe EU Data Transfer Privacy Benchmark Report.
TRUSTe powers privacy compliance and trust by enabling businesses to use data across their customer, employee and vendor channels. We have nearly 20 years experience and a team of over 150 professionals dedicated to providing data privacy management solutions and services, including assessments, certifications and our SaaS-based Platform. The Data Privacy Management Platform provides control over all phases of privacy; from conducting assessments and implementing compliance controls to managing ongoing monitoring. Companies worldwide rely on TRUSTe to minimize compliance risk and protect their brand. See http://www.truste.com.