The Commission has published a Communication,
intended as "a step towards a policy framework," for dealing with
RFID chips, whose usefulness is seen by some to be at odds with
privacy and data protection.
RFID is a radio
technology which allows chips to be identified at short distances
by chip readers. The chips themselves are so cheap – just a few
pence each – that they are useful in all sorts of commercial
applications, from goods transit to stock management and even shop
checkouts.
It is the application of the chips to people
and the things people do with the chipped goods, though, that has
always worried privacy activists. Information Society and Media
Commissioner Viviane Reding said that the advisory group she was
forming to monitor RFID would work in conjunction with the Article
29 Data Protection Working Group, an existing, independent EU
advisory body.
Reding announced the creation of an RFID
Stakeholder Group to help the Commission develop its RFID policy as
part of an action plan to address the potential pitfalls and
benefits of using RFID technology.
As well as the creation of the Stakeholder
Group, she announced that changes to the Privacy and Electronic
Communications Directive (also known as the ePrivacy Directive)
would be proposed by summer to take account of RFID applications,
as part of the EU Telecom Rules' review.
While the Data Protection Directive is
complemented by the Privacy and Electronic Communications
Directive, the latter is limited to the processing of personal data
in connection with the provision of publicly available electronic
communications services in public communications networks.
The Commission Communication notes: "Due to
this limitation, many RFID applications fall only under the general
Data Protection Directive and are not directly covered by the
ePrivacy Directive."
Reding also promised that recommendations on how to
handle data protection and privacy in relation to RFID would be
published by the end of the year, and that an assessment of what
other law changes would be necessary would be produced by the end
of 2008.
The Commission believes there can be
tremendous economic and even social value in the use of RFID
technology. "RFIDs are indeed seen as the gateway to a new phase of
development of the information society, often referred to as the
'internet of things', in which the internet does not only link
computers and communications terminals, but potentially any of our
daily surrounding objects," said the Commission's
Communication.
"RFID is of policy concern because of its
potential to become a new motor of growth and jobs if the barriers
to innovation can be overcome," said the Commission's report. "The
production price of RFID tags is now approaching a level that
permits wide commercial and public sector deployment. With wider
use, it becomes essential that the implementation of RFID takes
place under a legal framework that affords citizens effective
safeguards for fundamental values, health, data protection and
privacy."
Reding said that the technology could have
major benefits to Europe. "From fighting counterfeits to better
healthcare, smart RFID-chips offers tremendous opportunities for
business and society," she said.
The Commission conducted research which
discovered that people in the EU were not really aware of RFID's
risks or benefits. "The Commission's Europe-wide public
consultation in 2006 identified a strong lack of awareness and
considerable concern among citizens," said Reding. "The
Commission's RFID strategy will therefore seek to raise awareness,
stress the absolute need for citizens to decide how their personal
data is used and ensure that Europe removes existing obstacles to
RFID's enormous potential."
Reding also published her views on mobile
television, an emerging technology in Europe. She said that
interoperability was crucial to any future success of mobile
television, just as the GSM standard was vital to the successful
growth of mobile phone technology. "Whereas for the time being each
country is developing its own Mobile TV market, the Commission –
which is currently preparing a Communication on the subject –
underlines the need for a proactive and coordinated EU-strategy,"
said a statement from Reding's department.
"With an estimated worldwide market of €11.4
billion by 2009, mobile TV represents an opportunity for Europe to
combine its strength in mobile communications with the richness and
diversity of its audiovisual sector," said Reding. "However, I am
disappointed about the lack of progress made so far. Industry and
Member States must work more closely together to devise a common
approach, compare technologies, look at possible legal obstacles,
make spectrum available throughout Europe and choose together the
best way to ensure a quick and large take-up of mobile TV by
Europeans, preferably based on a single standard. It is now time to
draft the new model of Mobile TV that it needs to be economically
successful in Europe."