The European Union is putting in place a new financial data sharing framework called the Financial Data Access (FiDA) regulation. This initiative is designed to promote the creation of innovative digital financial products by requiring banks and financial institutions to share customer data with third parties, provided they have customer consent. The main objective of FiDA is to grant consumers increased control over their financial data while encouraging the development of tailored financial services.
Nevertheless, major American tech corporations like Apple, Amazon, Google, and Meta may be left out of this new arrangement. Reports suggest that Germany has suggested preventing these companies from accessing FiDA, claiming that such a measure would bolster the development of a European digital financial ecosystem, maintain fair competition, and protect consumer digital sovereignty.
This suggestion has elicited a reaction from Big Tech lobbying organizations, which argue that conventional banks, rather than tech firms, are the principal gatekeepers of financial data. They caution that limiting access to FiDA could worsen existing frictions between Europe and the U.S., especially following recent statements from former President Trump, who warned of tariffs against nations seen as discriminating against U.S. companies.
As discussions surrounding the FiDA regulation near their end, it seems that Big Tech’s prospects for gaining access are fading. The results of these talks could have a significant effect on the competitive dynamics of digital finance in Europe and the relationship between the EU and American tech firms.
