In California, it’s about to get expensive for businesses that collect data -- and lucrative for consultants, law firms, and other startups that can help them follow the ins-and-outs of the California Consumer Privacy Act.
Hey, that’s my data: Starting in July, many companies operating in California must comply with new regulations under the California Consumer Privacy Act. The act was passed to give state residents more information about the data companies collect and an option to force companies to stop selling that data.
It’s complicated: Companies will need to track their data more closely. Doing so will likely require new hires or new tools -- and a hefty amount of coin. They’re expected to spend $55 billion on compliance costs.
A new gold rush:According to Bloomberg, analyst Bart Willemsen estimates 200 companies have already started pitching services to California companies that will help them comply with the law.
Privacy laws won’t be limited to California. Congress has considered similar bills, and the European Union already has greater privacy limitations than the United States.
And if you’re looking for a business opportunity there’s still time to jump in. Willemsen told Bloomberg none of the startups and firms seeking to work with the companies have offered the “silver bullet” solution yet.