Council drops AI 'legitimate interest' basis in GDPR plan

Source: euractiv.com

TL;DR

The story at a glance

The EU Council, representing member states, issued a compromise on 15 April 2026 in Digital Omnibus negotiations to drop a proposed addition explicitly permitting "legitimate interest" (GDPR Article 6(1)(f)) for AI-related personal data processing.[[2]](https://table.media/assets/berlin/digitalomnibus.pdf) This follows EDPB and EDPS opinions that no new provision is needed, as legitimate interest can already apply case-by-case under current rules.[[3]](https://www.edpb.europa.eu/system/files/2026-02/edpb_edps_jointopinion_202602_digitalomnibus_en.pdf) The change comes as the EU balances AI innovation with privacy in ongoing trilogues.

Key points

Details and context

The Digital Omnibus, proposed by Commission in late 2025, targets "competitiveness" by tweaking GDPR/AI Act burdens post-Draghi report, including AI data use for training without always needing consent.[[4]](https://www.amnesty.org/en/latest/news/2026/04/eu-simplification-laws) Privacy groups warned this risks "rolling back rights" by narrowing personal data scope and blanket legitimate interest for AI.[[2]](https://table.media/assets/berlin/digitalomnibus.pdf)

Council's move echoes earlier Feb 2026 compromise deleting Commission's narrower "personal data" definition, deferring to EDPB pseudonymisation guidelines.[[5]](https://www.euractiv.com/news/council-deletes-revised-definition-of-personal-data-from-gdpr-omnibus/) For AI, dropping the provision avoids controversy but keeps general legitimate interest viable via balancing test (necessity vs data subject rights), as EDPB outlined—no automatic opt-out for AI firms.

Trade-off: Slows AI data access (e.g., no explicit nod to bias mitigation as overriding interest) but upholds GDPR's strict consent norm, especially for special data. Earlier leaks showed retention in some drafts, but April text shifts conservative.[[2]](https://table.media/assets/berlin/digitalomnibus.pdf)

Why it matters

EU data rules shape global AI norms via "Brussels effect," so retaining caution on legitimate interest signals privacy trumps unchecked training on personal data.

AI developers face higher consent hurdles for EU data, raising costs/complexity versus US flexibility, while users gain stronger objection rights.

Watch trilogues with Parliament (pro-simplification lean) for final text; outcome likely by mid-2026, before AI Act high-risk rules hit.