[HN Gopher] Big tech face EU blow in national data watchdogs ruling
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       Big tech face EU blow in national data watchdogs ruling
        
       Author : shivbhatt
       Score  : 183 points
       Date   : 2021-06-15 09:43 UTC (13 hours ago)
        
 (HTM) web link (www.reuters.com)
 (TXT) w3m dump (www.reuters.com)
        
       | thrower123 wrote:
       | They keep doing these things that are ostensibly aimed at hurting
       | Google, Facebook, Microsoft, etc. But the effect of their actions
       | just entrenches those big players, who have the money and the
       | legal teams and the resources, such that the added regulatory
       | burden widens their moats and suppresses upstart competition.
        
         | thakoppno wrote:
         | Perhaps it slows down bigger tech companies ability to
         | innovate.
         | 
         | My tech co has spent a significant amount of energy complying
         | with GDPR and CCPA the last couple years while the products
         | have received less and less feature improvements.
         | 
         | A brand new entrant would likely bolt on compliance to their
         | innovative product once it reached critical mass, not before.
        
           | jokethrowaway wrote:
           | The real result is preventing smaller players from emerging.
           | 
           | Big tech can easily deal with regulations, they have money. A
           | new social network? It doesn't stand a chance, especially if
           | they raised money in Europe.
           | 
           | I wonder if Big Tech will bail out the EU once they collapse
           | on their debts.
        
       | Nextgrid wrote:
       | It's about time.
       | 
       | Provided the GDPR now actually gets enforced, this would clean up
       | the web from all the obnoxious consent flows (remember those are
       | _not_ compliant with the GDPR to begin with).
       | 
       | This will also make Facebook and similar monopolies less toxic as
       | they'd have to either obey the law at a loss or start charging
       | for their services, opening themselves up to competition.
        
       | nivenkos wrote:
       | How about actually supporting the European Tech industry instead
       | of just adding endless bureaucracy?
       | 
       | Ban Oracle and Microsoft from public procurement and start
       | supporting the European equivalent of Baidu or Yandex. With ARM
       | (prior to the acquisition), Linux, MariaDB, etc. - Europe was in
       | a great position to do this.
       | 
       | We need to stop this digital colonialism where massive,
       | monopolistic US corporations pay no taxes in Europe, and then
       | take all the profits back to the US where they pay 3x the
       | salaries - only supporting the US economy.
        
         | axlee wrote:
         | >How about actually supporting the European Tech industry
         | instead of just adding endless bureaucracy?
         | 
         | Why do you make it sound like they don't? The EU invests
         | massive amounts in technology (in regards to its paltry
         | investment budget, but that's another debate).
         | 
         | One does not prevent the other. And calling regulations against
         | clear abuse "endless bureaucracy" is insidious at best.
        
           | dalbasal wrote:
           | Calling it bureaucracy, whatever the implications, is
           | perfectly fair... assuming we're talking about the subject of
           | this article.
           | 
           | This is about 27 separate national governments to apply
           | separate regulatory procedures, rather than just having
           | Ireland's current gdpr enforcement. That's not necessarily
           | bad, but it is more bureaucracy.
        
             | nr2x wrote:
             | A major goal of GDPR was to streamline enforcement and
             | reduce compliance cost. Then people thought they could use
             | Ireland to just avoid it, and instead they now have to
             | worry about 27 DPAs, so it utterly backfired. Same dynamic
             | in USA: they blocked national level privacy laws for
             | decades and now they'll have to deal with 50 state laws
             | instead, which is much more onerous.
        
               | foobiekr wrote:
               | US states will not have the same issues that GDPR had.
               | The bounds of enforcement will be much more clear and the
               | US has a much clearer way of dealing with vagueness in
               | laws in general. Despite assurances, US companies do not
               | like the "the statute documents the intent but not all of
               | the specifics" approach the EU uses.
        
           | jokethrowaway wrote:
           | Instead of funding they should just get out of the way
        
           | throwaway12509 wrote:
           | I believe the EU would be better off if it just deleted its
           | technology funding apparatus and tried to rebuild something
           | like DARPA, while focusing on procurement like the poster
           | suggested.
           | 
           | There is a huge amount of money available, but it's locked
           | behind layers and layers of bureaucracy. It is a huge waste
           | of time on both sides, for some anecdotal I'm procrastinating
           | from an application as I type. I should be coding or doing
           | something otherwise useful.
           | 
           | The situation has devolved to where startups treat public
           | funding as though it were revenue and have dedicated teams to
           | chase it.
           | 
           | The Economist had an article here a few days ago lamenting
           | that Europe fails to produce IPOs, which is where the actual
           | problem lies. If ExpectedValue[European Startup] =
           | ExpectedValue[Startup] | No IPO, then it's no wonder European
           | startups are valued at 10% of their US counterparts.
           | 
           | The EU needs to get out of the way and end its Lots of Little
           | Winners policy, because without winners you just wind up with
           | Lots of Little Losers in a globalised economy.
        
             | jbverschoor wrote:
             | There are companies and people specialized to get grants
             | and funding from the eu. They will take 15-20% . Most of
             | the time the money goes to incompetent companies, but with
             | good connections. Normally you'd call this corruption, but
             | of course that doesn't happen here.
        
             | edmundsauto wrote:
             | > The situation has devolved to where startups treat public
             | funding as though it were revenue and have dedicated teams
             | to chase it.
             | 
             | This is how it works in America, too. Professional grant
             | writers who know how to get funding are basically the
             | rainmakers for research teams.
        
             | onion2k wrote:
             | _The Economist had an article here a few days ago lamenting
             | that Europe fails to produce IPOs, which is where the
             | actual problem lies._
             | 
             | A lot of European startups don't get to the size where an
             | IPO exit would be appropriate because a US company buys
             | them before that can happen.
        
               | Silhouette wrote:
               | You don't _have_ to sell out to a big US company, so it
               | 's worth pausing to ask how we've reached the situation
               | you described.
        
               | onion2k wrote:
               | Of course you don't, but someone offering to make you a
               | multi-millionaire is hard to say no to. I imagine. I've
               | never been in the situation unfortunately.
        
               | throwaway12509 wrote:
               | Generally it's not you making the decision but some
               | investor who needs to close out a 10y fund and can force
               | the sale through some nasty term in the SHA.
               | 
               | In a unicorn situation, the founder will generally take
               | money off the table early and will be okay regardless.
               | Just look at WeWork.
        
               | Silhouette wrote:
               | It certainly is, but in the US there have apparently been
               | enough incentives for some founders not to accept an
               | offer at that level. Some of those founders have gone on
               | to build their businesses up to billion-dollar
               | valuations, with dominance in their field, and now
               | they've become the ones doing the investing and acquiring
               | for the next generation of tech businesses. We have
               | almost none of that in Europe, and I think it's important
               | to ask why. I don't believe we lack people with ideas,
               | skills and entrepreneurial instincts, and that means
               | something else is getting in the way.
        
               | jbverschoor wrote:
               | Name some in the EU
        
               | jeltz wrote:
               | The issue is that there are a bunch of big is companies
               | with way too much cash who can buy any potential
               | competitor. I do not feel it matters much how they got
               | that big. What we instead need to limit is their ability
               | to buy competitors.
        
               | onion2k wrote:
               | If we stopped them buying competitors they'd just build
               | their own competitor, and then the founders with the
               | original idea would _probably_ lose and nothing else
               | would change. At least while FAANGs buy up their
               | competitors the founders get an exit.
        
               | Silhouette wrote:
               | I think both are important. There is a question of what
               | we do to prevent any successful medium-sized European
               | business becoming a small part of some huge US business.
               | But there is also a question of how our entire
               | entrepreneurial sector got so broken on this side of the
               | Atlantic that such a huge imbalance arose in the first
               | place. If we don't address the issues that caused that to
               | happen once, surely it will tend to happen again sooner
               | or later.
        
               | axlee wrote:
               | It is, as always, an inequality issue. Sadly, the
               | alternative is not acceptable in a neoliberal world: no
               | european company is willing or able to pay up for a
               | promising technology as much as Google, Apple or Amazon
               | will, but nation-states definitely can.
        
             | estaseuropano wrote:
             | I don't see how its in anyone's interest to generate more
             | rent-seeking giants. All these R&D statistics are bullshit
             | as they work on tax data, which in turn clearly
             | incentivises companies to classify every programmer or
             | engineering salary as research. A healthy world needs more
             | dynamic startups, not more anticompetitive giants that
             | squeeze or buy everyone else. The US or Chinese advantage
             | is not quality engineering or better companies, its just
             | financial engineering and huge state or venture financing
             | specifically intended yo generate winners.
             | 
             | I'm happy that the EU still bets on the small guys.
        
               | nr2x wrote:
               | We're not talking about artisan cheese here, we're
               | talking network effects. "Small guys" can't offer the
               | same value without a user base.
        
             | [deleted]
        
             | danaris wrote:
             | But why is a high stock value the ultimate goal?
             | 
             | Shouldn't the goal be producing tech that's beneficial?
        
               | jbverschoor wrote:
               | That's the purpose of a commercial company. To return
               | money to shareholders.
        
               | throwaway12509 wrote:
               | Because high future valuations allow companies to raise
               | capital and do useful work in society.
        
               | layoutIfNeeded wrote:
               | [citation needed]
        
               | viro wrote:
               | AMC
        
               | sidlls wrote:
               | Beneficial to whom?
        
               | danaris wrote:
               | In general, to its users, hopefully without also being
               | detrimental to society as a whole. But my point here is
               | mainly "shouldn't the goal of a company be to _produce a
               | useful product or service_ rather than simply _to make
               | money for its shareholders_? "
        
             | [deleted]
        
             | Bayart wrote:
             | There no massive capital flow like in the US because
             | nobody's putting their entire life savings and pensions on
             | the markets.
        
               | wutbrodo wrote:
               | Interesting, where do retirement savings go? I don't know
               | much about the European context beyond the S = I identity
               | from my intro macro courses back in the day.
        
               | jbverschoor wrote:
               | Real estate, guns, oil.
               | 
               | And we'll they actually cannot pay what they promised, so
               | they keep upping the pension age etc.
        
           | varispeed wrote:
           | > The EU invests massive amounts in technology (in regards to
           | its paltry investment budget, but that's another debate)
           | 
           | The problem is that the EU invests. Small businesses are
           | taxed to death and swamped with bureaucracy. From that you
           | can clearly see where this is going.
        
             | nivenkos wrote:
             | IMO the issue isn't so much the taxation, although this has
             | a big impact on hiring since you need to be very certain
             | about anyone you keep past their trial period.
             | 
             | The bigger issue is that the US has a massive advantage, in
             | that a US tech company can launch in one language (their
             | native language) to 300+ million potential customers, and
             | hire from the same pool with minimal bureaucracy (the laws
             | are largely the same, and at least written in the same
             | language, ID and visa requirements are the same, payment
             | providers are mostly the same, etc.)
             | 
             | In Europe on the other hand, to launch even to other
             | countries in the EU involves a lot of translation work.
             | Then taxation varies a lot, and the laws are in different
             | languages so you'll need local lawyers and a local tax
             | office to hire employees there, etc. - on the employee
             | side, the ID and visa requirements vary a lot too, so
             | you'll need local specialists / relocation companies to
             | help with that. The payment providers also differ a lot,
             | e.g. with Sofort-uberweisung in Germany and the lack of
             | online card payment options there (until recently), etc.
             | 
             | And then there's the extra EU regulations - the GDPR,
             | cookie consent laws, age verification laws for video
             | content, link tax for aggregation services, etc.
             | 
             | But I still think the best solution in the short-term is
             | protectionism. Give European companies a bigger advantage
             | in Europe by not sourcing from foreign corporations
             | (especially for critical infrastructure like public
             | services), and invest in FOSS and development companies
             | around that (where smaller companies could work together on
             | FOSS projects).
             | 
             | Otherwise the US companies just dominate, and then use
             | their dominant position to get a monopoly through bribes
             | and threats (see Microsoft in Hungary and Munich for
             | example). Then they pay no taxes in the EU, take all the
             | profit back to the US and use that to crush EU industry
             | even further - just like how in the past natural resources
             | were plundered from colonies, but all the skilled industry
             | was kept in the coloniser countries.
        
               | jbverschoor wrote:
               | Reality is different. The EU just loves to talk to
               | Amazon. The politicians are in awe of anyone from big
               | tech. Star struck. It's disturbing to have seen this from
               | up close
        
             | jeltz wrote:
             | As someone running s small business in the EU: how am I
             | taxed to death? The only taxes a startup really needs to
             | care about are taxes on salary but since competent
             | employees are a fraction of the cost here compared to SF it
             | does not matter that taxes are higher. There is also VAT
             | which can affect some businesses but in general is not too
             | big of a deal.
             | 
             | No, I can't see how taxes are to blame. Taxes are not
             | signficant concern for most startups.
        
               | viro wrote:
               | it could be the fact that EU employees are randomly out
               | of office(vacation) for months at a time. -\\_(tsu)_/-
        
               | stefanfisk wrote:
               | I've never worked at a place where vacation was random.
               | The most common pattern I've seen is a fairly tight bell
               | curve centered on July, with individuals spread out a bit
               | depending on individual and business needs.
        
               | ThalesX wrote:
               | This is a hilarious view on European work culture, and
               | this is coming from a guy that is randomly out of the
               | office (vacation) for months at a time.
        
           | YorkshireSeason wrote:
           | > EU invests massive amounts in technology
           | 
           | An interesting question is: what's the ROI of this
           | investment. Anecdotally, the over the last 50 years the EU
           | has been loosing their leadership in field after field. First
           | to the US, then Japan, S Korea, Taiwan, now China. With the
           | loss of the UK Arm is no longer an EU company. Have you
           | looked into Linux commits recently [1], or where papers come
           | from in the top CS conferences?
           | 
           | [1] https://news.itsfoss.com/huawei-kernel-contribution/
        
             | flexie wrote:
             | Well, Arm is not a UK company much longer either:
             | https://www.cnbc.com/2021/06/14/qualcomm-offers-to-invest-
             | in...
        
               | Chris2048 wrote:
               | The link says "as regulators threaten to block"
        
           | Chris2048 wrote:
           | > calling regulations against clear abuse "endless
           | bureaucracy" is insidious at best
           | 
           | It's insidious, yes, but also what if foreign competitors
           | gain a competitive advantage due to _fewer_ regulations?
           | 
           | They will still need to follow EU regulations, but they gain
           | R&D momentum locally.
           | 
           | The only solution I see is to bar foreign companies that do
           | not adopt EU regulations locally too - e.g. a self-driving
           | car developer that does not need to follow safety regulation
           | as strictly locally.
        
           | Silhouette wrote:
           | _And calling regulations against clear abuse "endless
           | democracy" is insidious at best._
           | 
           | Well, GP wrote "endless bureaucracy" not "endless democracy",
           | unless the comment has been edited.
           | 
           | And that, IMNSHO as someone who has founded tech businesses
           | here, is entirely fair criticism. The environment created by
           | all those regulations is insanely hostile to tech
           | entrepreneurship, and it's not as if many of those
           | regulations are well considered or effective at protecting
           | vulnerable groups anyway.
           | 
           | The worst part is, I'm not convinced anyone deep inside the
           | EU corridors of power even realises this is what they are
           | doing. If the first step in solving a problem is
           | understanding that it exists, the EU is still at step 0.
        
             | varispeed wrote:
             | You have companies that specialise in creating "start ups"
             | that get tax payer funding, ride the money wave out and
             | then close. Usually they put homeless people in suits to
             | act as CEOs. One business folds, they create another one.
             | Then governments complain the public purse is shrinking and
             | there is no economic growth.
        
               | Silhouette wrote:
               | IMHO, the taxpayer funding aspect is a red herring
               | anyway.
               | 
               | There is no reason that a small team of founders or even
               | a solo founder should not be able to start and grow a
               | tech/software business well. The natural barriers to
               | entry are very low in this industry. If you have a useful
               | idea, the technical skills to implement it, and the
               | willingness to try, you should never _need_ lots of
               | external help to build a viable business.
               | 
               | Obviously there are advantages to taking substantial
               | external investment or other funding, and doing so
               | usually also comes with strings attached. You have to
               | weigh up whether the cost/benefit is favourable. But in a
               | tech/software business, this should primarily be useful
               | for accelerating the success of a business already
               | destined to be successful. We're not talking about
               | manufacturing where you need to pay for factory
               | facilities and supply chains of physical materials and
               | other big up-front costs before you can start creating
               | value yourself that you can charge for.
               | 
               | The reason it is increasingly difficult for any small
               | founding team to actually do that in much of Europe has a
               | lot more to do with regulatory barriers and red tape than
               | lack of funding. No startup is going to perform well if
               | someone keeps distracting the people building it and
               | making them do things that aren't directly adding value.
        
               | estaseuropano wrote:
               | I see this comment a lot but I have never seen any
               | evidence for this. What exactly is the barrier that a
               | tech startup faces in Europe vs US? Which regulations are
               | in the way (and are they EU or national ones)?
               | 
               | There is a lot of bs thrown around e.g. GDPR is far from
               | evil or bothersome, as well funded lobby groups have made
               | it out to be. You don't need cookie warnings if you use
               | cookies to log your users in, only if you sell your users
               | out to google and other analytics companies. You are
               | obliged to have unsubscribe links in your emails to
               | users. You have to provide and delete data you hold on
               | specific users if requested. From a few hundred thousand
               | users you need a data controller which is for ally
               | responsible to watch out for data breaches (this is just
               | an identified person, not a full time post). What's the
               | big deal?
               | 
               | Much more stifling are e.g. the processes to register a
               | company in the country you are based in or to get a bank
               | account, and of course Europe's language diversity
               | shrinks the potential reach so most that want to scale do
               | so in English and then find it convenient to have offices
               | e.g. in the US or UK.
        
               | Silhouette wrote:
               | _I see this comment a lot but I have never seen any
               | evidence for this._
               | 
               | While this is not intended as a criticism of you
               | personally, you have ironically just demonstrated a big
               | part of the problem. I might reply that I have seen this
               | response a lot, no matter how often I have previously
               | given detailed examples, sometimes even in the same
               | forum. A lot of people who haven't themselves tried to
               | run a business in this environment are almost completely
               | unaware of the hassle it can be. Here in the UK, this is
               | a particularly poignant issue because of the poor quality
               | of "debate" around Brexit a few years ago.
               | 
               | Now, to answer your question, here are a few of the
               | different barriers a new tech business would face here in
               | the UK right now.
               | 
               | 1. It's been difficult-to-impossible to open a new
               | business bank account for the past several months. The
               | big banks have (they claim) been so busy administering
               | government support schemes for existing business
               | customers that they couldn't take on any more. Government
               | have been mostly ineffective at dealing with this
               | problem.
               | 
               | 2. To hire anyone (other than owner-directors, when some
               | of this might not apply) means drawing up employment
               | contracts with all the required elements, establishing
               | formal grievance and disciplinary processes, being aware
               | of numerous employment regulations, arranging all
               | required insurance policies, identifying what evidence
               | you need to keep to confirm a candidate's legal right to
               | work for you, understanding any relevant minimum wages
               | and time off including many kinds of statutory leave and
               | pay, understanding your health and safety obligations
               | including things you must say/provide/fund for your
               | employee, establishing a payroll system and integrating
               | that with the government's real-time information system
               | if you haven't already done this, setting up a compliant
               | company pension scheme if you haven't already done this,
               | and who knows what else because this sentence is already
               | half a screen long.
               | 
               | 3. All of your personal data processing needs to be GDPR
               | compliant. Its defenders like to say this isn't a big
               | burden because it "just" means you have to do a few
               | reasonable-looking things they can type out in a single
               | comment. However, the main GDPR document alone is nearly
               | 100 pages long and that's before you consider all the
               | supporting material and the views of 28 different
               | regulators. One of these things is not the same scale as
               | the other.
               | 
               | 4. If you're selling B2C, the consumer rights rules will
               | apply. Again, on the face of it, that's fine. Who can
               | object to fair protections for consumers, right? But when
               | you actually read them, they are full of things that
               | aren't well considered, like defaults that probably no-
               | one would ever want, long and highly context-sensitive
               | lists of information that must be provided at different
               | times, obscenely disproportionate penalties for minor
               | infractions by merchants, etc.
               | 
               | 5. VAT. I'm not going to elaborate much, though I could
               | write a pretty long book on the subject at this point.
               | You're welcome to Google the numerous extensive
               | criticisms out there. I suggest starting with #vatmess.
               | Pay particular attention to how the EU changed the rules
               | so what used to be a single market where merchants
               | treated customers anywhere in Europe the same as in their
               | home country got turned into a situation where merchants
               | had to understand and comply with the tax rates and rules
               | in every one of 28 member states. This is literally the
               | opposite of the EU promise of creating a single market.
               | 
               | 6. The IP landscape is unclear. Attempts to standardise
               | it have repeatedly failed. No-one really knows what you
               | can or can't get a patent for, or even what _types_ of
               | inventions you can or can 't get a patent for. Copyright
               | rules differ significantly with geographical location,
               | and in some places additional related rights exist.
               | 
               | 7. Lots of relatively minor stuff like the "cookie law",
               | which is a tiny and yet totemic issue. It was well-
               | intentioned but written by people who didn't really
               | understand the technology and its implications. It
               | doesn't do much to protect anyone. It annoys almost
               | everyone. Non-compliance is widespread, whether
               | deliberately or through simple misunderstanding or
               | ignorance of what is technically required. There is
               | little enforcement in practice, so operators who do make
               | the effort to comply are left at a disadvantage. And
               | years later, all of this still hasn't been properly fixed
               | even though just about everyone agrees on it.
               | 
               | Edit to add:
               | 
               | 8. How could I forget PSD2/SCA? There's nothing like
               | putting obstacles in the way of actually collecting money
               | from your customers to help a business grow.
        
               | foobiekr wrote:
               | Agree with all of these.
               | 
               | In the US there are multiple turnkey schemes for #2,
               | though, albeit at some cost. Is there a gap in the EU?
        
               | jbverschoor wrote:
               | In NL, you can't fire someone. Only in certain cases,
               | after a long buildup of cases about this person. So you
               | do temporary contracts, but after 3 periods, it will be
               | indefinite. People are "sick", and you get to keep paying
               | them for a couple of years.
               | 
               | Now combine this with self funded companies, and 1 bad
               | hire can kill your company
        
               | Silhouette wrote:
               | Many of the rules around hiring employees are national
               | rather than EU, so anything that did the whole lot as a
               | turnkey solution would probably have to vary
               | significantly from one member state to another (and
               | within the UK, which for now remains aligned with the EU
               | rules as well).
               | 
               | You can certainly get software that handles things like
               | payroll and statutory leave. Using it has become a
               | practical necessity anyway since governments like the
               | UK's started requiring payroll data to be filed
               | electronically using approved software built on top of
               | their API.
               | 
               | IMHO, the problem with becoming an employer for the first
               | time is that there are _so many_ things that an employer
               | is now required to arrange that even if they are
               | individually quite reasonable the cumulative effort can
               | be a deterrent.
               | 
               | For example, if an employee at your tech firm uses a
               | display screen, you must arrange and pay for an eyesight
               | test with a suitably qualified professional if they ask
               | for one. You must also pay for their glasses if they need
               | an extra prescription specifically for display screen
               | use, but you don't need to do this if their ordinary
               | prescription is already suitable.
               | 
               | While you're dealing with H&S issues, don't forget to
               | conduct your suitable and sufficient risk assessment for
               | each new employee who is going to be working from home
               | during the pandemic restrictions and then make any
               | changes needed so they can do so in a safe and healthy
               | way, whatever any of that actually means in practice.
               | 
               | The list of things you're automatically responsible for
               | the moment you become someone's employer is pretty long
               | in my country, and if you want to get it even close to
               | right you'll probably end up dealing with lawyers,
               | accountants, insurers, pension providers, HMRC, anyone
               | who makes related software you now need to use, and from
               | time to time possibly others like medical professionals.
               | 
               | As far as I'm aware, the closest thing to a turnkey
               | solution that covers all of this is engaging an HR
               | professional, presumably on a consultancy basis since you
               | hardly need one full time if you're a bootstrapped
               | startup looking for employee #1. But then that's more
               | cost to deal with, and it's still going to take
               | considerable time for one or more of your founders to
               | make all the necessary arrangements even if you've
               | brought in an expert to tell you what those arrangements
               | need to be.
        
               | rusk wrote:
               | Please add some details or citation to this. It's a
               | fascinating idea and I'd like to know more. I mean YC is
               | literally in the business of startup businesses but your
               | whole remark about the homeless guys has thrown me
               | perhaps it needs \/s?
        
             | ajsnigrutin wrote:
             | > And that, IMNSHO as someone who has founded tech
             | businesses here, is entirely fair criticism. The
             | environment created by all those regulations is insanely
             | hostile to tech entrepreneurship, and it's not as if many
             | of those regulations are well considered or effective at
             | protecting vulnerable groups anyway.
             | 
             | yup.
             | 
             | Many different rules in eu countries, fscked up tax rules
             | for companies trading with foreing customers, high taxes
             | for relatively well paid tech workers, and high cost of
             | entry into the business is killing european businesses.
             | 
             | Even starting a business is hard... I hear a lot of people
             | from USA who (eg.) find a old t-shirt printing press in a
             | yard sale, and start their own t-shirt printing business,
             | fill out some forms, sell 7 tshirts in two years, mostly to
             | family, and then stop doing it. Just being able to letally
             | sell a t-shirt in many eu states will cost you thousands
             | and thousands of euros, where it's just not worth it to
             | start. Wanna make an app by yourself and host the backend
             | on a $5 digitalocean VM? Sure... but do it for free. Want
             | to earn something? If you have just a few dollars of
             | income, it's not worth it... you need a lot of users paying
             | you a lot of money to pay the government fees, even if you
             | work for free.
        
         | WhyNotHugo wrote:
         | I wouldn't ban the company (there's no way to make that sound
         | right).
         | 
         | Just ban the practices they follow, which makes them
         | unqualified to participate unless they really change that.
         | 
         | For example, public procurement should always require software
         | be open source as a hard dealbraker. This is actually the case
         | in [too few] countries.
        
           | jandrewrogers wrote:
           | As a practical matter, there would need to be exemptions (and
           | usually are). There is closed source software used by
           | government that has no open source equivalent, is unlikely to
           | have an open source equivalent in the foreseeable future for
           | various reasons, and the government has no leverage to force
           | the companies to make their software open source.
           | 
           | Some things can be open source, the government already uses a
           | lot of open source in many countries, but the government has
           | little recourse if providers of critical software
           | capabilities refuse to do business under those terms.
        
           | estaseuropano wrote:
           | I'd be curious about an example of a country where this is at
           | all a requirement. Sadly I think not even Estonia asks for
           | that, they just work with great central services and APIs.
        
             | realityking wrote:
             | It's starting to happen in Germany, at least in healthcare.
             | The Corona Warn App was open sourced (developed by SAP und
             | Deutsche Telekom) and the server software (developed by
             | IBM) will also be open sourced (https://www.kma-
             | online.de/aktuelles/it-digital-health/detail...)
        
               | usr1106 wrote:
               | > It's starting to happen in Germany, at least in
               | healthcare. The Corona Warn App was open sourced
               | 
               | And now there is a closed source competitor with a lot of
               | backing from some politicians. So it's not that they
               | would have learned the lesson.
        
         | Stranger43 wrote:
         | Europe is not America and emulating American mercantilism is
         | probably not going to result in anything positive, as the
         | European market is too decentralized for the kind of collusion
         | between the political/diplomatic system that allows the
         | American multinationals to dominate.
         | 
         | What the EU should do is play to it's strengths as the last
         | organizations left that takes the regulative role required by
         | smiths model of capitalism serious and start enforcing
         | transparency, choice and interoperability on the digital field,
         | with the same zeal it treats similar regulation in the
         | agricultural and manufacturing sectors.
        
         | apocalyptic0n3 wrote:
         | > Ban Oracle and Microsoft from public procurement and start
         | supporting the European equivalent of Baidu or Yandex.
         | 
         | Neither of those are EU either, are they? Baidu is Chinese and
         | Yandex is Russia (admittedly they are in Europe, but not part
         | of the EU). How is that any different, from the EU's
         | perspective, to supporting Oracle and Microsoft? Unless I'm
         | misinformed, which is entirely possible.
        
           | Teknoman117 wrote:
           | The commenter said _equivalent_. They were not saying the EU
           | should fund Baidu or Yandex. They were saying to either find
           | or create an equivalent in the EU and fund that.
           | 
           | Curious as to how one expects to will such a company into
           | existence, but whatever I guess.
        
             | apocalyptic0n3 wrote:
             | That's fair. I suppose I misread what the OP said. Thanks
             | for the clarification. It's greatly appreciated.
        
         | Barrin92 wrote:
         | I don't want to replace Facebook's panopticon data collection
         | with a European one in the name of European nationalism, I just
         | want companies to respect user privacy, I don't want to adopt
         | Russian or Chinese style surveillance state-capitalism to do..
         | what exactly?
         | 
         | America, Russia and China are heading head first into cyberpunk
         | dystopia and your suggestion is we better hurry up because
         | we're currently being stopped by 'endless bureaucracy'? I'm
         | gonna be honest I'd rather take the bureaucracy than play that
         | game
        
         | simfoo wrote:
         | >How about actually supporting the European Tech industry
         | instead of just adding endless bureaucracy?
         | 
         | How about doing both the first while also ensuring that
         | european law is actually being followed? So far US monopolists
         | have relied on being in bed with Irish lawmakers to avoid the
         | GDPR fines.
        
           | HPsquared wrote:
           | Perhaps there is an inverse correlation between those things.
        
             | anoncake wrote:
             | If the state can only regulate the economy, which is part
             | of its core task and cannot be done by any other entity, or
             | pump money into it, I'd absolutely prefer the former.
        
         | nob0dyasked wrote:
         | Why judging things by their capacity to pay taxes?
         | 
         | Taxes are about the least thing that matters for society. You
         | complain about incompetent bureaucracy but who do you think
         | manages taxes?
         | 
         | Good service, privacy, innovation, these are the questions.
        
         | LightG wrote:
         | Whether Facebook comes from the EU or the US, the same data
         | issues would arise. Hence, regulation.
        
         | tester34 wrote:
         | I'd rather ban fb, twitter, tiktok
        
           | spodek wrote:
           | Calling them tech associates them with inventors and people
           | who want to improve life.
           | 
           | The Sackler family and Purdue Pharma is a more accurate
           | association. They purport to help and in some situation they
           | do. We all love cat videos and notes from mom and dad. But
           | they make money from addicting people. Whatever technologies
           | they create serve that mission. They're not opposed to
           | improving the quality of users' lives, but that's a side
           | effect. Mostly they relieve craving in ways that recreate it.
        
         | Dobbs wrote:
         | Because not everything is about money and business. The EU
         | while far from perfect does try and look out for, respect, and
         | care for its people. Both at an EU wide level, and at
         | individual country levels. GDPR and this are both attempts to
         | provide more protection to individuals. Not necessarily to
         | build homegrown alternatives. The problem isn't the specific
         | company, but how companies in this sector act.
        
         | tallanvor wrote:
         | For one thing, these countries employ thousands of people in
         | the EU. Banning them from public procurement would hurt many of
         | their residents, and still wouldn't guarantee good solutions.
        
         | TX0098812 wrote:
         | > How about actually supporting the European Tech industry
         | instead of just adding endless bureaucracy?
         | 
         | Their power is to make rules, so they will make rules because
         | it is all they know how to do. Leaving things alone is often
         | the most difficult (and important) thing to do.
        
           | etripe wrote:
           | If all you have is a ban hammer, everything looks like a
           | flame?
           | 
           | I'm not sure that criticism is entirely valid, as it looks at
           | European institutions exclusively. Surely lobby groups and
           | their perpetual pressure on legislators play a role, too,
           | like they would for the US House and Senate. Even with that
           | pressure, I suppose they could "leave well alone", but then
           | they'd be seen as uncooperative and ignoring their
           | constituents.
           | 
           | I'd like to live in a world where legislators have competent
           | cabinets and can be assumed to be reasonably well-informed,
           | but for instance the Facebook hearings have shown there's a
           | long way to go.
           | 
           | Even non-technical issues show this to be true. Case in
           | point: the UK and Dutch governments thinking they would solve
           | the housing crisis by giving mortgage grants to starters.
           | Expectation: case closed. Reality: housing prices surged even
           | more due to the cash injection.
        
           | csunbird wrote:
           | who cares about new rules when nobody is enforcing them. it
           | has been 3 years since gdpr is in effect, but nobody actually
           | cares, especially the U.S. tech giants.
        
         | dmitriid wrote:
         | > instead of just adding endless bureaucracy?
         | 
         | What do you mean by "endless bureaucracy"? Making sure that
         | people's personal data is not sold right and left?
        
         | dvdkon wrote:
         | How about we actually think hard about the situation, formulate
         | clearly why we don't like it and propose non-ad-hoc legislation
         | that fixes the specific issues? Banning companies on the basis
         | of "too powerful"/"I don't like them" is how dictatorships
         | work, we should strive to be better than that, even if it is
         | more work. I agree with your motives, but I still believe in
         | the "legal state" ideal.
        
         | gerdesj wrote:
         | Rather than play silly buggers why not start with things like
         | this:
         | 
         | https://www.gov.uk/government/publications/open-standards-fo...
         | 
         | That's the UK govt standard for document/data exchange. Short,
         | simple and open. Get the basics right first then tackle the
         | complicated stuff.
        
           | dpwm wrote:
           | > That's the UK govt standard for document/data exchange.
           | Short, simple and open. Get the basics right first then
           | tackle the complicated stuff.
           | 
           | Which would be great if they actually followed their
           | guidance.
           | 
           | In reality, the UK Westminster government is one of the worst
           | entities for pushing out spreadsheets that use over-
           | engineered excel-specific validation (often wrong for excel,
           | too) with protection. There is no offer of an ods version,
           | only xlsx.
        
         | mtgx wrote:
         | Why not both?
        
         | md9001 wrote:
         | It won't happen. EU bureaucracy just likes to travel from one
         | capital to another and enjoying 5 star comfort pretending to be
         | extremely busy completely disconnected from reality.
         | 
         | Its not that they haven't poured in huge amounts of cash into
         | science and tech. Its that its all gone into building ivory
         | towers even more disconnected from reality. So the people in
         | those ivory towers have no clue how to compete in a ruthless
         | world.
         | 
         | When someone just gets cash grants without loosing sweet and
         | blood how the fuck are they supposed to compete with people
         | around the world who have that experience?
        
           | tester34 wrote:
           | (real question) aren't e.g Tesla, SpaceX, NASA, Boeing using
           | govt money too?
        
             | Ralfp wrote:
             | In fact they are:
             | 
             | SpaceX does gov contracts for US defense and NASA.
             | 
             | Tesla is selling their carbon credits to other companies.
             | 
             | NASA is gov agency.
             | 
             | Boeing is doing both defense and civilian contracts for US
             | gov.
        
               | dgellow wrote:
               | Regarding Tesla, it's even their main source of revenue!
               | https://www.mercurynews.com/2021/02/01/teslas-dirty-
               | little-s...
        
             | [deleted]
        
           | bsedlm wrote:
           | > When someone just gets cash grants without loosing sweet
           | and blood how the fuck are they supposed to compete with
           | people around the world who have that experience?
           | 
           | Somehow, "market forces" (in a certain not-literal sense)
           | where supposed to take care of this. In an honest marketplace
           | there exists a level of competition which keeps the
           | participants honest.
           | 
           | Back when knowledge still needed a physical merchandise-like
           | form to be transferred (even as printed books) this market-
           | given-honesty pattern still somewhat worked. But the modern
           | digital age has completely broken this.
           | 
           | There's just something fundamentally different about
           | "cognitive commodities" (i.e. digital data) and "merchandise"
           | (i.e. goods with physical exclusiveness) which completely
           | changes things
        
           | dieortin wrote:
           | I'd say Airbus is competing quite well, Boeing not so much.
        
             | throwaway12509 wrote:
             | Neither Airbus nor Boeing has initiated a new aircraft
             | design since the late 90s early 2000s with the A380 and 787
             | respectively.
             | 
             | The A220, a legitimate clean-sheet and fantastic aircraft,
             | came from Bombardier and only fell into Airbus hands due to
             | regulatory warfare, albeit from the American side this
             | time.
        
               | delroth wrote:
               | Did you mean A350 rather than A380?
        
       | PicassoCTs wrote:
       | This is the european equivalent to project golden shield.
       | Establish hostile laws, locking google,amazon and fb out & grow
       | local companies to fill the gap.
        
         | sgift wrote:
         | Nothing about these laws is specific to foreign companies. It's
         | specific to data abusing companies and if those come from
         | within Europe they get fined too.
        
       | streamofdigits wrote:
       | What is it with the British Isles and their "job specialization"
       | in arbitraging / milking the economy of continental Europe?
       | 
       | From the financial rent seeking of London, to the tax and privacy
       | regulatory arbitrages of Ireland the same pattern of exploiting
       | arbitrarily erected information walls to evade scrutiny and
       | accountability.
       | 
       | Of course this is a tango that takes three to dance...
        
         | rusk wrote:
         | You think this stuff doesn't go on in Paris or Frankfurt?
         | Luxembourg is a whole city state dedicated to this kind of
         | thing.
         | 
         | They're just better at keeping under the radar and probably
         | have better PR.
        
           | nivenkos wrote:
           | The former PM of Luxembourg was also the head of the EU.
           | 
           | They're running the dog and pony show.
        
             | rusk wrote:
             | It goes on everywhere. New York is the same.
             | 
             | Ireland is an outlier in the fact that her ascendancy
             | coincided with the US tech boom and language was an
             | advantage. You have a very awkward situation developing and
             | the current political leaders don't have the imagination to
             | get out of it.
             | 
             | The UK is an outlier because though they had a far more
             | robust and diverse economy they threw everything into
             | finance and have just burned any bridges back.
        
               | Silhouette wrote:
               | _The UK is an outlier because though they had a far more
               | robust and diverse economy they threw everything into
               | finance and have just burned any bridges back._
               | 
               | That's not really true.
               | 
               | https://commonslibrary.parliament.uk/research-
               | briefings/sn06...
               | 
               | The financial services sector only contributes around 7%
               | of total UK economic output.
        
               | rusk wrote:
               | Yeah that's what they want you to think. Just like how
               | Ireland has the highest GDP in Europe or some nonsense
        
         | brnt wrote:
         | London is an exercise in marketing, to see how far peoples
         | suspension of disbelief can be stretched whilst being a net
         | drain on a country it isn't even strictly part of, and a drain
         | the world as a whole.
         | 
         | It is amazing to see how Brits outside of (hell, even in)
         | London live, the British countryside has some of the poorest
         | areas in western Europe. Evidence marketing is effective!
        
           | maccard wrote:
           | > the British countryside has some of the poorest areas in
           | western Europe
           | 
           | All rich countries have impovrished areas that have been left
           | behind.
           | 
           | > It is amazing to see how Brits outside of (hell, even in)
           | London live,
           | 
           | The same can be said for California, New York, Florida,
           | Dublin, Paris, Barcelona, etc.
        
             | seniorivn wrote:
             | Swiss don't
        
               | bojan wrote:
               | In The Netherlands they are few and far between.
        
             | brnt wrote:
             | > All rich countries have impovrished areas that have been
             | left behind.
             | 
             | Check which countries make the top 10 lists in QoL. You'll
             | find their ghetto's are as nice to live as some of
             | Britain's good neighbourhoods!
        
           | HPsquared wrote:
           | >> net drain on a country it isn't even strictly part of
           | 
           | Not quite:
           | https://en.m.wikipedia.org/wiki/London_fiscal_balance
        
             | estaseuropano wrote:
             | London and the City of London are different entities.
        
               | newroman wrote:
               | good job it's not talking about the city of London, then
        
           | ForHackernews wrote:
           | What parts of the British countryside are poor?
           | 
           | Anecdotally, the stereotypical British farmer is a wealthy
           | Tory, and low income populations are concentrated in council
           | estates in postindustrial northern towns and cities (i.e. not
           | the countryside).
        
             | toyg wrote:
             | to most non-brits, Britain is effectively divided between
             | "London" and "anything else". This "anything else" can be
             | referenced to, more or less interchangeably, as "the
             | countryside", "Scotland" or (after Game of Thrones) "the
             | North". Manchester is basically a London suburb, Sheffield
             | is just a factory that closed in the '80s, and Birmingham
             | doesn't exist.
        
             | mc32 wrote:
             | From my US PoV, most smallholder farmers in the UK are not
             | rich or wealthy, but almost subsistence --perhaps better
             | than break even but do not generate enough income so one
             | partner has to keep a professional job.
             | 
             | As for post industrial rust-towns, I think of the
             | northeast/Newcastle, Humberside & Scotland --maybe
             | influenced by 'The Post War Dream' and Kris Killip's
             | photography.
        
               | ForHackernews wrote:
               | Maybe it's a matter of perspective: If you buy a million
               | pound property to live in and keep as a hobby farm that
               | also generates a little bit of income, are you
               | "subsistence" or in fact "very wealthy"?
        
         | nob0dyasked wrote:
         | It would be much easier if France, Germany, Italy, Spain made
         | an effort to be a bit more competitive, rather than bullying
         | economies that are already reshaping to compete globally.
        
         | blibble wrote:
         | let me introduce you to the existence of the Netherlands and
         | Luxembourg
        
         | mpweiher wrote:
         | With Ireland, this was intentional by the EU to bring the then
         | new member closer to the rest, economically.
         | 
         | Now that Ireland has passed most of the rest of the EU in GDP
         | per capita, it's time to pull that back, and that's starting to
         | happen.
         | 
         | The UK...well... -\\_(tsu)_/-
        
         | HPsquared wrote:
         | It's a bit like the relationship between China and Hong Kong
         | (until recently, at least)
        
         | s_dev wrote:
         | >What is it with the British Isles
         | 
         | It's not a British Isle -- it's an Irish one. Great Britain
         | refers to the main island composing England, Scotland and
         | Wales. The Irish isle of Ireland is composed of the two
         | Irelands (Ireland and Northern Ireland). The 'British Isles'
         | term is disputed by many Irish people. The reason it's not a
         | geographic term is because it's not a river -- Britain is a
         | geopolitical entity not a purely geographic one.
         | 
         | The fact the Ireland was head of the GDPR for the EU was merely
         | an odd coincidence and has been rectified. You won't many upset
         | Irish people over this.
        
           | tremon wrote:
           | https://en.wikipedia.org/wiki/British_Isles
           | 
           | > The British Isles are a group of islands in the North
           | Atlantic off the north-western coast of continental Europe,
           | consisting of the islands of Great Britain, Ireland, the Isle
           | of Man, the Hebrides and over six thousand smaller islands.
           | [They] include two sovereign states, the Republic of Ireland
           | and the United Kingdom of Great Britain and Northern Ireland.
        
             | anonymousDan wrote:
             | https://en.wikipedia.org/wiki/British_Isles_naming_dispute
             | 
             | No-one in Ireland would refer to them as the British Isles.
        
               | dangerface wrote:
               | I do
        
             | s_dev wrote:
             | According to your own source the term is disputed -- a
             | substantial amount of the article is dedicated to the
             | dispute.
        
       | joelbluminator wrote:
       | Its very hard. Even if you build an EU Facebook that is awesome,
       | how do you make users switch? All the data is in the old
       | Facebook. Not just your profile: groups, pages, marketplace etc
       | etc
        
         | Nextgrid wrote:
         | Enforcing the GDPR properly would make Facebook as we currently
         | know it unsustainable, so they'd have to charge money, opening
         | themselves up to competition.
        
           | joelbluminator wrote:
           | Thats quite harsh though, lots of people rely on Facebook for
           | their business/pages/groups etc. Whats more the U.S can
           | retaliate back since it can be seen as protectionism...
        
             | Nextgrid wrote:
             | I don't deny that lots of people rely on Facebook.
             | 
             | However what the GDPR demands seems absolutely reasonable.
             | All it requires is that the company must be transparent
             | with what data it collects, how it uses it and gives each
             | individual control of whether they want to allow Facebook
             | to collect and use their data for specific purposes.
             | 
             | If Facebook can't sustain itself without stalking everyone,
             | it's a problem with Facebook, not with the GDPR.
        
               | joelbluminator wrote:
               | Well since it's gonna destroy Europe not just for
               | Facebook but probably all big U.S tech I don't see why
               | the U.S won't reciprocate with nice tariffs on EU auto
               | industry for instance. It seems quite draconian actually
               | since almost no one complies with GDPR to that extent.
        
       | kostyal wrote:
       | The world's countries at a party, tech edition:
       | 
       | US: We'll bring the software!
       | 
       | China: We'll bring the hardware!
       | 
       | EU: We'll bring the regulation!
        
         | toyg wrote:
         | might be a joke, but the thought of being the Wise Old Men
         | setting rules for the rest of the world plays perfectly well to
         | our historical strengths, so to speak. Euro man burden, anyone?
        
         | uhorb wrote:
         | Ah yes, the country of the European Union
        
           | kostyal wrote:
           | it's a joke you pedant
        
           | r8d7u3h3 wrote:
           | Frankly, given the primacy of EU law it's strange to me that
           | EU members feel like they really are countries anymore.
        
             | uhorb wrote:
             | From my perspective, EU law does not play the most dominant
             | role in everyday life. Apart from the big (or super silly)
             | changes, it's often more of a news maker. Take that plus
             | big cultural differences (most notably: not being able to
             | understand each other's language), and you get a feeling of
             | own nationalities.
        
             | esperent wrote:
             | I'm guessing you're not European from this comment. This is
             | not meant as an attack; it just seems like your comment
             | lacks the perspective of actually living in the EU.
             | 
             | EU law makes news. It doesn't make many obvious appearances
             | in day to day life when you're living there, however.
        
             | jokethrowaway wrote:
             | There are still so many cultural and legislative
             | differences between countries that people don't feel
             | Europeans, they identify with the individual country.
             | 
             | The UK was definitely the country which stood out the most
             | in EU, so after Brexit, the EU lost one furthest away
             | country in its block, in terms of diversity.
             | 
             | EU law cover stuff you hardly run into. Sure, you have
             | euros everywhere but they don't regulate how much taxes you
             | pay or how your national health care is managed.
             | 
             | All is fine until they start regulating on things that
             | matter. Immigration is definitely one of the first sector
             | where people started noticing they're in the EU, because
             | they're unhappy with the results.
        
           | afiori wrote:
           | Categories are created for people not people for categoried
           | 
           | https://slatestarcodex.com/2014/11/21/the-categories-were-
           | ma...
        
           | Der_Einzige wrote:
           | One of the resolutions that I frequently make competitive
           | high school debaters debate about is a proposal for the EU to
           | federalize and form the united states of Europe. Honestly,
           | the EU really should try this. African leaders are also
           | trying to form a United States of Africa, and I wouldn't be
           | surprised if something like it happens by the 2030s or
           | 2040s...
           | 
           | https://en.m.wikipedia.org/wiki/United_States_of_Europe
           | 
           | https://en.m.wikipedia.org/wiki/United_States_of_Africa
        
         | bryan_w wrote:
         | China brings the labor, Africa brings the materials.
        
         | usr1106 wrote:
         | US bureaucracy is not any better than EU. Have you dealt with
         | the FDA, FAA or SEC?
         | 
         | The difference is that the EU tries to protect people in
         | different aspects like social rights or privacy. The US does
         | not offer similar protection, so in some sectors you don't hit
         | the bureaucracy.
        
           | jokethrowaway wrote:
           | The US started as a fresh new country with minimal state and
           | unbridled capitalism and became the largest state in the
           | world. There are still a few remnants of the old days (like
           | all that capital $$$) but it basically become an Europe with
           | expensive healthcare, expensive universities and tons of
           | social issues.
        
         | aneutron wrote:
         | ASML says hi from the Netherlands
        
           | bsedlm wrote:
           | But does ASML build anything? or is their business just
           | owning the "IP" (though, granted knowing this things is not
           | trivial, and it's even more difficult given their closedness)
        
             | aneutron wrote:
             | As far as publicly available information goes, everything,
             | including their HQ and Manufacturing, happens in Veldhoven
             | in the Netherlands.
        
         | anoncake wrote:
         | Yeah, China. The _other_ land of the free.
        
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