GDPR and CCPA: Will there ever be a US federal privacy law?

Posted by Channel Partner Insight on July 30, 2019:

All eyes are once again on data privacy and security as Equifax was this week ordered to pay up to $700 million in penalties for its mammoth 2017 breach which exposed the records of 147 million people.

Many have noted that Equifax's censure comes not only from federal regulatory bodies such as the Federal Trade Commission and the Consumer Financial Protection Bureau, but also from 50 states that led the proceedings against the credit bureau.

This is reflective of the current state of data privacy regulations in the U.S. With the California Consumer Privacy Act (CCPA) being the most notable of data privacy regulations, CPI talks to channel players outside California to get their take on what the near future holds for data privacy, regulation and the channel.

One thing is pretty clear: MSPs outside California are certainly keen to see further data privacy regulations. Khaled Farhang, founder and CEO at Washington, D.C.-based MSP eGuard Tech Consulting Services, says he's surprised that there aren't already stricter regulations surrounding the data security of clients.

"Right now I think there should be a huge requirement for MSPs to protect themselves, protect the data and the client better. Nobody's really regulating this at all. It's all up to the MSP and you hear more and more about MSPs being breached," he said.

"Because, let's face it, that's an easy way to target 50, 100 or 200 SMBs. So while I don't know what regulation they will put in place, I really hope they put something in place. I think it's better to have some minimum requirement, if nothing else, that all MSPs must adhere to. It's just better for the industry as a whole."