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Algorithms and AI operate on data — often personal data. If you deploy this technology, the GDPR rules apply in full: you need a legal basis, must be transparent, and may not simply subject people to exclusively automated decisions with major consequences. Carefulness is required, particularly in sensitive sectors such as healthcare.
Data-driven technology processes personal data
More and more sectors are deploying algorithms and AI to improve processes and substantiate decisions. This increases productivity, but often relies on personal data. As soon as this is the case, the GDPR applies, with all the associated obligations.
Foundation, transparency and data minimization
You need a valid legal basis to process personal data in an algorithm or AI system, and you must inform data subjects about this. Do not process more data than necessary, and ensure that the data used is accurate and up-to-date — inaccurate or distorted data leads to incorrect or discriminatory outcomes.
Automated decision-making
The GDPR sets limits on fully automated decisions. In principle, no one may be subjected to a decision that is exclusively automated and has legal effects or a similarly significant effect (Article 22 GDPR), subject to exceptions. Therefore, ensure meaningful human intervention in important decisions and be transparent about the logic.
Risk assessment and special sectors
If an AI or algorithm application poses a high privacy risk, a Data Protection Impact Assessment (DPIA) is often required. In sensitive sectors such as healthcare, where special categories of personal data are involved, particularly strict requirements apply. Assess your application carefully and also take the AI Regulation into account.
Frequently Asked Questions
Does the GDPR apply to algorithms and AI?
Yes, as soon as personal data is processed. You need a legal basis, must be transparent, and must not process more than necessary.
Should an algorithm be allowed to make independent decisions about people?
In principle, not for exclusively automated decisions with major consequences (Article 22 GDPR). Ensure meaningful human intervention.
Do I need a DPIA?
In the case of a high privacy risk, often yes, certainly with special personal data such as in healthcare.
Deploying AI and algorithms in a privacy-proof way?
Our legal experts review your application and conduct a privacy scan. View our privacyteam or schedule a free consultation.
