Brazil is one of the latest countries to introduce new data protection laws, with LGPD (Lei Geral de Proteção de Dados) set to come into effect on August 15th, 2020. Similar to its EU counterpart, GDPR, LGPD focuses on the protection of consumers’ personal data and data subject rights, as the region moves towards a data-enabled economy. From the GSMA, it has received high praise for sending a strong signal that it is possible to both promote the free flow of data and ensure consumers are protected. For organizations across the country, it provides an opportunity to build trust into the digital ecosystem, crucial for exploring its full potential. But, of course, with new regulations come the complexities of ensuring compliance.
The impact on operators
The fundamental objective of LGPD and many other data protection laws is to ensure consumer data protection – using and sharing data in a responsible, secure and compliant way. LGPD affects mobile network operators, too. It places restrictions on the type of data that operators can transmit, access and store relating to their subscribers. This type of restriction directly impacts mobile operators’ initiatives to help protect consumers and digital platforms from fraud through the use of Mobile Identity solutions. Limitations make it more difficult to use personally identifiable data to verify customers’ identities for registration on digital platforms, for example when authenticating account access or financial transactions coming from a new location.
As LGPD is a brand-new data protection law, and the consequences for non-compliance are still unclear – but likely severe – operators are reluctant to take advantage of the very real market opportunity that Mobile Identity presents.
About Mobile Identity
Operators need a more prevalent, easy-to-use and reliable method to verify and authenticate users and transactions, so that they can on the one hand reduce fraud, and on the other improve customer experience.
Mobile numbers have evolved into one of the most ubiquitous, reliable and durable identifiers of the digital era. They are unique and in most cases permanent thanks to number portability, highly secure and extremely difficult to fake or hijack. The Mobile Identity insights behind mobile numbers are necessary to prevent fraud, enhance customer engagement, and support compliance.
Approaches to ensure compliant Mobile Identity services
The most important principle of the LGPD legislation is to restrict access to consumers’ data. Mobile operators can comply with this even as they continue to utilize Mobile Identity.
In practice, authentication through Mobile Identity is conducted by comparing the user’s data with records held by the mobile operator. If the two sets of data do not match, digital platforms can decide to flag a transaction for further verification. The entire process happens in the background in real time and within the operators’ own system, and is completely automated making it seamless and transparent to the end user.
A partner like BICS serves as an essential bridge in this process, connecting the mobile operator with the digital enterprise. BICS Mobile Identity solution is compliant with data protection regulations across the world, while implementation requires only one set of technical and commercial arrangements from the operator – all other connections are managed by BICS.
Although LGPD poses challenges for operators, it is key to remember that the new regulation does not prevent MNOs from utilizing data and Mobile Identity solutions.
Experience is key
Globally, as more data protection laws come into play, operators need to adopt the partnership approach to enter the Mobile Identity market. By partnering with an experienced global telecoms leader, they can be assured of solutions that incorporate and ensure full compliance. BICS has years of experience working with operators to offer guidance, support and implementation on new regulations, such as GDPR, to ensure operators are compliant with all relevant legislation.
BICS can help operators turn the challenges surrounding LGPD into an opportunity. By partnering with a leading telecoms provider, mobile network operators have peace of mind that all regulations are treated with the upmost importance.
Operators need to partner with a leading provider like BICS to ensure LGPD compliance. BICS has the prior experience with data protection laws, such as GDPR, to drive the urgency and importance of complying with new data regulations. BICS Mobile Identity allows operators to enhance subscriber privacy and provide transparent, consent-based authentication, underpinned by regulatory compliance.