AI Glossary
What it means, why it matters to your business, and where it shows up in a real build decision.
Also known as GDPR
In plain terms
GDPR is the European Union regulation governing how personal data is collected and used, and it applies to any organization handling the data of EU residents, wherever that organization is based. Compliance is not optional and the fines are material. For AI, the hard parts are consent, the right to an explanation, and knowing exactly what data a model was exposed to.
GDPR is not a European regulation for European businesses only. It is a global requirement for any business that touches the data of European residents, wherever that business is registered.
A US SaaS company discovers its EU user base subjects it to GDPR. Their AI feature auto-processes profile data. Legal requires a data processing agreement with the AI provider, a documented lawful basis, and deletion procedures.
Check GDPR applicability before any AI feature that processes personal data. It is not a post-launch consideration. Baking in compliance from the start is far cheaper than retrofitting it.
There is no use case where GDPR compliance can be skipped if you process the data of EU residents. The size of the project is not a factor in whether the regulation applies.
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