Biden signs executive order with new framework to protect data transfers between the U.S. and EU
European Council President Charles Michel, President of the European Commission, Ursula von der Leyen and US President Joe Biden meet within EU -USA Summit in Brussels, Belgium on June 15, 2021.
Dursun Aydemir | Anadolu Agency | Getty Images
President Joe Biden signed an executive order to implement a new framework to protect the privacy of personal data shared between the U.S. and Europe, the White House announced on Friday.
The new framework fills a significant gap in data protections across the Atlantic since a European court undid a previous version in 2020. The court found the U.S. had too great an ability to surveil European data transferred through the earlier system.
The court case, known as Schrems II, “created enormous uncertainty about the ability of companies to transfer personal data from the European Union to the United States in a manner consistent with EU law,” then-Deputy Assistant Commerce Secretary James Sullivan wrote in a public letter shortly after the decision. The outcome made it so U.S. companies would need to use different “EU-approved data transfer mechanisms” on an ad hoc basis, creating more complexity for businesses, Sullivan wrote.
The so-called Privacy Shield 2.0 seeks to address European concerns of surveillance by U.S. intelligence agencies. In March, after the U.S. and EU agreed in principle to the new framework, the White House said in a fact sheet that the U.S. “committed to implement new safeguards to ensure that signals intelligence activities are necessary and proportionate in the pursuit of defined national security objectives.”
The new framework will allow individuals in the EU to seek redress through an independent Data Protection Review Court made up of members outside of the U.S. government. That body “would have full authority to adjudicate claims and direct remedial measures as needed,” according to the March fact sheet.
Before a matter reaches the DPRC, the civil liberties protection officer in the Office of the Director of National Intelligence will also conduct an initial investigation of complaints. Its decisions are also binding, subject to the independent body’s assessment.
The executive order directs the U.S. intelligence community to update policies and procedures to fit the new privacy protections in the framework. It also instructs the Privacy and Civil Liberties Oversight Board, an independent agency, to examine those updates and conduct an annual review of whether the intelligence community has fully adhered to binding redress decisions.
“The EU-U.S. Data Privacy Framework includes robust commitment to strengthen the privacy and civil liberties safeguards for signals intelligence, which will ensure the privacy of EU personal data,” Commerce Secretary Gina Raimondo told reporters Thursday.
Raimondo said she will transfer a series of documents and letters from relevant U.S. government agencies outlining the operation and enforcement of the framework to her EU counterpart, Commissioner Didier Reynders.
The EU will then conduct an “adequacy determination” of the measures, the White House said. It will assess the sufficiency of the data protection measures in order to restore the data transfer mechanism.
— CNBC’s Chelsey Cox contributed to this report.
WATCH: Why the U.S. government is questioning your online privacy
Technology
How Broadcom’s big OpenAI deal fits into the data center boom and what it means for the AI trade
Oracle CEO, Clay Magouyrk, sits down with CNBC’s David Faber on Oct. 13, 2025.
CNBC
Oracle CEO Clay Magouyrk, one of the two people tapped last month to lead the software company, is confident that OpenAI will be able to cover the costs of the massive amount of cloud infrastructure services it consumes.
In an interview with CNBC’s David Faber at Oracle’s AI World conference on Monday, Magouyrk said “of course” OpenAI can pay $60 billion for a year’s worth of cloud resources. In July, OpenAI agreed to a five-year deal with Oracle that’s worth over $300 billion.
“Just look at the rate at which they’ve grown to, you know, almost a billion users. That’s just unheard of,” said Magouyrk, who sat alongside fellow Oracle CEO Mike Sicilia for the interview in Las Vegas.
OpenAI said last week that its flagship ChatGPT chatbot, which was publicly launched less than three years ago, now has 800 million weekly active users. In 2024, OpenAI recorded a $5 billion net loss.
Sicilia said Oracle has started integrating OpenAI artificial intelligence models into a patient portal for viewing electronic health records. Oracle acquired EHR vendor Cerner for about $28 billion in 2022.
“I’ve seen the results, and I really do think that they’re going to have a dramatic impact on industries, on enterprises of all types,” Sicilia said of OpenAI.
OpenAI rents out Nvidia graphics chips to run models through Oracle, as well as CoreWeave, Google and Microsoft. At the same time, the company is designing a custom AI processor that Broadcom will build. Earlier on Monday, Broadcom and OpenAI said they will jointly deploy 10 gigawatts worth of the new OpenAI chips.
Building out that much infrastructure requires a hefty amount of new energy.
“I think it’s a factor of time, not a factor of if we’ll have enough power,” Sicilia said.
Oracle shares rose almost 6% on Monday. The stock has gained 86% this year, lifting Oracle’s market cap close to $900 billion.
WATCH: Oracle CEO Magouyrk: ‘Of course’ OpenAI can pay $60 billion per year
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