Private AI in response to stricter data protection requirements

On Safer Internet Day 2026, the focus is shifting to the responsible use of artificial intelligence. While the threat situation has worsened by over 56 percent according to the Stanford AI Index Report, companies must also comply with the GDPR and the EU AI Act. Private AI offers a solution in which sensitive data never leaves the corporate environment.

Francisco Mateo-Sidrón, Head of EMEA at Cloudera (Source: Cloudera)

The discussion surrounding Safer Internet Day has changed fundamentally in recent years. Instead of individual password hygiene, the focus in 2026 will be on broader topics such as the regulation of artificial intelligence. In Germany, the GDPR and the EU AI Act are significantly tightening the requirements for dealing with AI systems. At the same time, companies are trying to keep pace with the progress of AI and become increasingly data-driven.

Data forms the basis for the use of AI, especially when companies have large amounts of consumer information. According to a Cloudera survey, this is reflected in the data culture: in Germany, the proportion of respondents who classify their corporate culture as «extremely data-driven» rose from eight percent (2024) to 30 percent (2025).

Volatile threat situation and geopolitical tensions

The urgency of considering data protection as part of AI strategies stems from a volatile threat situation and geopolitical tensions. The increasing use of AI in various business areas increases the attack surface for cyber threats. The Stanford AI Index Report 2025 documents an increase in security and data protection incidents in the AI environment of more than 56 percent within one year.

Consumer data continues to be a particular focus for cybercriminals: In IBM's Cost of a Data Breach report, it was the most commonly compromised data type globally, appearing in 53 percent of all retail data breaches. The increased cyberthreats are targeting the large transaction volumes and sensitive personal data that retailers and financial institutions manage.

In addition, consumer awareness of the value of their data has increased, as the Cisco 2026 Data Privacy Benchmark Study shows. According to the study, 46% of global companies state that clear communication about how AI is trained with consumer data is essential. This is the only way to maintain users' trust in an organization.

Private AI overcomes the data protection dilemma

Companies must responsibly manage and protect the data that drives their growth to reduce the risk of data leaks and unauthorized access. In these circumstances, a single breach not only leads to fines, but can damage reputation and brand value in the long term. At the same time, it is important to explore the limits of AI in order to gain a competitive advantage.

Private AI has emerged as a key framework for modern companies. This is a strategic approach that defines how companies develop, operate and manage AI systems. Private AI ensures that the input and output data of models never leave the corporate environment. All information remains within the company's own infrastructure. This enables companies to overcome the «data protection dilemma». Private AI disproves the assumption that companies have to choose between using data for innovation and blocking it for AI for compliance reasons.

Absolute visibility as a prerequisite

However, effective, private AI requires absolute visibility of data. According to Gartner's metadata management report, almost 60 percent of companies admit that they don't know where their critical data is located. And what you can't see, you can't control. To counteract this, successful companies today use standardized data platforms such as those from Cloudera, which offer seamless data lineage. They track exactly where the data comes from, how it was transformed and who accessed it.

As generative AI agents become an increasingly integral part of workflows, the data that feeds them must be carefully scrutinized. The most valuable data for fine-tuning AI - support transcripts and transaction histories - is often also some of the most sensitive information. Data protection and security can therefore become a decisive value driver. In a time of increased regulation and growing geopolitical uncertainty, the companies that succeed will be those that proactively implement safeguards and ensure their AI is private, controlled and secure from the ground up.

More information: www.cloudera.com

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