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Home News Top 10 Privacy Law Trends To Stay Ahead Of In 2025

Top 10 Privacy Law Trends To Stay Ahead Of In 2025

by Celia
privacy laws

As we welcome the New Year, privacy laws and regulations are evolving rapidly, and 2025 promises to be a year of heightened enforcement and significant changes in how privacy is managed at both state and federal levels. With new privacy laws taking effect and increasing scrutiny of personal data practices, businesses and consumers alike must stay vigilant. Below are 10 key privacy developments and trends to watch for in 2025.

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1. State Privacy Laws: Expanding Coverage and Enforcement

The wave of state-level privacy laws continues to grow in 2025. New laws in Delaware, Iowa, Nebraska, New Hampshire, and New Jersey are already in effect, with comprehensive regulations in Minnesota and Tennessee coming later in the year. By the end of 2025, 16 states will have enacted robust privacy laws. However, the complexity of complying with different laws remains a challenge for companies, especially with strict requirements for sensitive data and new enforcement practices by state agencies like California’s Privacy Protection Agency and Texas’ Attorney General.

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2. Federal Trade Commission (FTC): Renewed Focus on Privacy Enforcement

Under the leadership of Commissioner Andrew Ferguson, the FTC is expected to return to a case-by-case approach for privacy enforcement. While broad rulemaking may take a backseat, children’s privacy remains a key concern for the agency, particularly as it reviews updates to the Children’s Online Privacy Protection Rule. Companies should continue to monitor FTC enforcement trends, as they could signal changes in how businesses must handle consumer data.

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3. Biometric Data: Increased Scrutiny Across the Nation

The use of biometric data is under intense scrutiny. A wave of class-action lawsuits under the Illinois Biometric Information Privacy Act (BIPA) has highlighted the importance of obtaining proper consent and ensuring transparency in how biometric data is used. Similar laws in Texas and Washington are also shaping enforcement. As biometric data becomes integral to various sectors, businesses must prioritize compliance with these evolving regulations.

4. Health Data: Expanding Legal Protections and Risks

With the implementation of consumer health privacy laws in Connecticut, Nevada, and Washington, health data protections are becoming more comprehensive. These laws define health data broadly, and enforcement actions are expected to increase. Companies must be aware of potential lawsuits related to consumer health data and ensure their compliance strategies are robust enough to cover the wide-ranging definitions these laws impose.

5. Data Brokers: Rising Regulatory Challenges

Data brokers will face ongoing regulatory scrutiny in 2025. Federal and state authorities, including the FTC and California’s Privacy Protection Agency, have ramped up enforcement efforts, with significant actions taken against companies failing to adhere to new data broker regulations. These enforcement efforts will likely continue, particularly in states like Texas, where data broker registration laws are being strictly enforced.

6. Foreign Data Sales: New Restrictions on Cross-Border Transactions

In 2025, U.S. companies will face new restrictions on the sale of personal data to foreign adversaries. The Protecting Americans’ Data from Foreign Adversaries Act (PADFA) and a new Department of Justice rule will impose stringent limits on the sale of sensitive personal data to countries like China, Russia, and Iran. Companies involved in data transactions across borders will need to carefully navigate these new regulations to avoid penalties.

7. TCPA Updates: Implications for Outbound Calls and Texting

Changes to the Telephone Consumer Protection Act (TCPA) rules will impact telemarketing practices. Starting in 2025, new rules will require prior express written consent for outbound calls and text messages, including specific provisions for honoring consumer opt-out requests. Businesses engaged in outbound calling and texting must adjust their compliance plans to meet these updated requirements to avoid potential litigation.

8. AI Privacy Regulations: The Rise of State-Level Legislation

States are increasingly regulating artificial intelligence (AI) and its impact on privacy. Colorado’s new law, the Anti-Discrimination in AI Law, goes into effect in 2026, but the state is already gearing up for significant rulemaking in 2025. Other states, like California and Texas, are following suit with proposals to regulate AI, which could have broad implications for privacy practices. Companies should prepare for a growing focus on AI privacy and data governance.

9. Website Data Collection: Ongoing Litigation Risks

Data privacy lawsuits continue to proliferate, with over 1,970 cases filed in federal courts in 2024 alone. As litigation related to website data collection practices rises, businesses must ensure their data privacy policies are up to date and compliant with both federal and state regulations. The continued increase in lawsuits signals a need for companies to adopt stronger safeguards around user data.

10. Privacy as a Core Business Strategy

With the rising complexity of privacy laws and increasing consumer awareness, privacy is no longer just a legal compliance issue—it’s a core business strategy. Companies must stay ahead of evolving regulations and consider privacy as a key component of their overall business operations. Those who proactively address privacy concerns will not only protect themselves from potential fines but also build trust with their customers.

As privacy laws continue to evolve, businesses must stay informed and prepared to navigate the challenges of 2025. From new state laws to federal regulations and emerging issues like AI and biometric data, the year ahead will be pivotal in shaping the future of privacy.

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