GDPR and PIPL Data Processing

This question asks whether your platform processes personal data from European Union residents (GDPR) or Chinese residents (PIPL). Simply put: 'Do you handle any information about people in Europe or China?' This could be your customers' employees, their customers, or any end users. Even a single EU email address in your system could trigger GDPR requirements.

GDPR and PIPL compliance can make or break international deals and even domestic deals with global companies. GDPR fines can reach 4% of global annual revenue, making this a board-level risk issue. Having proper GDPR compliance (including DPAs, data transfer mechanisms, and privacy controls) opens up the massive EU market and builds trust with privacy-conscious enterprises. Many US companies require GDPR compliance even for domestic vendors as a best practice.

The biggest mistake is thinking GDPR doesn't apply because you don't actively market to Europe. If EU residents can sign up for your service or if your customers input EU personal data, GDPR likely applies. Another common error is claiming GDPR compliance without having proper Data Processing Agreements (DPAs) or Standard Contractual Clauses (SCCs) in place.