By Jenny Lee (December 12, 2025, 09:52 GMT | Insight) — South Korea’s privacy regulator is set to implement its most significant reforms in years, proposing fines of up to 10 percent of companies’ total turnover. This initiative aims to enhance public trust following a series of significant data breaches while also facilitating innovation in artificial intelligence (AI). At a briefing on Friday, the chair of the Personal Information Protection Commission, Song Kyung-hee, outlined the 2026 policy agenda, which emphasizes a shift from ex-post enforcement to on-site inspections and proactive prevention measures. The new strategy will transition from a strict, collection-centric approach to a more flexible, risk-based framework that still allows for the use of data in AI applications.
These proposed changes come in the wake of increasing scrutiny over data privacy practices in South Korea. Recent high-profile data breaches have raised concerns about how companies handle sensitive information. The shift to a risk-based approach is designed to encourage responsible data use while ensuring that companies remain accountable for their practices. The introduction of group lawsuits is expected to empower consumers to seek damages collectively, further pressuring organizations to prioritize data security.
As the regulatory landscape evolves, businesses operating in South Korea will need to adapt quickly to the new requirements. The approach focuses on preventing issues before they arise, allowing regulators to conduct thorough inspections that aim to identify risks and enforce compliance more effectively. This proactive stance signifies a departure from traditional enforcement strategies that often come into play only after a breach has occurred.
Song highlighted that the effectiveness of AI technologies must be balanced with the imperative to protect personal information. The commission aims to create a framework that encourages innovation while safeguarding the rights of individuals. By enabling more flexible data use, the commission hopes to foster an environment where businesses can harness AI’s potential without compromising privacy standards.
The anticipated reforms reflect a broader global trend as regulators worldwide grapple with the implications of advanced technologies on privacy. In the wake of numerous data breaches, regulators are increasingly focused on creating robust frameworks that safeguard consumer information while allowing for technological advancements. South Korea’s initiative is expected to serve as a model for other nations facing similar challenges.
Looking ahead, the implications of these regulatory changes could be far-reaching, affecting a variety of sectors from technology to finance. Companies will need to reassess their data handling practices and invest in compliance measures to avoid significant penalties. The proposed fines, pegged at 10 percent of total turnover, are particularly noteworthy, signaling a serious commitment by the government to enforce these new standards.
As South Korea prepares to implement these reforms, stakeholders across industries are urged to stay informed and ready to adapt to the changing regulatory environment. The emphasis on a risk-based approach could signal a shift in how data privacy is managed globally, with potential ripple effects in international markets.
The Personal Information Protection Commission’s reforms are an essential step toward rebuilding public trust in the wake of high-profile data breaches. By prioritizing consumer protection while enabling the use of advanced technologies, the commission aims to create a more secure and innovative digital landscape in South Korea.
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