In an era where data is both a valuable asset and a regulatory minefield, two recent developments highlight the evolving challenges and opportunities for businesses managing digital communications and archives. SteelEye, a firm specializing in compliance technology, has shed light on critical updates regarding link-sharing compliance risks and the transformative potential of the EU Data Act.
These insights are essential for firms striving to stay ahead in a complex regulatory environment.
The rise of digital communication platforms like Microsoft Teams, WhatsApp, and Zoom has enhanced workplace collaboration but introduced new compliance risks, particularly around link sharing.
SteelEye’s analysis reveals that sharing hyperlinks to cloud-hosted content—such as documents on Google Drive, OneDrive, or internal servers—poses significant challenges for regulated firms, especially in financial services.
Unlike direct content sharing, links often bypass traditional surveillance systems, creating blind spots for compliance teams.
Regulators, such as the U.S. Securities and Exchange Commission (SEC) and the Financial Conduct Authority (FCA), increasingly expect firms to capture and monitor all business-related communications, including linked content.
For instance, the SEC’s 2022 enforcement actions against major banks for failing to preserve WhatsApp messages underscore this trend, resulting in fines exceeding $2 billion.
Links to external or internal content can complicate compliance because they may not be archived or easily retrievable, especially if the linked material is altered or deleted post-sharing.
SteelEye emphasizes that a link is not equivalent to content in the eyes of regulators.
A hyperlink serves as a pointer, not a record, meaning firms must ensure the actual content is captured and stored in a compliant manner.
This requires advanced surveillance tools capable of resolving links to their underlying documents and integrating them into auditable archives.
Failure to do so risks regulatory penalties, reputational damage, and operational inefficiencies.
SteelEye’s platform, for example, offers solutions to automatically capture and contextualize linked content, helping firms meet stringent requirements under regulations like MiFID II and Dodd-Frank.
Parallel to these compliance challenges, the EU Data Act, effective from September 2025, marks a seismic shift in data ownership and access rights.
SteelEye’s insights on the Act explore how it eliminates extraction fees and mandates seamless data portability, fundamentally reshaping how businesses manage their archives.
The Act aims to foster competition and innovation by ensuring users—both individuals and businesses—can freely access and transfer their data across platforms without financial or technical barriers.
Historically, legacy providers have imposed hefty extraction fees, often locking firms into costly vendor relationships.
For example, migrating data from one compliance archiving system to another could incur millions in charges, stifling flexibility.
The EU Data Act prohibits such fees, requiring providers to offer data exports in machine-readable formats at no cost.
This empowers firms to switch vendors or integrate new technologies without being held hostage by their existing providers.
Moreover, the Act mandates that data be accessible in real-time where technically feasible, enabling businesses to leverage their archives for advanced analytics, AI-driven insights, or operational efficiencies.
For regulated industries, this means compliance archives—previously static repositories—can now serve as dynamic assets.
SteelEye highlights that firms adopting modern, cloud-based archiving solutions will be best positioned to capitalize on these opportunities, as legacy systems often lack the interoperability required by the Act.
Together, these developments underscore the need for proactive compliance strategies.
Firms must invest in technology that captures and monitors all communication channels, including ephemeral links, to avoid regulatory pitfalls.
Simultaneously, the EU Data Act offers a chance to break free from restrictive vendor lock-ins, but only if businesses prepare for the transition.
SteelEye advises conducting data audits, assessing current archiving systems, and partnering with compliant, forward-thinking providers.
As regulators tighten their grip and data becomes a strategic asset, firms that adapt swiftly will not only mitigate risks but also unlock new competitive advantages.
The future of compliance lies in embracing technology that ensures transparency, flexibility, and control over data—principles at the core of both link-sharing vigilance and the EU Data Act’s vision.