Hey Andrzej!
If you're reading the Valueships newsletter, you're probably from Europe or the United States. There might be some probability of APAC, and the Middle East, but most likely you're from a Judeo-Christian area of origin, which means you've probably heard of "Ten Commandments".
What if I told you that the European Union decided to create its own commandments, but instead of putting them on two nice carved rocks and having 10 of them, they decided to put them into 50 articles on 71 pages.
Nevertheless, the aim is the same: to set the ground rules for data management, and how software vendors can move with it in the future.
In other words, this piece of regulation is the critical law that you need to obey as a tech subscription operator.
It changes the playing field, encompassing everything from how you increase prices to API access and cloud interoperability. It's revolutionary for many, especially if they have abused their vendor power recently.
One dataset to rule them all (especially their pricing)
Data is the lock. When companies control your data, they control you. Can't leave because your customer records, sales history, or workflows are trapped?
That's when they raise prices. You're stuck.
No data freedom = pricing abuse. The Act's core logic is that if customers can't easily take their data and switch vendors, companies exploit this lock-in with unfair price hikes.
Data hostage = price hostage.
That's why, from now on, you need to be very careful about how you increase prices. In a nutshell, you need a specific catalogue of reasons, and you can't inflate them "just because". It's definitely putting more burden on your contracts.
5 critical changes and you need to act now
Important notice: The EU Data Act is already live, and you have a year to comply. Enough, but you'd better be preparing and reframing your current contracts.
It's a fantastic opportunity to clean up the commercial mess; you can finally terminate the previous contracts and renew them at better terms. You also have a reason: making them better for the customer.
And on top of that, here is an executive snapshot of key items from our guidebook. These things need to change:
1. Price Increase Justification
Can't raise prices without clear reasons. Must link increases to concrete metrics like feature additions or documented cost rises. Customer gets a 30-day notice and a free exit option.
2. Free Data Portability
Your data, your right. Companies must provide free APIs and standard formats for data export. No more charging customers to access their own information. Important: no more API as a premium packaging.
3. 30-Day Switching Rule
Moving vendors takes a maximum of 30 days. No technical barriers, no complex processes. Companies must help customers migrate, even to competitors.
4. Switching Fees Die
By January 2027, all switching fees will be banned. Until then, only actual migration costs are allowed. No more "early termination" penalties to lock customers in.
5. Fair Contract Terms
One-sided contracts are illegal. Terms that only benefit the vendor (like unlimited price changes or data access) are automatically unfair. Both parties need equal say.
Afraid of all this mess?
We got you! Purchase our EU Data Act Guidebook - we have done the entire legal work for you. Read it, plug your T&Cs into the LLM, and enjoy how it identifies the changes.
