Argentina Strengthens Privacy Law to Address AI Challenges

Argentina is taking significant steps to modernize its privacy laws in response to the rapid advancements in artificial intelligence (AI). As the first country in Latin America to implement comprehensive data protection legislation in 2000, Argentina established the Personal Data Protection Act (Law 25,326). This pioneering framework has faced challenges due to the emergence of Generative Artificial Intelligence (GAI) and other technological developments that have outpaced the original legal structure.

Historically, Law 25,326 has been regarded as progressive, granting individuals rights to access, correct, and delete personal data. It also established the National Data Protection Authority (Agencia de Acceso a la Información Pública, AAIP) to oversee compliance. However, the legislation has struggled to evolve in light of new technologies, resulting in a pressing need for reform. The increasing use of AI tools in both public and private sectors raises complex questions about privacy rights, consent, and data protection.

Challenges Posed by AI Technologies

The proliferation of GAI systems presents unique challenges for privacy and data protection in Argentina. These systems often rely on vast quantities of personal data, repurposing information in ways that may exceed the consent previously granted by individuals. Such practices potentially violate fundamental principles of data protection, including consent and purpose limitation.

Moreover, GAI tools can introduce bias and discrimination, as embedded biases within algorithms may lead to unfair outcomes. The lack of transparency in AI decision-making processes, often described as “black boxes,” complicates individuals’ ability to understand how their data is used and their rights concerning this information.

Despite existing legal frameworks that mandate data transparency and quality, enforcement remains a significant hurdle. Argentina’s legal system allows individuals to file petitions regarding how GAI platforms handle their personal information, yet the opacity of these systems makes it challenging to protect such rights without clearer regulatory guidance.

In a notable case, the Court of Administrative, Tax and Consumer Relations of Buenos Aires ruled against the use of a facial recognition system implemented by the municipality. The court deemed the system unconstitutional, citing risks to privacy and potential misuse, underscoring the urgent need for regulatory oversight in the realm of AI.

Argentina’s Response to AI and Privacy Concerns

In light of these challenges, Argentina is actively revising its data protection framework. The AAIP has initiated a public comment period and is working on new legislation to replace or amend Law 25,326. Proposed reforms aim to align with international standards, introducing new concepts like anonymization, biometric data regulations, and explicit rules for automated decision-making.

In September 2023, the AAIP launched the “Program for Transparency and Personal Data Protection in the Use of Artificial Intelligence” through Resolution 161/2023. This initiative aims to enhance oversight and ensure that AI developments respect privacy rights. Key components of the program include the establishment of an AI Observatory to monitor advancements, guidelines for transparency, and a multidisciplinary advisory council to foster interdisciplinary dialogue.

Furthermore, the program emphasizes building institutional capacity to oversee AI usage, providing training for government agencies, and raising awareness about the implications of AI in the public sector. The Argentine government is also pushing for transparency measures that require agencies to document their automated decision-making systems and disclose how they operate.

These efforts reflect a concerted strategy to address the risks associated with GAI while balancing innovation with the protection of fundamental rights. As Argentina navigates the complexities of AI, the emphasis remains on ensuring that citizens’ rights are safeguarded in an increasingly digital landscape.

Looking ahead, Argentina’s ongoing efforts to reform its privacy laws and enhance data protection in the face of AI advancements represent a proactive approach to maintaining its leadership in data privacy in the region. The anticipated introduction of new legislation or regulations specific to AI will further solidify Argentina’s commitment to protecting privacy rights while fostering an environment conducive to technological innovation.