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The European Union has established a comprehensive legislative privacy framework aimed at protecting data pertaining to individuals. The EU is currently in the process of amending and supplementing its data protection legislation to prepare for the information society. In this article, Professor Lucas Bergkamp questions the desirability and necessity of the EU’s data protection regime in the information society. He examines the “other side” of data protection law and identifies its paradoxical and adverse effects. Based on a thorough analysis of how privacy law affects markets, he argues that data protection restricts consumer choice and freedom, and results in consumers receiving outdated, lower quality products and services at higher prices. The author proposes possible alternative approaches to data protection in Europe, and identifies the groundwork that needs to be conducted to devise a sensible, balanced privacy framework for the information society. [ABSTRACT FROM AUTHOR]