What is Data Anonymization and Why Do We Need It?
WHY ANONYMIZATION IS CRITICAL FOR ML
ML systems require vast amounts of data, but raw user data contains PII (names, emails, addresses, phone numbers). Using PII directly creates legal liability under GDPR/CCPA, risks data breaches, and limits data sharing. Anonymization removes these barriers while preserving statistical properties for training.
PII CATEGORIES
Direct identifiers uniquely identify individuals: names, SSNs, emails, phone numbers. Quasi-identifiers identify when combined: zip code + birth date + gender can uniquely identify 87% of the US population. Sensitive attributes include health conditions and financial data requiring protection.
ANONYMIZATION VS PSEUDONYMIZATION
Pseudonymization replaces identifiers with tokens while maintaining a mapping table—reversible and still personal data under GDPR. Anonymization irreversibly removes identifying information with no path back. For ML training, true anonymization is preferred as pseudonymized data still requires full GDPR compliance.