Data classification is the process an organization uses to characterize its data assets using persistent labels so those assets can be managed properly. Data classification is vital for protecting an organization’s data at scale because it enables the application of cybersecurity and privacy protection requirements to the organization’s data assets. This publication defines basic terminology and explains fundamental concepts in data classification so there is a common language for all to use. It can also help organizations improve the quality and efficiency of their data protection approaches by becoming more aware of data classification considerations and taking them into account in business and mission use cases, such as secure data sharing, compliance reporting and monitoring, zero-trust architecture, and large language models.
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