Service providers and operators need to adapt their systems by the time various national governments implement the European provisions on data retention as law. For example, call detail record (CDR) systems will need to be revamped to cope with the increase in communication and traffic data to be stored and managed. Importantly service providers not previously obligated to retain data will now be governed by the EU Directive stipulations, Frost & Sullivan notes.

"Implementing solutions compliant with the EU Directive on Data Retention will result in an onerous burden on communications service providers and operators," said Frost & Sullivan senior industry analyst Fernando Elizalde. "The provisions of the EU Directive will apply not just to mobile and fixed telephony, but also to Internet telephony, e-mail services and messaging services."

Service providers will be obliged to respond to lawful requests from law enforcement agencies "without undue delay", however the legislation fails to clarify what this might mean in practice.