What constitutes a high-risk processing activity under GDPR?

The correct choice highlights that a high-risk processing activity under the GDPR is defined as one that could lead to a risk to individuals' rights and freedoms. This understanding is crucial as it underscores the necessity of conducting a Data Protection Impact Assessment (DPIA) when such risks are present. The GDPR emphasizes the importance of protecting individuals' personal data and ensuring that their rights are safeguarded; therefore, if a processing activity is likely to result in risks that could adversely impact individuals, it falls into the category of high risk.

A DPIA is required to assess how data processing behaviors might compromise rights and freedoms, especially for instances involving new technologies or large-scale data processing. Thus, conducting a DPIA helps organizations to identify and mitigate potential risks, ensuring compliance with GDPR requirements while also protecting the rights of individuals.

The context of why other responses do not fit into the definition of high-risk processing activities is essential. Processing that poses no risk to individuals or is unlikely to affect anyone's rights does not necessitate the enhanced scrutiny that comes with a DPIA. Similarly, processing large datasets without evaluating the potential risk does not adequately address the GDPR's emphasis on understanding risks associated with personal data to the rights and freedoms of individuals.