Cloud Service Providers Fight Back, Challenge NSA
Grazed from CIO. Author: Kenneth Corbin.
For U.S. cloud computing companies that have long been fighting to defend the privacy protections involving data stored in their servers or passing over their networks, the ongoing revelations about the extent of the NSA’s surveillance activities could carry a huge price tag. For years, in markets such as Western Europe, cloud providers like Google and Microsoft have been trying to beat back concerns voiced by would-be customers — and stoked by competitors and governments — that the Patriot Act and other laws render data stored with American firms readily accessible to the U.S. government.
But the protectionist policies that some countries were pursuing — restricting cross-border data flows or requiring local hosting, for instance — had been a nuisance, but they didn’t seem pervasive enough to challenge U.S. hegemony in the cloud sector. The equation began to change dramatically last June, when media outlets first began reporting on widespread electronic surveillance programs at the NSA, Daniel Castro, a senior analyst with the Information Technology and Innovation Foundation, said Tuesday at a policy discussion on the fallout of the disclosures of former government contractor Edward Snowden…

