Wednesday, February 12, 2014

Domestic Privacy Laws and Cloud Services

These two articles offer an interesting assessment of how domestic privacy laws affect the behavior of multinational businesses - especially cloud service providers.

1) A new Finnish company proposes hosting a data center in Chicago - but plans to store 'personal information' in Finland. The article notes, however, that services like this may be less helpful than advertised. U.S. intelligence laws give less protection to data stored outside the U.S., and personal information stored in Finland would be subject to Finnish and EU data protection laws.http://gigaom.com/2014/02/07/upcloud-reckons-finnish-privacy-laws-can-protect-data-hosted-in-us/


2) Australia is instituting even more stringent privacy laws which impose vicarious liability on Australian companies for third party breaches of offshore data. (ie: "If there is a breach at your cloud computing provider, it is treated as your breach.")http://www.mondaq.com/australia/x/291472/data+protection/The+Privacy+Act+and+the+Cloud




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