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NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
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ANON1242159798500
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ANON1242159798500,
User Rank: Apprentice
8/30/2013 | 4:51:23 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
"The rivalry is already well entrenched, with European governments investing in future competitors of U.S. companies."

It doesn't matter who.

All those Co. mine and sell data all day long 24/7 365. They all do. They don't all tell you about it ether or who they had sold it to.

The Corp.'s WORLD WIDE have been doing it since the release of the internet in the public venue.

They all make more money off of your blind trusts. If you are going to get down on one entity. You would be foolish, and even negligent not to address all of the problems. And that is all of the Co.'s, and Corp.'s, and all those that mine our data.

They haven't paid a dime to any of us, but are getting rich off of our data. They should have to pay modern market rates for every bit, and byte. Or just stop doing it period.

If you knew everything they did with it. The NSA probably wouldn't be the top of the list.

That's if it really is about what is right, and not what is profitable at any cost.
WKash
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WKash,
User Rank: Author
8/22/2013 | 8:41:39 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
There is a certain irony that federal agencies are still investing in their own private clouds to protect their data.
MarciaNWC
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MarciaNWC,
User Rank: Author
8/21/2013 | 9:31:43 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
Not surprised that Prism on top of the Patriot Act would be a real headache for U.S. cloud providers. European cloud companies reportedly have been using the Patriot Act as a marketing tool against U.S. cloud companies.
cbabcock
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cbabcock,
User Rank: Author
8/21/2013 | 7:44:46 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
When you have a world-leading industry in cloud services and you give your best potential customers an excuse to temporize and build a local alternative, which they wish they had anyway, you're probably making a mistake.
Michael Endler
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Michael Endler,
User Rank: Author
8/17/2013 | 6:05:18 AM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
If and when Snowden finally stands trial, I wonder if stats like this one will be used to demonstrate how his leaks hurt American interests. It wouldn't be much different than what prosecutors argued in the Bradley Manning case. The Manning case involved national security, whereas these stats refer to economic consequences-- but still, several parallels. As Snowden's many supporters demonstrate, a lot of people would argue the United States damaged its own interests by deploying PRISM to begin with. In a legal court, I have the feeling this sort of argument might be allowed to stand-- but in the court of public opinion, much more interesting question.
KPERRY6378
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KPERRY6378,
User Rank: Apprentice
8/16/2013 | 5:03:35 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
Agreed (and most people don't get that currency is not stored value; much better described as information, so very key point).

So, I'm looking at these developments with no small amount of dread. Cross border data management is a high enough hurdle to manage, both with complex, conflicting regulations and double-standards in many jurisdictions. Favorite quote, ". ... If all the data of enterprises is going to be under the control of the U.S., it's not really good for the future of the European people.''' My interpretation: a lot more attention will be payed, and it will get much more difficult to manage multi-national operations. Costs will go up, efficiency down.

Lack of "rule of law" creates friction. Friction is bad.
OtherJimDonahue
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OtherJimDonahue,
User Rank: Apprentice
8/15/2013 | 11:08:01 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
The estimates make me think of Rob Preston's recent column on grabbed-out-of-thin-air statistics. (Though Laurianne's comment gives me pause.)
GHCro
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GHCro,
User Rank: Apprentice
8/15/2013 | 11:05:29 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
I don't understand this. The ITIF report says "the reality is that most developed countries have mutual legal assistance treaties (MLATs) which allow them to access data from third parties whether or not the data is stored domestically."

This tells me that no data is secure nowhere no how. So why would US cloud providers suffer such losses? It doesn't make sense unless the assumption is they don't know how to fight back with the facts.

I think the real threat to cloud providers across the globe is coming from the rise of private cloud providers like Cloudlocker (www.cloudlocker.it), at least on the consumer side. I think it's new products like this plug n play device that pose the biggest threat to the old-line public cloud services, which have always suffered from fatal flaws in privacy and security.

The private, personal clouds like the Cloudlocker eliminate these flaws, and that's why I see them taking over this space, soon to be followed by enterprise-level versions of private clouds, once good ol Yankee ingenuity kicks in. One door closes, another door opens.
Thomas Claburn
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Thomas Claburn,
User Rank: Author
8/15/2013 | 8:13:03 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
Former Citibank CEO Walter Wriston observed that capital goes where it's wanted and stays where it's well-treated. Since modern currency is just data, data flight from the U.S. cloud industry isn't a surprising outcome given the unwillingness of U.S. authorities to accept limits on surveillance.
Laurianne
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Laurianne,
User Rank: Author
8/15/2013 | 3:46:55 PM
re: NSA's Prism Could Cost U.S. Cloud Companies $45 Billion
Staten, a longtime cloud industry expert, is not known for over-estimating, which makes his prediction all the more worth noting.


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