To process personal data from the EU, countries need to copy its strict privacy laws
in the bowels of Microsoft’s campus in Redmond near Seattle, a jumble of more than 100 buildings, there is a special kind of room. The size of a school gym, its walls are covered with big screens. One shows the “health” of the firm’s cloud-computing services, collectively called Azure. Another displays people’s “sentiment” about the system, as expressed on social media.
As long as computing clouds were small, this uneven distribution did not matter much. But, starting with the intelligence leaks by the American security expert Edward Snowden in 2013 which revealed widespread snooping by America’s spy agencies, governments have begun to understand the importance of this global infrastructure—and, by extension, the data economy. Citizens’ privacy is not the only worry. Data may also reveal things about a country’s defences.
The second scenario is far more likely. In fact, this is already happening. Coalitions for different types of data have begun to form. Thepushed a dozen countries, including America and Japan, to agree to strict data-protection rules. America has started a similar club with the Cloud Act, a bill passed in 2018 to allow the government to negotiate reciprocity agreements with other countries.
The main aim is still one of industrial policy: seeding the formation of an “über-cloud”, a legal-cum-software layer that would insulate German firms and government agencies from the power of big foreign clouds by minimising “lock-in”. Although details have yet to be worked out, it would probably allow firms to move data and computing workloads between rival clouds more easily.could be a tool to implement granular national data policy, instead of resorting to crude digital protectionism.
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