Don’t underestimate the importance of this !! The U.S. Government is trying to force Microsoft (in this case, but this could apply to most cloud providers) to turn over customer data that is hosted in other countries. This is why customers fear hosting their data in the cloud–will their data be turned over to a foreign government entity?
The impact here is huge!. Customers might avoid doing business with U.S. based cloud providers even if the data is actually hosted/held in the customer’s home country. Image a European company uses Microsoft cloud services that are hosted within Europe/their home country. But because Microsoft is headquartered in the United States, the U.S. Government wants to essentially ignore international laws/treaties and forcefully grab your data (that is held in Europe) anyway–this is essentially what is occurring here. If this is allowed or goes unchallenged, imagine any other non-U.S. government doing the same thing to forcefully take your private data at will. …So much for data sovereignty and safe harbor agreements that are supposed to have addressed these issues…
Regardless of your or my personal opinions on this–the implications of this law suit could have huge effects on cloud service providers, customer confidence, and privacy. Companies in the U.S. were already experienced problems from customer concerned the U.S. Government would someday overstep its authority and illegally capture customer data–causing foreign companies, even friendly nations–to go elsewhere with their business.
Microsoft case: DoJ says it can demand every email from any US-based provider
Follow this link to Sam Thielman’s article published at theguardian.com http://gu.com/p/4c925/sbl