shutterstock_144257446

US Tech Industry Might Lose Up To $35bn Over NSA Revelations

NSA Revelations

US tech giants fear that they can lose up to $35bn in cloud computing contracts over the next few years after the news came out that US companies share stored data with the government’s surveillance organization NSA.

After recent revelations that popped up online indicating the possible sharing of data with NSA, many companies outside the US have already showed concerns over handing out their data to US firms running the cloud computing business and the effect has already started to make an impact as some US companies claim that they have already lost millions of dollars due to this proclamation.

NSA

It is firmly believed that many of the UK and other European firms are looking for cloud computing services outside the US. British Executive Simon Wardley has already shown its disappoint over this matter in a very sarcastic way by saying, “Do I think we should be prepared to go the whole hog, ban US services and create a €100bn investment fund for small tech startups in Europe to boost the market … oh yes, without hesitation.”

A recent survey taken by the ITIF about the US companies offering cloud computing and storage systems clearly showed that businesses in the US are in very bad shape following the NSA revelations. According to the survey, US companies may lose about 20% of the cloud computing share of the overseas market to its other European rivals.

Projects such as Prism and Xkeyscore are also considered to be top assets for NSA in accessing stored data of all the big firms including Apple, Google and Microsoft. According to the sources, Prism was used by NSA to access user details of individuals that live outside the US while the Xkeyscore is believed to have access to almost every individual’s data on the internet that NSA can access any time.

According to the chairman of ANS Group of UK Scott Fletcher, people in UK are already pushing for a local UK based cloud computing service since the relationship between the two countries are not great in terms of reliability.

So far, no US government official has either denied or responded to these allegations about the cloud computing and the level to which NSA has access to people’s data that travels inside the US. It is believed that the total worth of cloud computing business in the whole world is around $207bn by the end of 2016 and more than half of it belongs to US. But with the recent allegations over NSA could really hurt these figures for the US, and they should take any precautionary measure whatsoever to save their cloud computing market from going into total chaos.

By Ben Anderson

CloudTweaks

Established in 2009, CloudTweaks is recognized as one of the leading authorities in cloud connected technology information and consultancy services.

Are you a cloud services expert in a world of digital transformation? If so, contact us for information on how to become part of our growing cloud consultancy ecosystem.

CONTRIBUTORS

Data Breaches: Incident Response Planning - Part 1

Data Breaches: Incident Response Planning – Part 1

Incident Response Planning - Part 1 The topic of cybersecurity has become part of the boardroom agendas in the last ...
What Futuristic Transportation Will Look Like In Your Lifetime

What Futuristic Transportation Will Look Like In Your Lifetime

Futuristic Transportation Being stuck in traffic or late for work because of a hold up on the dreaded commute could ...
How edge computing and the cloud will power the future of IoT

How edge computing and the cloud will power the future of IoT

The combination of edge and cloud computing will make the Internet of Things faster, cheaper, and more stable Cloud computing ...
Why Big Data is the Key to Relationship Marketing

Why Big Data is the Key to Relationship Marketing

Big Data Relationship Marketing When you think about big data, you might find that marketing is one of the first ...
Machine Learning Is The New Proving Ground For Competitive Advantage

Machine Learning Is The New Proving Ground For Competitive Advantage

Machine Learning Is The New Proving Ground 50% of organizations are planning to use machine learning to better understand customers ...
Big Data Career Opportunities

Big Data Analytics Career Job Opportunities

Big Data Career Opportunities With the inception of Big Data, we have witnessed a data revolution around us.  Big data ...
How Can Blockchain-as-a-Service Help Your Business?

How Can Blockchain-as-a-Service Help Your Business?

Blockchain-as-a-Service “Have you seen the price of Bitcoin?”, “You gotta get in on Ripple, it’s going through the roof!”, “Are we in ...
The Computer Interface of the Future Is Voice

The Computer Interface of the Future Is Voice

The Computer Interface of the Future Is Voice Only a few years ago, many people viewed voice-recognition technology as something ...
What Is Really Driving Cloud Adoption?

What Is Really Driving Cloud Adoption?

Driving Cloud Adoption Cloud adoption is growing at an astounding rate, with companies big and small undergoing digital transformation towards ...
Machine Learning Explained: Understanding Supervised, Unsupervised, and Reinforcement Learning

Machine Learning Explained: Understanding Supervised, Unsupervised, and Reinforcement Learning

Machine Learning Explained Once we start delving into the concepts behind Artificial Intelligence (AI) and Machine Learning (ML), we come ...

NEWS

IBM shares rise after Barclays double upgrade

IBM shares rise after Barclays double upgrade

(Reuters) - Shares in International Business Machines rose nearly 2 percent on Wednesday, helped by a double-notch upgrade for the ...
DigitalOcean Announces New Compute Plans to Provide Best Price-to-Performance for Production Applications

DigitalOcean Announces New Compute Plans to Provide Best Price-to-Performance for Production Applications

Changes Position DigitalOcean as Most Competitive, Simple Pricing Solution in Cloud Infrastructure Industry NEW YORK, Jan. 16, 2018 (GLOBE NEWSWIRE) ...
Red Hat global survey finds field services operations bullish on emerging technologies

Red Hat global survey finds field services operations bullish on emerging technologies

Bullish Emerging Technologies For many industries, from transportation to utilities, manufacturing and more, field workers are pivotal to the success ...