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Excerpt: "'In short, foreign customers are shunning U.S. companies,' the authors of a new study from the Information Technology and Innovation Foundation write."

Surveillance is affecting U.S. technology companies' bottom line. (photo: Getty Images)
Surveillance is affecting U.S. technology companies' bottom line. (photo: Getty Images)


Surveillance Will Cost US Tech Sector Over $35B by 2016

By David McCabe, The Hill

10 June 15

 

new study says that the U.S. tech industry is likely to lose more than $35 billion from foreign customers by 2016 because of concerns over government surveillance.

“In short, foreign customers are shunning U.S. companies,” the authors of a new study from the Information Technology and Innovation Foundation write.

“The U.S. government’s failure to reform many of the NSA’s surveillance programs has damaged the competitiveness of the U.S. tech sector and cost it a portion of the global market share,” they said.

The think tank’s report found that the cost to the tech sector associated with ongoing concerns over surveillance programs run out of the U.S. was likely to “far exceed” $35 billion by 2016, an earlier estimate set by the group.

The group said that lawmakers must enact additional reforms to surveillance policy if they wish to help the tech sector regain the trust of foreign customers. That includes opposing “backdoors,” which allow law enforcement to access otherwise encrypted data, and signing off on trade agreements, including the controversial Trans-Pacific Partnership, that “ban digital protectionism.”

The study’s authors found that the revelations about broad U.S. surveillance programs acted as a justification for foreign policymakers to enact protectionist policies aimed at aiding their own domestic technology sectors.

Foreign companies have also used the information about U.S. surveillance programs to their advantage.

“Some European companies have begun to highlight where their digital services are hosted as an alternative to U.S. companies,” the authors write.

American companies, they found, have lost contracts to foreign competitors over fears about mass surveillance.

Earlier this month, President Obama signed the USA Freedom Act, a bill that reformed the three Patriot Act provisions that authorized the bulk, warrantless collection of Americans’ phone records. The bill was widely supported by technology companies, including giants like Apple and Google.

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+3 # A_Har 2015-06-10 20:56
IMO, many of these entities deserve what they are getting or what they got. Many of them kiss the behind of the NSA. For example, check this article:

Assange: Google Is Not What It Seems
http://www.newsweek.com/assange-google-not-what-it-seems-279447?piano_d=1

By Julian Assange 10/23/14 at 12:47 PM

"Do no evil" is a head fake.

And then there is this little item about Micro$haft:

NSA Built Back Door In All Windows Software by 1999
http://www.washingtonsblog.com/2013/06/microsoft-programmed-in-nsa-backdoor-in-windows-by-1999.html

Posted on June 7, 2013 by WashingtonsBlog
Government Built Spy-Access Into Most Popular Consumer Program Before 9/11

I remember reading an article by Microsoft dripping with phony outrage about all this....*Yeah...right.*

Remember we live under fascism, government of by and FOR the corporations. The Tech sector is just as corporate as any other sector.

I use Linux. I refuse to support any of the majors. I used to promote Gmail; I had a geeky period for a number of years and thought they were cool. That was a mistake; I was wrong.
 
 
0 # CelticNavigator 2015-06-13 09:24
The Internet was specifically designed to SHARE knowledge, not keep secrets. Period. Wanna keep secrets? Stay the fuck off the Internet. The only people not getting hacked are 6 feet under the damned ground.

My dad, an accomplished civilian Cold War jet propulsion engineer, had a top secret clearance w/the USAF and a diplomatic passport, so he did a lot of traveling with a locked briefcase handcuffed to his wrist, or that of an AF officer traveling with him. Time to go back to the old ways, obviously.
 

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