Forrester: NSA Spying Could Cost Cloud $180B, But Probably Won't

itwbennett writes "Forrester's James Staten argues in a blog post that the U.S. cloud computing industry stands to lose as much as $180 billion, using the reasoning put forth by a well-circulated report from The Information Technology and Innovation Foundation that pegged potential losses closer to $35 billion. But Staten's real point is that when it comes down to it the cloud industry will likely not take much of a hit at all. Because as much as they voice their displeasure, turning back isn't really an option for businesses using the cloud."

Comments

Wait till governments get involved

[Camael]

Because as much as they voice their displeasure, turning back isn't really an option for businesses using the cloud.

Maybe in the US, but worldwide is a different matter. Governments could easily force the issue by forbidding the use of US cloud companies, especially for their companies that deal with issues of defence and national security.

Lest you think its farfetched, China already bans the use of Google, Facebook, Twitter, YouTube, and FourSquare in China. Local alternatives such as Sina, Tencent, qq etc. took their places fairly quickly. After PRISM, more governments may follow suit.

Re:Wait till governments get involved

[EmperorArthur]

The EU is already considering requiring all companies to only use servers that comply with EU privacy regs. The US doesn't. That alone accounts for quite a bit of lost business. I'm pretty sure that in the face of, "Don't use US servers or we'll seize all your assets," that companies will reconsider the, "not an option."