India wants to have all its cloud data within national borders in the future

Aug

5

2018

According to Reuters, India may require that cloud data generated by the country must also be stored in Indian data centers. That would mean that companies like Amazon and Microsoft have to expand in the country, but energy costs are particularly high.

Reuters says that it has seen a draft proposal from a committee dealing with India’s cloud policy. The extra costs of energy and the migrations themselves would mean that the costs of the services provided by cloud providers will increase, which in turn may be passed on to Indian companies and consumers.

One of the motivations for the possible law is that authorities can much easier access the data when necessary for an investigation. According to the concept, by 2022, seven billion dollars will be converted into cloud services in India, twice as many as now.

An anonymous Indian CEO at a globally active technology company calls the proposals against Reuters ‘protectionism’ and thinks that ‘we are going back in time as far as globalization is concerned’. The proposal also contains recommendations for finding more suitable locations for data centers, setting up financial incentives and creating tax benefits for cloud providers.

So-called data sovereignty is increasingly becoming an important issue for countries as people and businesses store more information in the cloud. For example, Europe does not require cloud data from its citizens and businesses to be stored in Europe, but it does, for example, impose certain conditions on storing its data in the US, for example, in the form of the EU US Privacy Shield framework. A while ago, in 2014, Google did not yet see anything in local cloud data storage and Microsoft did .

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