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SOS Call by EU Cloud Companies to Keep Data Flow Inside Europe

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Data protection regulation is just one of many controversial aspects of the International Trade in Services Agreement (TiSA) trdae deal, specifically, the lack of control regarding the sharing of information. In response to these concerns, a coalition of European cloud companies has proposed a digital economy Code of Conduct.

The coalition of more than 20 Europe-based companies, called Cloud Infrastructure Services Providers in Europe (CISPE), have proposed a Code of Conduct document which flags up aspects of the controversial TiSA trade deal that they feel can potentially compromise data protection issues.

Digital advocates such as UK-based Global Justice Now already fear that big businesses want more control of information sharing and many US firms such as Facebook and Google have already made it clear that they want to be able to move data across borders at will. 

In effect, without some restrictions in place this could also allow companies to easily move personal information to countries such as the US, where data protection laws are far more lax than within the EU.

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The code presents a case for data localization that requires all signatories to provide information such as the general region and country in which its data is processed. This is said to be enough to ascertain information regarding which EU member state should have control over the flow of the data.

Without any restrictions in place, the coalition cites the lack of assurance for their customers who will have little to no control of personal information that can easily be used for profit by commercial companies or for the purposes of marketing and creating buyer profiles for their own benefit.

Considering all international trading dynamics involves the exchange of digital information of some kind, there is a clear division between critics of TiSA and those who actually support its current terms.

The Global Services Coalition is another association that does not share the data protection concerns as highlighted by critics of TiSA.

Instead they advocate free flow of data as opposed to any data localization, so as not to create any restricting barriers whilst trading or adding disadvantages in competition between companies trading internationally.

For now the battle between the critics and supporters of TiSA continues and it will certainly be worth seeing whether middle ground can be found in order to keep both sides assured. 

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