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EU regulators can impose more data protection rules on U.S.-based cloud providers that are active in Europe, even if they meet the Safe Harbor criteria.
The U.S.-EU Safe Harbor is a streamlined process for American companies to comply with European rules on the protection of personal data. The U.S. Department of Commerce's International Trade Administration said April 12 that if U.S.-based cloud operators comply with the Safe Harbor principles, protection of data in the cloud is guaranteed and regulators in Europe would not be able to impose stricter rules.
However, Luke Scanlon, a technology lawyer at the London office of international law firm Pinsent Masons, told SNL Kagan that the ITA had not recognized some regulatory burdens that clients of cloud providers...