Microsoft to Let Overseas Customers Store Personal Data Outside U.S

Microsoft Corp. announced Thursday that it is letting its overseas users store personal and private information outside the borders of the United States.

Microsoft General Counsel Brad Smith made the revelation during the 2014 World Economic Forum in Switzerland. He admitted that they have received numerous concerns about the U.S. government surveillance programs, and as a response, the company has come up with the plan.

Also, in an interview with Financial Times, Smith said that it is a necessary movement to keep its users feeling secured amidst issues of government spying. Though other companies are uncertain of the idea, Smith is positive with the plan.

A spokeswoman for Microsoft confirmed the report.

Smith also announced that the software company doesn't participate in leaking of personal information.

"We have never turned over to any government any information that belongs to another business, another government or an NGO. It is not our right, no one elected us, to simply decide to turn over someone's information," he told FT.

However at an appearance in the forum, Google Chairman Eric Schmidt said that even if Microsoft continued with its plan, its users' data can still possible be penetrated by the government.

"My understanding of U.S. law is if you have a U.S. server in another country, the U.S. law still allows that to be subject to the FISA rules," said Schmidt to Businessweek. "I would ask Microsoft. Perhaps they figured a way around that."

Schmidt said that most people seek protection from the government but not to the extent of giving up their personal freedoms and "we are having the proper debate" on that case.

In a conference call a week ago, Open Technology Institute policy director Kevin Bankston said that the crisis of confidence involving Internet companies arose when former NSA contractor Edward Snowden revealed the federal agency's extensive surveillance programs.

Real Time Analytics