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It's a recognised business standard to not store data outside the realm of control. It protects trade secrets, intellectual property and upcoming business plans.

Hiring a 3rd party cloud provider fits under this policy, in the same way that companies don't need to set up their own ISP for transmitting data securely.

However if the government where the 3rd party is located can arbitrarily request access to the data. (Such as your Google Docs) then the policy prevents the company from using that service. This is a consequence of the US's own wiretapping laws and there will be no international change just because of a bit of "bad press".



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