“NSA gate” makes global expansion a sticky wicket for U.S. cloud providers …


It’s clear that American tech companies are pushing their respective cloud services abroad as fast as possible at a time when suspicion of American tech companies abroad is growing thanks to the never-ending Edward Snowden revelations.

This poses an interesting problem both for those companies and the U.S. government that appears bent on being able to unencrypt the best encryption those companies (or anyone else for that matter) brings to bear.

We know that US tech companies feel that news of NSA snooping is hurting their prospects both at home and abroad. We also know the government thinks it needs to protect us. But news of the last few weeks — Amazon(s amzn) and IBM(s ibm) planning to open up cloud services in China, for example — seems to indicate that things are moving along.

Amazon Web Services CTO Werner Vogels recently told Om that international expansion is hot…

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