The NSA's impact on US datacenter hosting

Will all these revelations impact the datacenter hosting business?

In a survey commissioned by Canadian-based hosting provider Peer 1 of potential Canadian and UK datacenter customers 25 percent of the respondents indicated that they were planning on moving their data outside the US and hopefully out of the reach of the NSA.


The independent survey of 300 datacenter customers also indicated that their overall trust in hosting providers was negatively impacted by the entire NSA debacle, with more than half also distrusting the public cloud in general. This actually contrasts oddly with the 81 percent who made a point of wanting to know exactly where their data was being stored, a concept that undermines the concept of cloud-based storage to a certain degree.

Despite the concerns over the activities of the NSA and the overall opinion that the strength of a country’s data security laws are a paramount issue, the US remains the most popular offshore destination for the rest of the world’s business in terms of places to store their information. As might be expected in a survey for businesses in the UK and Canada, their own countries were the most popular place to store data, but the US remained the most popular other location by a huge margin. But regardless of the trust levels, almost two-thirds of customers were looking to migrate their data back to their own country within the next five years.

On the positive side, the high profile of the NSA issues and the Snowden incident has made many datacenter users more aware of the issues surrounding data security and to the majority of those surveyed, highlighted their own awareness of just how little they knew about the issues surrounding the security of their data. This contrasts with the same people acknowledging how important it was to understand data security, data security laws, and how that data security was being implemented by their datacenter providers.

To draw your own conclusions, the results of the survey can be found on Peer 1’s website here.