Posts Under: localization

The Real World Impacts of Data Localization Policies

Data localization rules existed before the 2013 Snowden revelations.  However, they really took off afterwards.  Whether they are motivated by a genuine desire to protect privacy or because of industrial policy rationales, they are harmful to consumers and often do not enhance security.  For example, proposed Chinese “secure and controllable” regulations for the insurance sector would impose a data localization requirement.  In effect, this would raise costs for insurance customers in China and do nothing to enhance the security of their data.  SIIA is working with other trade associations to make this and other points with the Chinese government and the World Trade Organization.  See this June 2, 2016 letter from the United States Information Technology Office (USITO) on this topic.       There have been a variety of studies, which look into the costs of data localization.  In their paper on the costs of data localizatio ...