A Change is in the Air: Emerging Challenges for the Cloud Computing Industry

33 Pages Posted: 9 Jun 2016

See all articles by Marlon Graf

Marlon Graf

RAND Corporation, Pardee RAND Graduate School, Students

Jakub Hlavka

RAND Corporation, Pardee RAND Graduate School, Students

Bonnie Triezenberg

RAND Corporation, Pardee RAND Graduate School, Students

Date Written: March 9, 2016

Abstract

A growing number of individuals, companies and regulators are concerned about who has access to data stored on the cloud and where exactly that cloud is. Actions taken in response to those concerns take the form of lawsuits, restrictive contracts, and government regulation of cloud computing. This trend toward restricting information storage to specific geographic boundaries is called “data localization” and leads to growing uncertainty about the future of digital commerce and communication that is the economic engine of the information age.

This paper offers an overview of recent regulatory trends in cloud computing around the world, assesses key regional differences and problems, and draws on expert interviews in charting the way forward for the industry. We show that while more restrictions and greater data localization are likely to characterize the internet of the future, new business opportunities will emerge for providers of cloud computing technology and services who succeed in developing products that satisfy differential regulation and consumer preferences.

Suggested Citation

Graf, Marlon and Hlavka, Jakub and Triezenberg, Bonnie, A Change is in the Air: Emerging Challenges for the Cloud Computing Industry (March 9, 2016). RAND Working Paper Series WR- 1144. Available at SSRN: https://ssrn.com/abstract=2791738 or http://dx.doi.org/10.2139/ssrn.2791738

Marlon Graf (Contact Author)

RAND Corporation, Pardee RAND Graduate School, Students ( email )

1776 Main Street
Santa Monica, CA 90401
United States

Jakub Hlavka

RAND Corporation, Pardee RAND Graduate School, Students ( email )

1776 Main Street
Santa Monica, CA 90401
United States

Bonnie Triezenberg

RAND Corporation, Pardee RAND Graduate School, Students ( email )

1776 Main Street
Santa Monica, CA 90401
United States

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