Microsoft: NSA security fallout 'getting worse' ... 'not blowing over'

'Double-digit declines in people's trust in American tech companies' is bad for business

Microsoft's top lawyer says the fallout of the NSA spying scandal is "getting worse," and carries grim implications for US tech companies.

In a speech at the GigaOm Structure conference in San Francisco on Thursday, Microsoft general counsel Brad Smith warned attendees that unless the US political establishment figures out how to rein in its spy agencies, there could be heavy repercussions for tech companies

"What we've seen since last June is a double-digit decline in people's trust in American tech companies in key places like Brussels and Berlin and Brasilia. This has put trust at risk," Smith said.

"The longer we wait or the less we do the worse the problem becomes," he explained. "We are seeing other governments consider new procurement rules – procurement rules that could effectively freeze out US-based companies."

This could already be happening. China banned Microsoft's Windows 8 operating system from a recent public sector procurement contract. Two weeks later, a report by the Middle Kingdom's state-backed media quoted Chinese analysts and academics warning of the dangers of using Windows 8. "It's a big challenge for our cybersecurity," said one academic.

http://www.theregister.co.uk/2014/06/19/microsoft_nsa_fallout/

When nobody trusts our tech companies to provide software or resources for US businesses that aren't embedded with NSA spy software/malware, they will quit using them.

On top of that many nations are now seeking to turn from the (petro) dollar as the worlds reserve currency.

Put those two together and we become outcasts or underdogs to world business in both money and markets.

If you can't figure out what that implies....... I pity you!

Think collapse or hyper-inflation and ensuing chaos.... and all that goes with it when our dollar is worthless!

I don't trust Microsoft anyway.

Has little to do with MS and everything to do with the NSA killing world trust in American enterprise and business!