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Brazil threatens Facebook, Google over Snowden Leak

Sept. 17 (Bloomberg) -- Brazil’s government is threatening to force Internet service companies such as Google Inc. and Facebook Inc. to set up local data storage centers following allegations the U.S. probed President Dilma Rousseff’s e-mails.

Internet service companies would have to follow Brazilian privacy laws and the government may also decide to store sensitive data such as tax information within the country to protect it from foreign spies, Internet Policy Secretary Virgilio Almeida told reporters in Brasilia yesterday. He spoke after a meeting between industry representatives and Rousseff.

“Brazil has one of the largest IT markets in the world,” Almeida said. “It’s natural that companies have part of their infrastructure in the country.”

The measures designed to protect privacy come in response to allegations that the U.S. National Security Agency used software to access communications between Rousseff and staff members. The president will decide today whether to cancel a state visit to Washington next month in retaliation for the alleged intrusions.

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