Anja Manuel, RiceHadleyGates LLC, recorded live on theCUBE at .NEXT Conference EU 2017 with host Stu Miniman. #NEXTconf #theCUBE https://siliconangle.com/2017/11/13/what-national-border-data-protections-mean-for-global-tech-economy-nextconf/ What data protections and national borders mean for global tech economy The internet is a fine trade route. Technology companies ship their goods over internet networks instantaneously to any location in the world. But not all believe that this openness is altogether faultless. Some government officials are acting to ensure that a free internet does not compromise national interests or citizens’ data privacy. Will their good intentions choke innovation and growth in Silicon Valley and beyond? Tech companies, more than those of any other sector, rely and thrive on a global ecosystem, according to Anja Manuel (pictured), co-founder and partner at RiceHadleyGates LLC. Manuel co-founded RiceHadleyGates with former U.S. Secretary of State Condoleezza Rice and former National Security Advisor Stephen J. Hadley in late 2008. The Silicon Valley-based consultancy helps tech companies expand in international markets. “Every company we work with — even the very young ones — they’re global from the very beginning,” Manuel told Stu Miniman (@stu), host of theCUBE, SiliconANGLE Media’s mobile livestreaming studio, during the Nutanix .NEXT EU event taking place in Nice, France. (* Disclosure below.) Silicon Valley-esque hubs of innovation are growing in China and elsewhere in the world, according to Manuel, who said those in the U.S. can learn much from them and vice versa, provided the lines of communication remain open. However, two governmental movements growing simultaneously may erect obstacles to sharing. One is “data localization” legislation — on the rise in a number of countries — that cuts off data flow across borders. Another is the globalization backlash fertilizing nationalist political parties, particularly in Europe. Both of these trends could have consequences for globally expanding technology companies. This week, theCUBE spotlights Anja Manuel in our Women in Tech feature. Data localization clashes with tech globalization More than 30 countries now have data localization laws. These policies require data controllers to keep citizens’ data strictly within the country’s borders in an effort by lawmakers to keep data more secure, while also providing easy access for law enforcement. China has a dozen such laws active. “I worry that if that trend really continues, you will have less interaction, for example between Chinese and Americans,” Manuel said. An avenue of communication between them is sorely needed with their governments’ increasingly frigid relations, she added. In most instances, the efficacy of these policies for increasing security or privacy is dubious, according to Nigel Cory, a trade policy analyst at the Information Technology and Innovation Foundation. Aside from failing at their stated purpose, the laws may deal an inadvertent blow to technology companies and consumers. “This presents a real risk to the global economy and innovation,” Cory said at the International Conference of Data Protection and Privacy Commissioners in Hong Kong in September. Europe’s General Data Protection Regulation, going live next May, seeks to restructure European countries’ data localization laws. Putting data control directly in citizens’ hands would allow cross-boarder transfer with consent. However, laws such as this may just replace explicit restrictions with implied ones, according to Pirate Party Member of the European Parliament Julia Reda. “This would create immense transactional costs and huge legal uncertainty for anyone creating and re-using data, such as researchers or innovative startups,” Reda said. She spoke in a public consultation on an official communication from the European Commission early this year. Laws that give individuals such rights and responsibilities would protect any series of ones and zeroes like intellectual property, she explained. “Dealing with pure data, such as access logs, sensor data or measurements, would become as complex as dealing with copyrighted works is today,” Reda stated. ... Watch the complete video interview below, and be sure to check out more of SiliconANGLE’s and theCUBE’s coverage of Nutanix .NEXT EU. (* Disclosure: TheCUBE is a paid media partner for the Nutanix .NEXT EU event. Neither Nutanix Inc., the event sponsor, nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)