Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

White House drafts executive order that could restrict global cloud computing companies

White House drafts executive order that could restrict global cloud computing companies

In an effort to prevent cyberattacks, the Commerce Department could impose restrictions on U.S cloud companies operating abroad, including in China.
The Trump administration is weighing an executive order that would let the government restrict the international operations of U.S. cloud computing companies such as Amazon and Microsoft in an effort to protect against foreign cyberattacks, people familiar with the matter tell POLITICO.

The executive order would allow the Commerce Department to prohibit U.S. cloud providers from partnering with foreign cloud companies that offer safe haven to hackers and give the Commerce secretary the ability to ban those foreign providers from operating in the U.S., four people told POLITICO.

The draft order is designed to deter malicious foreign actors from using cloud service providers to quickly and anonymously conduct cyberattacks, according to three people familiar with the order. All spoke anonymously because the order is not yet finalized.

It would also give the U.S. another mechanism to keep the heat on China, which U.S. officials have repeatedly designated an economic and security threat and which President Donald Trump has made a major priority in his administration.

Senior agency officials met to discuss the order Thursday and aim to have it on Trump’s desk before the end of the year, one U.S. official confirmed — an aggressive timeline that, if successful, would give U.S. companies limited time to push back.

But with fewer than 50 days until the White House changes occupants, the executive order would have to be expedited if it’s going to cross the president’s desk in time, and any agency rulemaking would likely extend into the incoming Biden administration, according to people familiar with the process.

President-elect Joe Biden has declared his own tough-on-China stance, but has also pledged to take a more multilateral approach than his predecessor.

One U.S. official told POLITICO that the government would not regularly curtail the overseas operations of American cloud computing companies, but instead use the executive order as another tool to address potential cybersecurity threats.

“This isn’t something that would be routinely used. It would be an extraordinary measure,” the official said.

“But it’s there also as a leverage point in bilateral relations,” the individual added. “To know that that is there when you’re dealing with a country and trying to get them to participate in a mutual legal assistance treaty or law enforcement efforts or information-sharing efforts, it’s a useful tool to have there.”

The order doesn’t just authorize restrictions. It would also add new reporting requirements that are likely to worry tech companies. It would require U.S. cloud service companies, which typically process or host data for third parties, to keep a log of the identities of foreign customers as a matter of course, the people said.

U.S. technology companies fear the proposed executive order, if applied broadly, could give the government new power to interfere in its business transactions overseas and complicate its relationships with many foreign governments.

The executive order, should it come to pass, could spell trouble for firms with existing business in China or those seeking to enter the highly lucrative market. The U.S. official said the executive order is not prompted by China alone, but that the government holds specific concerns about Chinese hackers and cloud companies.

“Getting China to take seriously and follow up, investigate, and prosecute their own cyber crime in their own borders is a continuously challenging issue,” the official said.

The eleventh-hour executive order is the latest in a series of Trump administration moves to box in Beijing’s ambitions to dominate the global technology sector and would be one of many policies Biden will soon be tasked with deciding whether to continue.

The Trump administration has singled out major Chinese technology firms and made it more difficult for U.S. technology firms to export equipment to them. The White House has led a global campaign to ban Chinese telecom giant Huawei from 5G networks and has more recently threatened to shut down the Chinese-owned video-sharing app TikTok.
AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
House Republicans Move to Defund OECD Over Global Tax Dispute
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
Intel Reports Revenue Beats but Sees 81% Rise in Losses
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
CEO Resigns Amid Controversy Over Relationship with HR Executive
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
Tulsi Gabbard Unveils Evidence Alleging Political Manipulation of Intelligence During Trump Administration
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Trump Announces Coca-Cola to Shift to Cane Sugar in U.S. Production
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Zelensky Reshuffles Cabinet to Win Support at Home and in Washington
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Church of England Removes 1991 Sexuality Guidelines from Clergy Selection
Superman Franchise Achieves Success with Latest Release
Hungary's Viktor Orban Rejects Agreements on Illegal Migration
Air India Pilot’s Mental Health Records Under Scrutiny
Jamie Dimon Warns Europe Is Losing Global Competitiveness and Flags Market Complacency
Moonshot AI Unveils Kimi K2: A New Open-Source AI Model
Martha Wells Says Humanity Still Far from True Artificial Intelligence
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
EU Delays Retaliatory Tariffs Amid New U.S. Threats on Imports
Trump Proposes Supplying Arms to Ukraine Through NATO Allies
US Opens First Rare Earth Mine in Over 70 Years in Wyoming
Bitcoin Reaches New Milestone of $116,000
Severe Heatwave Claims 2,300 Lives Across Europe
Declining Beer Consumption Signals Cultural Shift in Germany
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
Poland Implements Border Checks Amid Growing Migration Tensions
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
×