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Facebook and the privacy activist who took the firm to court were both handed a small victory on Thursday, as a high-level advisor to Europe's top court ruled that the way US firms transfer data abroad is valid and legal. The advice, issued by Advocate General Henrik Saugmandsgaard Øe, determined that the way Facebook and other firms currently handle the transfer of data on its European users to the US is valid.
"Some EU businesses may not be able to use certain US providers for outsourcing anymore, because US surveillance laws requires these companies to disclose data to the NSA. This is also an economic problem for the US, because foreign revenue will go elsewhere." And according to the AG's advice: "Commission Decision 2010/87/EU on standard contractual clauses for the transfer of personal data to processors established in third countries is valid."