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The Federal Trade Commission is looking into the risks of cloud computing.

Critics, including the Electronic Privacy Information Center, argue that consumers are at greater risk of Privacy breaches with cloud computing because data management practices are inconsistent.

Proponents of cloud computing -- including Google -- argue that cloud computing is at least as secure as traditional computing because providers can often better protect data than their customers can.

The U.S. Patriot Act, passed in the weeks after the September, 2001, terrorist attacks in the United States, gives authorities the means to secretly view personal data held by U.S. organizations. It is at odds with Canada's privacy laws, which require organizations to protect private information and inform individuals when their data has been shared. At Lakehead, the deal with Google sparked a backlash. "The [university] did this on the cheap. By getting this free from Google, they gave away our rights," said Tom Puk, past president of Lakehead's faculty association, which filed a grievance against Lakehead administration that's still in arbitration. Professors say the Google deal broke terms of their collective agreement that guarantees members the right to private communications. Mr. Puk says teachers want an in-house system that doesn't let third parties see their e-mails. Some other organizations are banning Google's innovative tools outright to avoid the prospect of U.S. spooks combing through their data. Security experts say many firms are only just starting to realize the risks they assume by embracing Web-based collaborative tools hosted by a U.S. company, a problem even more acute in Canada where federal privacy rules are at odds with U.S. security measures.