Google and most other cloud providers are US parent based. That means the US can make that company's subsiduary pull your data even if it resides in Canada, Europe or anywhere else for that matter and that could be accompanied by a gag order. This means that Google Canada if served with a letter (and a gag order) cannot tell a Canadian court or even Google US that a customer's data has been pulled. This is different than the MPAA and RIA going after your data to prove pirating.
Google and others may not "use' your data per say but unless encrypted could read your data. Who's to say that some bored tech doesn't peruse files. Also which storage provide recently raised a stink about your data is not yours and that they would try to make money from your pictures, etc?
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