"I don't know of any legislation on this subject," said John Webster, a senior partner with Evaluator Group, a market research firm that specializes in data storage issues. "You have to ask yourself, what's the business model. If the business model is to make money from a service or money from advertising, that's one thing. If it's trying to make money off the sale of data, that's another thing."
While older Internet users tend to be wary of how their data is used and protected, younger users rarely consider the consequences of where they store personal information, Webster said. "They may not be reading the fine print."
The other issue to consider is what happens to your data when you leave a cloud service behind, he said.
Google's terms also state that when a user discontinues use of its service, it continues to retain the right to use customer information.
Read more about cloud computing in Computerworld's Cloud Computing Topic Center.