Fergie's Tech Blog

Spying Telecoms Receive Billions in Government Contracts

Kurt Opsahl writes on EFF.org:

The telecoms who are being sued for their cooperation in the government's illegal warrantless surveillance program have received billions in government contracts. According to Washington Technology magazine, Verizon received $1.3 billion, Sprint $839 million and AT&T $505 million in federal prime contract revenue for fiscal 2007, for a total of $2.6 billion. While the companies have been government contractors for a long time, it still represents a significant increase in revenue.

Telecom apologists like to suggest that the communications companies' motivation was not financial. As Judge Walker noted when examining EFF's allegations of dragnet surveillance: "AT&T cannot seriously contend that a reasonable entity in its position could have believed that the alleged domestic dragnet was legal." Yet, the prospect of $2.6 billion per year can go a long way to explaining why an industry might cooperate with a program far outside the limitations of the Foreign Intelligence Surveillance Act (FISA), despite the difficulty of believing it was legal.

posted by Fergie @ 6/02/2008 10:21:00 PM