Needless to say, Google isn't pleased. It directly cited Microsoft's victory as precedent, and argued that it had obeyed the warrant by handing over info that was stored in the US. The company believes that the judge "departed" from that precedent and intends to appeal the decision.

It wouldn't be surprising if the appeal works given that Microsoft's own case managed to survive legal scrutiny. It successfully contended that users outside the US would assume that their data was governed by local laws, and that police couldn't override those protections just because an American company is hosting the data. Either way, the ruling shows that there isn't yet a final answer on handling data beyond US borders.