Proton could leave Switzerland over Russian-style bill

The founder of Proton has said that the company is considering moving its headquarters out of Switzerland due to new legislative initiatives on surveillance. In his opinion, these initiatives worsen the country’s privacy conditions, making them worse than in the US, and have much in common with Russian regulations.

What is this Swiss law that could cause Proton to leave the country?

We are talking about proposed amendments to the Federal Act on the Supervision of Postal and Telecommunications (BÜPF — Bundesgesetz betreffend die Überwachung des Post- und Fernmeldeverkehrs), which regulates exactly how the state can monitor digital communications.

• The obligation to store metadata in real time (even if it is a VPN or encrypted email).
• User identification — even in the case of anonymous or pseudonymous accounts.
• Direct access to data for Swiss law enforcement and intelligence agencies.
• Applying requirements to “significant” providers — that is, companies with a large user base (1 million+).

Proton, a provider of secure email and VPN services whose products are used by more than 100 million people, could move its headquarters out of Switzerland if the authorities pass amendments to the law. The amendments would require companies with large revenues or large user bases to store metadata in real time, identify users, and transfer their data to law enforcement. Andy Yen, the company’s founder, believes that implementing these requirements goes against Proton’s values ​​of privacy and international law.

Switzerland has traditionally been seen as a bastion of digital security and neutrality, but new legislative proposals would expand the powers of government agencies to monitor digital traffic. Similar requirements are already in place in Russia and are causing a backlash among human rights groups and technology companies, including Threema and NymVPN, which could also be affected.

Proton has publicly stated that it will only stay in Switzerland if “balanced” regulations are adopted. If the bill is passed without changes, the company, which has built its image on ensuring privacy, will begin looking for another jurisdiction. A final decision by the government is expected after consultations.