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Australian VPN Providers Concerned About New Data Laws

Australian VPN Providers Concerned About New Data Laws

Australia has recently set live a law regarding data retention that has sparked several concerns from VPN providers in a matter of user privacy.

One of the moves taken by various Virtual Private Network (VPN) providers was to relocate their companies overseas in order to avoid the effects of the new Australian law jurisdiction in the matter of data retention. Amongst the companies to have relocated outside the country, 4TFY a Virtual Private Network has made several headlines and attracted a great amount of attention when they launched a Funding or Kickstarter campaign to set live this project. 4TFY would allow users to avoid the new Australian Data retention laws, according to the 4TFY’s founder Luke Millanta.

Requirements on new data retention laws are too intrusive

In April this year, the new data retention laws came into force and required Internet Service Providers to keep a great scope of data on anyone using Wi-Fi, mobile internet, or a fixed line connection for a time lapse of 2 years. As it was reported a few months ago, the new requirements on Australian Internet Service Providers (ISPs) to retain user data saw a surge in Virtual Private Networks use in the country.

Amongst the data ISPs must collect, it has transpired that they must collect location data for each connection, along with its date, time, account name, and duration. There was also a big debate about whether the new laws would apply to Australian VPN providers too, which has prompted many providers to take their services overseas in order to ensure their users’ privacy.

Another Australian VPN provider, VPNSecure, was adamant the new laws didn’t apply to them.

British Virgin Islands: The safe way out

The British Virgin Islands are home to one of the biggest and most secure VPNs on the market at this moment, Express VPN. This has been possible thanks to the Islands’ laws on privacy which have no requirements on companies to preserve any customer data.

Taking that into consideration, the BVI seem like a viable and beneficial choice for many Australian-based VPN providers. Other prominent locations for establishing VPN businesses include Panama and the Seychelles, home to plenty of other popular VPN providers such as NordVPN and Proxy.sh

Unusual payment method

Going against the current seems to be the 4TFY motto, as they have asked for a one time only payment set at $89, instead of a more recommendable monthly payment. This train of thoughts has been questioned by popular VPN experts who state that Virtual Private networks require ongoing investments to keep a steady line of improvements and maintain high quality.

However, and despite the warnings made by certain sectors in the industry, investor seems to find this business really attractive. The Kickstarter made by Luke Millanta has raised more than AU$115,000 way more than what was initially proposed.

It has become impossible to deliver high standards of privacy and security from Australia in consequence of its latest data retention laws, and during these events, the Australian VPN providers surely can find a light that ensures their business in the British Virgin Islands.

About Ali Raza

Ali is a freelance journalist, having 5 years of experience in web journalism and marketing. He contributes to various online publications. With a master degree, now he combines his passions for writing about internet security and technology. When he is not working, he loves traveling and playing games.

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