(Bloomberg) President Barack Obama's plan to keep phone data with the National Security Agency for now is a victory for telecommunications companies, which resisted the idea of holding the records themselves over concerns about lawsuits, lost business and unwanted responsibility.
A White House advisory panel recommended last year that the phone metadata should be held by companies such as Verizon Communications Inc. (VZ), AT&T Inc. (T) or some other private entity. Obama instead will ask Congress to decide the matter when he releases his proposal to limit NSA surveillance programs tomorrow, according to a person familiar with the plans, who spoke on condition of anonymity before the announcement.
"What matters is not so much the fact that they won't be required to hold those records, but rather just to be out from any kind of requirement one way or another," said Charles Golvin, an independent technology industry analyst. "That's a big win for the carriers."
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