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What no one seems to be asking is what privacy and legal laws still apply for a datacenter in orbit?

They're effectively outside the sovereignty of any country. Further, it would be extremely impractical for any government's law enforcement to raid the datacenter and confiscate the servers.

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Maritime law applies to space. In the high seas, the country of registration (flag state) generally governs. As the vessel is elusive, raids would be held on corporate offices instead.

That or impounding data at the teleports.

The threat of prison if you don't turn over SSH keys probably still works.

https://xkcd.com/538/

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