China's new cyber security law (Law) could have far-reaching
impacts for companies that do business there. The Law goes into
effect on June 1, 2017. As is typical of legislation passed by the
Standing Committee of the National People's Congress,
China's highest legislative authority, the law has
been criticized for its vagueness. Its provisions cover a wide
range of issues. It regulates technology that can be used in
China's cyber space and requires network operators to cooperate
in national security and criminal investigations. The Law also
requires "critical information infrastructure
operators" to store personal data and important business
data within China.
The Law's requirements for critical information
infrastructure operators are stringent and could apply broadly
– to any information infrastructure that, if destroyed, could
"endanger national security, national welfare and the
people's livelihood, or the public interest." Critical
information infrastructure