U.S. technology companies are in danger of losing more business to foreign competitors if the National Security Agency’s power to spy on customers isn’t curbed, researchers with the New America Foundation said in a report today.

The report, by the foundation’s Open Technology Institute, called for prohibiting the NSA from collecting data in bulk, while letting companies report more details about what information they give the government. Senate legislation introduced today would fulfill some recommendations by the institute, a Washington-based advocacy group that has been critical of NSA programs.

Citing concerns from top executives of Microsoft Corp. (MSFT), Cisco Systems Inc. (CSCO) and other companies, the report made a case that NSA spying could damage the $150 billion industry for cloud computing services. Those services are expanding rapidly as businesses move software and data to remote servers.


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