The policy would have mandated global internet firms to establish local data centres to store locally generated information.
Brazil is reportedly not including a controversial provision that would have required global internet firms to establish local data centres to store locally generated information to bypass US spying in its internet bill.
The policy had been added in the wake of disclosures that the NSA had snooped on Brazilians’ digital communications, including targeting President Dilma Rousseff’s emails and phone calls.
However, the policy would now require the firms such as Google and Facebook to subject themselves to Brazilian laws in issues concerning data on its citizens even if the data is stored overseas, reported Reuters citing Brazil’s congressional relations minister Ideli Salvatti.
The bill, which is opposed by allies of Rousseff in the lower chamber of Congress, is yet to be put to the vote.
Dubbed Brazil’s "Internet Constitution", the new law safeguards freedom of expression and protects privacy, while setting limits to the collection and use of metadata on users of internet.
In the wake of the Snowden revelations, Brazil also considered making local use of the internet less dependent on US-based services, while Brazil also supported a plan to develop the Brics Cable, involving a fibre-optic link span from the Brazilian city of Fortaleza to Vladivostok, Russia.
Further, Brazil also confirmed plans to develop a secure and encrypted email service in a bid to thwart foreign surveillance agencies, such as NSA, from intercepting its electronic communications.