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Yahoo's headquarters in Sunnyvale
The US government's threat that it would fine Yahoo $250,000 per day back in 2008 was bad enough by itself, but declassified documents show that the penalties could easily have been much, much worse. Marc Zwillinger and Jacob Sommer (who were on Yahoo's side in the case) note that $250,000 was merely the baseline, and that the requested fines would double for every week that Yahoo refused to hand over user data. There wasn't a ceiling, either. At that rate, holding out for any significant amount of time would have been impossible -- Yahoo would have lost all of its assets, or $13.8 billion, in just over a year. As such, the fine wasn't so much a punishment as a weapon that forced the internet firm to comply with a surveillance order it was planning to contest in court  READ THE FULL STORY

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