Ariella, The EU has stricter rules on data privacy. Depending on the type of information it is illegal to store it outside of the EU, and sometimes it has to be kept in the same country the data is collected or created.
The "Safe Harbor" agreement granted the possibility to transmitt and store some information to the US and vice-versa. But the fact that the US government has the right to subpoena most data without a court order made the ECJ consider the Safe Harbor rules illegal. European governments can't legally request access to any personal data without judicial oversight.
A new "Safe Harbor" agreement is being negotiated, but it will restrict the ability of US agencies to request any data belonging to EU citizens and corporations without more control. Gag orders are also considered illegal by EU Law.