It should be noted that the European Economic Area is currently implementing the Data Retention Directive[1], which in my opinion is worse for end-users than what the blogosphere is extrapolating from some dude's PowerPoint slides in this case. If you're using a US hosted service, there's nothing preventing you from deleting your data if it hasn't been subpoenaed already. European countries are starting to enforce a 6-24 month minimum retention period for traffic data.

1. http://en.wikipedia.org/wiki/Data_Retention_Directive