Really really hope Microsoft wins this one. Without it, no SVG, XUL, OpenOffice documents, GNUCash files, and much more. The XML patent will most likely be invalidated.
This not only applies to SAAS, but also telecoms, any anyone that handles your data in any way. It has been upheld in the court of law that once a 3rd party has your data, they have no obligation (except perhaps contractual) to not disclose that data to government agencies, etc. They can do so on their own free will as the data is considered ‘disclosed/public’, and is not covered under the 4th or 5th amendment.