While I was upset to hear how that ended, it's also unfair to expect a company to refuse when the government shows up with guns, takes over a part of your offices, and tells you to stay out of their way and never tell anyone what they are doing or else you'll be killed or sent to a secret torture prison for the rest of your life.
That's not a situation that's supposed to happen in a free country, but here we are. If you're handed a gag order by the federal government and can't even tell your lawyers about what happened what options does a company have? How many CEOs and low level employees should we expect to volunteer to have their lives destroyed by refusing to cooperate with the government's illegal surveillance schemes?
At&t may not have been coerced quite that aggressively, but these kinds of problems need to be addressed by people other than the private companies who are themselves victims of government oppression. Having said that, not every company is a totally unwilling participant either. There are companies who are happy to make a lot of money by selling our private data to the government. ISPs and phone companies even bill police departments for things like wiretaps and access to online portals where they can collect customer's data. State surveillance (legal or otherwise) shouldn't be allowed to become a revenue stream for private corporations. In fact it should be costly.
Considering the massively disproportionate amount of influence corporations have over our government (mostly as a result of their own bribes) it's tempting to want to make compliance so costly to companies that they're compelled to try to use some of that influence to stop or limit domestic surveillance by the state, but honestly I doubt that even they have enough power to stop it. Snowden showed us that even congress doesn't have the power to regulate these agencies. The head of the NSA, under oath, lied right to their faces by denying that their illegal wiretapping scheme even existed. You can't regulate something you aren't allowed to know exists. He also faced zero consequences for those lies which tells us that he's basically untouchable.
Obama was elected on campaign promises that he would end the NSA's domestic surveillance programs. Obama was an expert on constitutional law and taught courses on it at the University of Chicago. He spoke out passionately about how unconstitutional and dangerous such programs were. After he was elected his stance quickly changed. He not only started publicly praising the NSA, he actually expanded their surveillance powers. Maybe the NSA showed him a bunch of top secret evidence that scared him enough to make him willing to accept the dangers of their surveillance despite knowing the risks and unconstitutionality. Maybe the NSA strong-armed him. Either way, not even the US president had the power to stop the NSA. It's pretty unreasonable to expect that AT&T would.
