Fewer security risks in the cloud, says study
The recent Aberdeen report showing that cloud-based solutions incur fewer security risks than on-premises software has turned CIO cloud fears inside out. The Aberdeen survey compared companies using on premise web security solutions to those using cloud-based solutions. The survey found that by NOT storing information via the cloud, companies may be putting themselves at greater risk for more malware incidents and data loss.
Cloud-based solutions more secure
During its 12- month analysis, Aberdeen analyzed 36 companies using on-premise solutions, and 22 using cloud-based services. "The analysis shows that cloud-based solutions incur fewer security risks," reports CMSWire. CMSWire summarizes the study nicely.
For exa
mple:
On-premises solutions had 11 data-loss / data-exposure incidents, while cloud-based services only had six.
"Let's put it in a language that companies understand: money," CMS Wire says. "Assume for a moment, as Aberdeen did, that each data loss incident or exposure costs US $640,000. Having had 5 fewer data loss incidents translates into US $3 million in cost avoidance."
On-premises solutions had 30 audit deficiencies, cloud-based services had only two. "Consider that for every audit deficiency, a company loses US$7,000. Would you rather have 30 of them or two?"
Cloud forecast
There are several great reasons to operate within the cloud, like efficiency, collaboration and convenience. Until now, those didn’t mean much to the C-suite. Yet, when coupled with a strong security track analysis, it will be much harder for executives to ignore the benefits of cloud, or all the money they’ll be saving as a result.
Some of the figures worth noting include the fact that by 2014:
* 75% of companies large and small will be using Cloud instances for business operations
* 25%+ of companies will be using the Cloud to test software
* 15% will be using private Clouds for daily business needs
* 40% of all new IT spend will be Cloud-based
* 45% of all new work will be done in the Cloud
* 25% of company IT generally will be Cloud-based
See also: CMS Wire's write-up of the cloud security survey. CMSWire has been a reliable source of IT insider-expertise since 2003. They're an excellent web magazine dedicated to all things content management and a few other things they consider related.
Look at clouds from both sides now
When services like SaaS or online services such as safety data management, IaaS (Infrastructure as a Service) and PaaS (Platform as a Service) are offered in the cloud. But companies have been slow to adopt them. Largely, this is because of fears about data security. And software vendors that are not cloud-based love to provoke those fears.
For instance, this blogger was recently at an industry trade show. Over morning coffee, I was talking with the senior member of a (giant) competitor. It turned into a friendly spar:
Me: "Your company does some great work in the environmental regulatory compliance space. At least, it's great for departments who can afford those high fees and the massive upgrade headaches that go with it." (ha ha)
Competitor: "The fees are worth it rather than having data strewn around web networks."
Me (laughing): "So that's what we're saying these days, is it?"
Competitor: "Yes, that's what we're saying!"
Me: "I see. Are we also saying that SaaS has fewer corruptions and security breaches than the networks used in on-premise scenarios?"
Competitor: "No; we are not mentioning anything like that at all."
Me: "Really? Because lately I find myself talking a lot about how security with on-premise software is less reliable than SaaS...."
He looks at me. I don't give him any specifics, such as telling him about Aberdeen's research. I kind of figure he knows but has conveniently let it out of this mind. But readers of this blog will want to know.
Data security is something to keep in mental forefront while researching software solutions for critical enterprise data operations. Especially systems around regulations and precious raw material inventory.
----
Aberdeen's survey and full report is available online. For more on SaaS, try this link at the Supply Chain Data Mgmt blog: SaaS Software Comes Of Age
Blog Articles
