The Dangers of Cloud Computing

Cloud computing is emerging is as an effective option for many IT departments. It allows information to be stored and processed over an Internet-based server rather than by using a local server. This offers a wide range of benefits for the organization as well as employees using the cloud, but it also poses a number of risks. Here is some important information about the potential dangers of cloud computing.

Benefits of Cloud Computing

Before discussing the risks of cloud computing, it helps to understand the ways you benefit from using this type of network.

  • Lower Costs – Cloud computing is a much more cost efficient method for managing, storing and accessing data. You will save on capital costs as well as the IT department’s operating costs. Various expenses end up being less expensive.
  • More Storage – You will also have significantly more data storage than if you use  a local server. In fact, most cloud computing storage is nearly unlimited, so there is no more worrying about storage space.
  • Restoring Data – Backup and recovery are benefits many organizations are interested in learning more about. You have automatic backup and recovery options since the data is stored on a cloud, rather than a physical server.

The Risks of Cloud Computing

While there are advantages to cloud computing, you also have some risks and dangers to be concerned about. By understanding what they are, you have the ability to try and prevent them in any way you can.

  • Security and Privacy Issues One of the primary risks with cloud computing is that of security and privacy issues. By having your network essentially “shared” by being on the Internet, it is vulnerable to certain cyber attacks. Some would argue it isn’t much more of a threat than local servers, but you should still be aware of the implications of this risk. You are also putting your data at risk of privacy issues, as you are storing and sharing confidential information for your customers and clients as well.
  • Lack of Compatibility There is also the risk of lack of compatibility with the IT infrastructure in your company. While it is the cheaper and easier option for storing and managing data, there are also issues where the cloud’s technology changes and your organization’s systems have yet to do so.
  • Lack of Disaster Recovery – There is the benefit of backup and recovery with cloud computing, but one area of recovery isn’t as strong: disaster recovery. There is always the possibility that the disaster recovery you were hoping to get is not compatible or fails to comply with the cloud’s servers. Be sure to research this before you choose to store your data with cloud computing.
  • Monitoring Considerations – When cloud computing is handed over to a service provider, there is another inherent risk.That service provider then has monitoring capabilities of all of your confidential data. By having end-to-end monitoring for your cloud network, you avoid this risk.

These risks are something to be concerned about, but you do have options for protecting your organization. Start by getting a cyber liability insurance policy to protect your business against attacks to the cloud’s security infrastructure.