Is Your Company Data Safe on the Cloud?

Cloud computing
is a model for enabling ubiquitous network access to a shared pool of configurable computing resources. In the last decade, cloud services have rapidly become one of the most defining technologies in IT and the cloud migration exodus has begun. For many, the benefits of cloud computing outweigh the risks. Cloud computing directly addresses a multitude of challenges enterprises face today and one of them is security.

CloudDataConfidenceIndeed, confidence in cloud security is growing, according to the 2014 IDG Enterprise Cloud Computing Study. The survey found that the vast majority of enterprises were “very” or “somewhat” confident that the information assets placed in the cloud are secure.

But exactly how secure is the cloud? Even if your IT staff or service provider is vigilantly securing your cloud with the latest safety measures and security systems, cloud storage can still be risky business. As everything is hackable and nothing is breach-proof. The recent news of all the security breaches at big companies is proof that more needs to be done to secure our data. Check out the data visualization of the world’s biggest data breaches, leaks and hacks on the ‘Information is beautiful’ site to get a glimpse of the extent of data breaches.

Data security breaches can harm organizations in multiple ways and become expensive – loss of intellectual property, operational disruption, decreased customer trust, tarnished brand, and loss of investor commitment.  IBM and Ponemon Institute stated in their 2015 Cost of Data Breach Study (US), that the average cost for each lost or stolen record containing sensitive and confidential information increased from $201 to $217. Here is US study at a glance:

  • 62 companies participated
  • $6.5 million is the average total cost of data breach
  • 11% increase in total cost of data breach
  • $217 is the average cost per lost or stolen record
  • 8% increase in cost per lost or stolen record

A study by The Ponemon Institute has found the following key figures:

  • Data breaches cost companies an average of $74 in direct costs to resolve the breach, and $142 in indirect costs such as loss of customers. This is a new high of $215 per compromised record.
  • The total average organisational cost of a data breach increased to $6.51 million, up from $5.27 million in 2013
  • Detection and escalation costs increased from $418,594 to $620,140.  These numbers indicate increased investment in forensic and investigative activities, assessment and audit services, crisis team management, and communications to stakeholders and management.
  • Post data breach costs increased. These costs typically include help desk activities, inbound communications, special investigative and remediation work, legal expenditures, and more. These costs increased from $1.59 million in 2014 to $1.63 million in this year’s study.

Cloud security is going to become more important. Make sure you look into these treats so your business is protected.

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