The advantages of storing information in the cloud are numerous. Backing up important data, creating more space on your servers, and having your data easily available to your employees are just a few. If you’ve been considering this route, you almost certainly have many questions about the security of the cloud. If your company deals with sensitive information that belongs to your customers you may need to stay compliant with HIPAA, PCI or Sarbanes-Oxley regulations.

Is your cloud storage solution following these requirements? If they don’t indicate it in their privacy policies, it can be hard to tell. Let’s explore this further below.

Compliance

More and more companies are using the cloud for storage. For obvious reasons, it is a very cost effective way to go. However, improper handling of your client’s information can damage your reputation and lead to a loss of business for your company. If your company requires that client data be handled in a controlled way, you must first learn how secure the cloud service is and what regulations does the cloud service providers comply with. If a company has not specifically said they comply with certain policies, it’s safe to assume they do not.

Who is responsible

Whose responsibility is the security of the cloud? It is not presently required that a service provider be explicit regarding their compliance with these regulations. While the safest option is to assume that if they haven’t clearly stated that they’re in compliance in their privacy policy, they are not. This may mean that cloud computing is not for you. However, if your business does not require tight regulations, then the benefits of cloud computing could be an excellent solution for you. 

Currently there’s no law in place that requires a company to divulge this information. Cloud computing services can save your organization money while boosting efficiency, but they may also risk noncompliance with privacy laws. This leaves the risk on your shoulders and it is up to you to weigh the benefits and threats for yourself. The topic of cloud security will probably be one of much debate in coming years. At the moment, the right road to travel is the the one that best meets your company’s specific needs.