The Lighter Side Of The Cloud – All Platforms
The Lighter Side Of The Cloud – Black Friday Online
The Lighter Side Of The Cloud – Deconstruction
The Lighter Side Of The Cloud – New Delivery System

Cloud Security Still Top Priority For Finance Execs

Cloud Security Still Top Priority For Finance Execs

In the wake of the recent Sony PlayStation hack, Amazon EC2 outage and Epsilon data theft, information security is once again back in the news – for all the wrong reasons.

The web has become a playground for hackers and malcontents eager to phish, defraud and steal wherever and whenever they can. Policing this landscape is a logistical nightmare, and battle lines are being drawn and redrawn many thousands of times a day – which perhaps hints at why many of us are still uncomfortable with the idea of storing sensitive data in third-party environments.

That unease is only likely to have increased following the recent data breach in Sony’s PlayStation network, which compromised the personal data of more than 100 million customers of the Japanese electronics giant. This and other high-profile security snafus, such as a massive outage at Amazon’s cloud computing centre, have caused some businesses to put the brakes on plans to move their operations into the cloud.

There still exists a level of concern over the cloud,” admits Crawford del Prete, Executive Vice President of Worldwide Products and Chief Research Officer at research giant IDC. “There is a need for quite a bit more maturation in terms of people’s experiences with it. When we conduct our surveys, we find that security and uncertainty around what data to put into the cloud are consistently at the top of people’s concerns.”

In a 2010 report by the Ponemon Institute in California, a mere 33 percent of the 1000 IT professionals surveyed trusted the security of cloud-hosting data centres. What’s more, such skepticism seems justified: in a more recent study released last month, Ponemon found that providers of cloud computing resources are not focused on security in the cloud. Rather, their priority is delivering the features their customers want, such as low-cost solutions with fast deployment that improve customer service and increase the efficiency of the IT function. “As a result,” says the report, “providers in our study conclude that they cannot warrant or provide complete assurance that their products or services are sufficiently secure.

Such findings highlight a concern many technology executives share: will external software providers have the firm’s best interests at heart? “If we pick a vendor to host our stuff, are they going to have the right maturity, the right service levels, the ability to pay the same amount of attention as we do to our own environments today?” asks Richard Scott, CTO at Guardian Life Insurance Company. “Are we going to get the same or better or a guaranteed level of service?”

Nonetheless, given that a report published by the Centre for Economics and Business Research suggests cloud computing will allow financial services business to break free from the shackles of old legacy IT, generate some US$250 billion and create a staggering 207,000 jobs, technology and finance executives – along with their colleagues in legal, business and other related departments – will need to work together to eliminate such concerns. Much of this work has already begun: CEBR’s Cloud Dividend report predicts that 60-80 percent of all businesses in the banking, financial and business services sector will have adopted some form of cloud computing by 2015.

As such, as technology evolves – and despite the potential for further security breaches in future – comfort levels with the cloud environment are likely to increase in time as security concerns are addressed. “The future of the cloud will be driven forward by technology and comfort levels, but it will also be pulled back by technology and comfort levels,” says del Prete. “There will be security breaches where all of a sudden people will quickly lose faith in the cloud, and then they will go back to it and slowly become more comfortable again.”

Scott, too, is optimistic that these are just kinks that will work themselves out with time. “As the technology evolves and security techniques become tried and tested, these concerns will go away,” he insists. “I don’t think that there’s anything that will stop the future adoption of cloud services.”

Ensuring security in a cloud-based environment will no doubt be top of the list of issues delegates will be discussing at the Government CIO Summit 2011 which takes place at the Landsdowne Resort, Leesburg, Virginia from 8-10 June 2011.

This closed-door summit, hosted by GDS International, also features some of the leading voices in the government CIO sector, including Bernard Mazer, CIO Department of the Interior; Vance Hitch, CIO Department of Justice; Rick Holgate, CIO Alcohol Tobacco and Firearms (ATF); Henry Chao, CIO Health and Human Services, and Sean Moulton, Director of Federal Information Policy, Office of Management and Budget.

Along with cloud computing, other key topics for discussion include secure access and visibility for data centre performance, security and compliance and federal financial management performance imperatives.

Government CIO Summit 2011 is an exclusive C-level event reserved for 100 participants that includes expert workshops, facilitated roundtables, peer-to-peer networks and co-ordinated meetings.

For more information, visit

Contribution Article By GDS International


GDS International is a leading business-to-business events company. We offer financial, healthcare, IT service management, telecoms and oil and gas summits for senior executives throughout the Asia Pacific, Africa, China, Europe, North America and Russia markets. Our value proposition is simple: we deliver real results. And we’re very good at it.


Follow Us!


Established in 2009, is recognized as one of the leading authorities in cloud computing information. Most of the excellent CloudTweaks articles are provided by our own paid writers, with a small percentage provided by guest authors from around the globe, including CEOs, CIOs, Technology bloggers and Cloud enthusiasts. Our goal is to continue to build a growing community offering the best in-depth articles, interviews, event listings, whitepapers, infographics and much more...
Follow Us!

Sorry, comments are closed for this post.


Popular Archives

How The Cloud Is Changing Disaster Recovery

How The Cloud Is Changing Disaster Recovery

How the Cloud is Changing Disaster Recovery Anyone who is a regular reader of this site will know about the cloud’s numerous benefits. Using the cloud can provide businesses with cost-effective resource usage, rapid provisioning, easy scalability and flexible elasticity – benefits that simply don’t exist when using local on-site servers and services. One of…

Wearable Tech – Will It Ever Be Fashionable?

Wearable Tech – Will It Ever Be Fashionable?

Wearable Tech – Will It Ever Be Fashionable? Wearable tech is taking over the world, and in that sense, it’s already fashionable. As we noted last week, the sector is expected to grow from $14 billion in 2014 to $70+ billion in 2024. But what about ‘high-fashion’? The catwalks and runways of London, Paris, and Milan? Can…


New Trends In Cloud Based Education

New Trends In Cloud Based Education

Cloud Based Education With technological progress accelerating and users’ computer experience becoming richer and increasingly complex, the future developments in education technology is very exciting. Students are now able to attend demonstration sessions on how to handle technology through remote laboratories using advanced applications in a truly interactive environment. One of these exciting areas is in telemedicine.…

Encrypting Your Cloud Data For Extra Protection

Encrypting Your Cloud Data For Extra Protection

Encrypting Your Cloud Data Encrypting data is one of the best ways of protecting your data as it moves to the cloud. The only thing better than encrypting your data, is not storing your data at all. Let’s first look at the case of using file sharing applications such as Dropbox. If you are the…

The Storytelling Machine: Big Content and Big Data

The Storytelling Machine: Big Content and Big Data

Bridging The Gap Between Big Content and Big Data Advances in cloud computing, along with the big data movement, have transformed the business IT landscape. Leveraging the cloud, companies are now afforded on demand capacity and mobile accessibility to their business-critical systems and information. At the same time, the amount of structured and unstructured data…

The Many Hats Of Today’s IT Managers

The Many Hats Of Today’s IT Managers

The Many Hats of IT Managers In years past, the IT department of most large organizations was much like a version of Middle Earth: a mysterious nether world where people who seemed infinitely smarter than the rest of us bustled around, speaking and typing languages that appeared indecipherable, yet, which made our world work. They…

Selling Your Business To Your Employees

Selling Your Business To Your Employees

Mobility For Your Employees It may seem a radical notion, the idea of selling your business to the people who work for you, but this is the era in which we now work. Employees of all levels are all incredibly aware of their options when it comes to mobility and employability. This doesn’t mean that…

Technology Sponsors

hp Logo CityCloud-PoweredByOpenstack-Bluesquare_logo_100x100-01
cisco_logo_100x100 vmware citrix100
Site 24x7 200px-KPMG
Advertising ROI Plans

Established in 2009

CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

CloudTweaks Comic Library