1. Are my data secure in the cloud?
For companies, it’s a big step to place confidential and sensitive business data in the cloud. Consequently, data security is often cited as one of the main reasons against using cloud services. The biggest hurdle usually lies in the shift of responsibilities. This perceived loss of control concerns many IT security departments in companies. But how high is the perceived security of own data centers? Globally, they are exposed to major threats, as securing these constructs requires specialized and expert knowledge. Large cloud providers have the necessary resources to protect their data centers through extensive physical security measures, such as alarm systems and modern fire protection systems. Technical security is guaranteed, among other things, by the use of the latest encryption techniques, authentication measures, and access regulations.
Moreover, cloud services are able to self-regulate. They use protection mechanisms to identify irregularities and initiate automatic countermeasures. Another important measure is the establishment of a clear classification of data (confidential, secret). In the cloud, unlike on-premise data centers, there is no distinction between internal and external access. All accesses are treated equally and protected accordingly through encrypted connections, constant verification of the security level of users with 2-factor authentication, up to checking device security.
2. What role does the server location play in choosing a provider?
Due to the USA PATRIOT Act of 2001, American companies must hand over data stored in the USA to authorities if required in the context of criminal investigations. With the CLOUD Act (Clarifying Lawful Overseas Use of Data Act) in March 2018, the powers of American authorities were further expanded. It now allows them to access data of American companies stored abroad. However, this contradicts the legal regulations of the European General Data Protection Regulation (GDPR), according to which companies face severe penalties for violations. Accordingly, many providers are expanding their offerings to provide legally compliant and data protection-compliant solutions in Europe.
3. Are cloud services even suitable for my requirements?
Not all clouds are the same. Through different models, companies have the opportunity to decide which services they want to obtain and how these should be provided, depending on their specific needs.
Pure cloud solutions, both public and private, are possible, as are hybrid concepts. Additionally, there is the option to freely combine desired services, such as Azure, Office 365, or Dynamics 365. If requirements change, adjustments and extensions can of course be made at any time. The cloud model makes it possible: adaptive scaling, easy activation and deactivation of users, uncomplicated administration, intuitive use. Thus, one is highly flexible and can better respond to constantly changing, individual requirements than would be the case with one’s own infrastructure.
Despite the offered flexibility, there are certain standards that should be observed for effective and sustainable use.
4. Are my costs for cloud services higher in the long term than on-premise operations?
Unlike maintaining your own infrastructure, in the cloud, you only pay for the services you actually need. Compared to maintaining your own data center infrastructure, cost savings are particularly significant for smaller data centers, with amortization sometimes occurring within the first year. A crucial cost advantage is the flexibility of temporarily activable functions and licenses for short-term performance boosts, as the necessary resources don’t need to be purchased through lengthy and expensive processes. This also creates greater planning security, as there are no unplanned one-time costs. However, similar to on-premise solutions, cloud services must be actively managed and controlled to optimally implement the potential cost benefits.
Typically, the IT department bears the costs for IT services. By using cloud services, the cost distribution can shift towards the business side. Individual departments can decide which services they need and use their own budget for this purpose. As a result, their needs can be met faster and more easily, as, for example, long waiting times for building their own infrastructures are eliminated.
5. Do We Have Enough Bandwidth Available?
The concept of cloud services involves moving data to the cloud. Documents should not be downloaded individually by each user, but rather edited collaboratively online. This approach brings many benefits for collaboration, as it eliminates the effort for file versioning and allows real-time teamwork. An increased load only occurs if the applied concept doesn’t fit the respective company. Thus, it’s less about available bandwidth and more about establishing cloud-based work practices.
Modern work practices, such as home office and mobile work from anywhere, further relieve the strain on company networks. The question of sufficient bandwidth will therefore become less significant, whereas the reliable availability of cloud services will become increasingly important.
6. Are Cloud Services Even Stable and Reliable?
When opting for cloud services, you enter into standardized Service Level Agreements (SLAs) set by the respective provider. In these, they guarantee a percentage of service availability, including maximum downtime and compensations in case of prolonged disruptions. Most established providers guarantee high availability of at least 99.9 percent within their SLAs.
Companies that require a higher level of protection regarding fail-safety can opt for a federated or hybrid solution. This involves using multiple data centers, distributed across different countries or regions. Through this spatial separation, regional uncertainty factors can be considered and addressed.
7. Is the Cloud Environmentally Friendly?
Due to the high demands on their products, cloud providers are always dependent on maximizing the optimization of their systems. Unlike many companies that operate their own data centers, cloud service providers are able to leverage synergy effects and optimize the utilization of their services. For example, they can distribute and balance the load of emerging performance peaks. Elaborate failover solutions and protective measures don’t need to be redesigned for each customer. Thus, operations can be significantly more environmentally friendly.
Additionally, many providers already use renewable energies and invest in research for environmentally friendly technologies. Microsoft, for example, is experimenting with floating data centers in the Atlantic to develop natural and thus energy-saving cooling options.
Conclusion
When deciding to use cloud services, one should not simply begin implementation, but rather intensively address and responsibly manage the arising questions beforehand. Some aspects that are critical factors in classic IT operations no longer play a decisive role in the cloud, such as available bandwidth. However, new problem areas may arise, for example in data protection and data security.
Do you have any more questions about cloud computing? Then contact us and develop your own individual cloud strategy with us.