Businesses located in European countries have admitted that they lack trust in cloud providers when it comes to security and data protection. It is revealed that 72% of businesses don’t trust cloud vendors to obey data protection laws and other regulations. This was revealed in a recent study entitled “Data breach” –The Cloud multiplier effect in European Countries” which was commissioned by Netskope-a cloud security provider.
The study was held to gauge how IT perceived cloud and the available security on that platform
The study shows that 53% of respondents said the likelihood of a data breach increases due to the cloud and the Ponemon institute study also found that the data breaches increases the expected economic impact by as much as 3 times when they involve the cloud. This phenomenon is said to be ‘Cloud Multiplier Effect’ and the research found that it applies to varying degrees in accordance with different cloud scenarios, such as increased data sharing from cloud apps or increased use of mobile devices to connect to cloud.
Generally, €136 is said to be the cost for each compromised data record and if 100,000 customer records are lost or stolen, then the amount will cost an organization €13.6million.
Assuming an increase in cloud storage, the estimated probability of a data breach involving loss or theft increases by 126%. Moreover, many respondents admitted that by simply increasing the use of any cloud services causes the impact of a data breach of the same type to go up by 159%.
To end with, the respondents came to a conclusion that rapid vendor growth and volatility of a cloud provider could increase the probability of a data breach involving the loss of 100,000 customer records or more by 108%.
In addition to 72% of respondents who believed that cloud providers fail to comply with data protection laws and regulations, 84% of respondents also doubted that their cloud service providers would notify them immediately if their intellectual property or business confidential information gets lost or stolen. Among them, 77% were sure that their cloud provider would not inform them immediately, if at all their data gets hacked.
The respondents who participated in the survey concluded that a cloud has the potential to be more secured than on-premise IT; but this is only true if they have policy enforcement capabilities coupled with deep contextual visibility into cloud transactions; especially with those which involve sensitive info.
Hope, the European Cloud providers are analyzing the said survey results with interest.