---
title: "Cloud Data Security: Know the Risks"
description: Businesses moving to the cloud can mitigate security and privacy risks by choosing the right provider.
image: https://www.xtranetinc.com/hubfs/Imported_Blog_Media/xtranet1212b-300x225-3.jpg
---

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 Published: 22 Dec 2014

# Cloud Data Security: Know the Risks

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Moving to the cloud is the next step in a data revolution, that is changing the way things are done. Along with the cloud’s exciting possibilities, there are new risks to consider. Understanding those risks is the best way to choose the right provider to allow businesses to reap the benefits of cloud computing.

**Security**

The same security concerns that existed with traditional communication options are still valid when it comes to cloud storage and networking. However, the cloud is relatively young for these hazards so solutions are yet evolving.Public clouds are more threatened than private or managed networks, but no matter the system, cloud communication makes hacking and viruses easier for thieves. On the upside, a good data center can provide high security to lower and alleviate the risk.

**Multi-Tenants**

Another danger with cloud solutions is the susceptibility of software to fail in a multi-tenant situation.  Hypothetically, one server may harm another if it’s infiltrated or damaged. This creates a network of data accuracy problems including lost or damaged data that cannot be retrieved. A reputable cloud solution provider is the best way to protect information from being interrupted or stolen from a third party.

**Privacy Protection**

Using the cloud for business requires trusting employees with delicate information. This adds a third risk: dealing with data access authorization. A poorly conceived cloud network risks insecure authorization that can be accessed by competition or unauthorized employees. This issue opens up businesses to liability from consumers who are protected under a 1986 U.S. privacy act.

European electronic privacy laws are an additional problem for American companies who store data with providers who have servers in the European Union. American businesses in this case are liable, even if the business does not deal with European consumers. Well trusted cloud solution providers must be chosen to control access to precious data.

**Third Party Reliance**

There are a few other possible risks to be aware of when crossing over to the cloud. These include the danger of relying on a third party to create an entire infrastructure and its platforms. Providers also oversee the installation and maintenance so they must be dependable and quick to respond to problems. Slow service on the cloud hampers productivity.

It’s important to know the risks of cloud solutions in order to choose a provider that will effectively handle the issues. Done safely, utilizing the cloud allows businesses to save money and increase productivity. Choose wisely.

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![xtadmin](https://www.xtranetinc.com/hubfs/site-files/avatar-default.svg)

#### xtadmin

 Published in [Cloud](https://www.xtranetinc.com/blog/tag/cloud), [security](https://www.xtranetinc.com/blog/tag/security)

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#### Read More:

[![4 Traits of an Effective Cloud Provider](https://www.xtranetinc.com/hubfs/Imported_Blog_Media/xtranet1212-200x300-2.jpg)](https://www.xtranetinc.com/blog/4-traits-effective-cloud-provider)

##### [4 Traits of an Effective Cloud Provider](https://www.xtranetinc.com/blog/4-traits-effective-cloud-provider)

 Partnering with the right provider is a necessity for any business ready to migrate to the cloud....

[Read More](https://www.xtranetinc.com/blog/4-traits-effective-cloud-provider)

[![Avoid Common Hazards When Purchasing Business Systems](https://www.xtranetinc.com/hubfs/Imported_Blog_Media/shutterstock_294833330-3.jpg)](https://www.xtranetinc.com/blog/purchasing-business-systems)

##### [Avoid Common Hazards When Purchasing Business Systems](https://www.xtranetinc.com/blog/purchasing-business-systems)

 For some time now, experts have indicated that spending on enterprise software will explode in...

[Read More](https://www.xtranetinc.com/blog/purchasing-business-systems)

[![Utilizing DRaaS as a Gateway to the Cloud](https://www.xtranetinc.com/hubfs/Imported_Blog_Media/shutterstock_153859988-2.jpg)](https://www.xtranetinc.com/blog/utilizing-draas-as-a-gateway)

##### [Utilizing DRaaS as a Gateway to the Cloud](https://www.xtranetinc.com/blog/utilizing-draas-as-a-gateway)

 Technology can be a frightening thing, especially to those without a firm understanding of how it...

[Read More](https://www.xtranetinc.com/blog/utilizing-draas-as-a-gateway)

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