Enterprises Need More Transparency
Retarus Survey: Security concerns move to the cloud

London, 18 May 2012  //  With the influx of cloud-based applications security risks have become a top concern for IT departments. A recent security survey published by Retarus revealed that nearly 80% of enterprise level companies complain about the lack of transparency around security with cloud providers. Only one in five IT executives stated that they were informed by their cloud provider about where their company data is being physically stored and processed, and which national security requirements they adhere to. Global companies in particular are looking for a cloud provider that is able to process customer data in accordance with the Government Regulations that are applicable in different countries. Three out of four of the executives surveyed would prefer a choice in where their data is processed, and which security and privacy laws have to be adhered to.

Privacy and Compliance

Data processed in the cloud may permit foreign access, which has caused some uneasiness amongst global companies. This is mainly because some cloud providers have not architected solutions to meet global compliance. However, this problem is not only limited to cloud providers, but can also be applied to services and web applications, which are used to process sensitive data. Many customers do not realize that the physical location of the cloud provider’s parent company has an impact on access rights to their data.

When organizations have their data processed by service providers that present themselves as local corporations, it often leads to undesirable side effects, specifically, if the providers have parent companies in the U.S. Most organizations are unaware that the Patriot Act allows U.S. authorities access to all data processed by U.S. based companies, including the data processed in their European data centers, which circumvents European security laws.

The Geographic Location of the Provider’s Parent Company is a Decisive Factor

The same law that was designed to combat international terrorism allows U.S. authorities to gain access to all data in the possession of U.S. companies, their subsidiaries, as well as those international companies that operate servers within the scope of the U.S. law. The Patriot Act raises the question of security regarding confidential data, regardless of whether it is stored in the Cloud or processed via a managed service provider or a web application. For many companies, it is critical that the storage and processing of their data is held to certain compliance and privacy policies. That is why the geographical location of the service provider’s parent company is a decisive factor. Only a provider that offers international framework agreements to support local jurisdiction, and has the necessary expertise and appropriate infrastructure, can provide absolute transparency and legal certainty for their customers.

The Decision on Where Data is Processed Must be Made by the Customer

Regardless if the provider offers "cloud" or "managed services", the decision on the location of the data processing must always be made by the customer.  Enterprises need to have the ability to have their data processed and stored in adherence to local governmental laws, such as the strict data protection rules in Europe. For example, Canadian government agencies and clients in the healthcare industry will not allow their data within the jurisdiction of the United States authorities, despite the local and cultural proximity to the U.S.

To support our customers globally, Retarus has eleven international offices throughout the world. We offer a broad portfolio of market-leading managed services, and are able to process customer data according to locally applicable legal, fiscal, and tax laws. All data is processed exactly where it needs to be, which is where the customer needs it to be.

About Retarus

Retarus is a leading global provider of cloud based professional messaging solutions and has been developing and offering services for electronic corporate communications since 1992. The company's customers encompass large and medium-sized corporations, with service extending to more than 3,500 worldwide customers in various sectors. Customers such as Allianz, Bayer, Honda, Sony and Adidas rely on Retarus messaging services to exchange mission-critical business documents. Retarus and its affiliates employ more than 240 dedicated professionals worldwide. Each of its employees makes Retarus' core service values customer focus, innovation, high quality and transparency their mission. In addition to it’s Headquarters in Germany and the US, Retarus maintains subsidiaries in Austria, Australia, Canada, Italy, France, Singapore, Spain, Switzerland, the United Arab Emirates and the US.

messaging services since 1992

 

Retarus