Security in the Cloud - Mitigating the Risks of Cloud Technology in the Financial Services Sector
What is the cloud ?
By its very nature, it is difficult to define the cloud in clear terms.
At its heart, cloud computing is refreshingly client-centric, focused on providing the end service required, rather than having a number of specific processes or technologies involved to get to that result.
It is like purchasing a ready-made meal rather than buying all the ingredients and following a recipe to make one. There is less wastage and the process is faster – but you will have to look closely at the small print on the packet to see what is inside.
Cloud computing can be defined by five features:
- The client can buy server time and network service as required with no need for human
interaction with the providers
- All the capabilities are available over a network and can be accessed by thin or thick client
platforms, such as mobiles phones, laptops or PDAs
- Consumers can rent the space they need from the provider’s computing resources as multiple tenants
- Client can quickly scale up or down the capabilities they need from the provider from a
seemingly infinite resource
- Consumers only pay for what they need and actually use. Bills are estimated according to
storage, bandwidth and active user accounts.
The right kind of cloud
Cloud computing services are normally delivered in one of four ways, depending on the level of ownership and the technical architecture.
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Public or External (Vendor) Cloud
These are cloud computing services that can be accessed across the internet and shared
among multiple customers.
Hybrid cloud
This is a mix of vendor cloud services, internal cloud computing architectures and IT
infrastructure forming a hybrid model that uses industry good practice technologies to meet
specific needs.
Private cloud
These are modelled on public clouds, yet built, managed and used exclusively by a single
enterprise. Private clouds use a shared services model with variable usage of a common pool
of virtualised computing resources. Services are usually accessed via a private network.
Community Cloud
Community clouds are used across organisations that have similar objectives and concerns,
allowing for shared infrastructure and services.
Seeing clear skies through the cloud
Cloud computing has passed the stage of being just for internet giants and media start-ups.
It is a flexible new environment where ideas can be explored and developed at very low cost. A
cloud can help bring creativity into a financial institution at a time when there is less money than ever to invest in research and development.
It can reduce months of work to just a few hours. It can cut the cost of managing an application or server in a bank data centre from almost $900 a month to just over $70.
