Cloud computing offers a business the prospect of efficiency and savings by improving data storage capabilities and outsourcing computing resources that a business need not build for itself. But when data moves to the cloud, does this raise new troubles and make legal compliance more difficult? Or can it minimize risk and increase compliance with a dizzying array of global data privacy laws? How do cloud computing and data privacy compliance intersect?
Lowell Thompson of Genity, a US-based company, discusses in this podcast how a cloud computing service can address this challenge and opportunity. Using encryption technology, Genity offers what it describes as data security by default that aims to bypass data privacy laws of Europe, California, Canada, and other countries.
Major data breaches such as Equifax (2017) revealed weaknesses in internal business systems, in that case exposing sensitive personal information of 147 million people from several countries. As a business focused on data, a cloud provider must be attentive to cybersecurity and differing data privacy rules and so may be able to provide greater security and compliance than many businesses can expect of their own personnel and system.
When a business contracts with a cloud computing services provider, it should consider several key issues: consent of data subjects, security, control and supervision, and server location. If a server resides in a jurisdiction that requires data localization or requires sharing data with government authorities, this can complicate a business’ data issues. The contract between a business and cloud services provider merits careful review to determine whether proceeding minimizes or increases the risk of data breach and inadvertent violations of differing state and national data privacy rules.
Cloud computing has its benefits. But you don’t want a cloud to turn dark with thunder and lightning. Explore the intersection of cloud computing and data privacy in this podcast. If you have ideas for more interviews or stories, please email info@thedataprivacydetective.com.