Why cloud compliance matters for your business

Cloud computing has changed the way we work and live, and it is now the foundation of many businesses. With cloud technologies continuing to be crucial drivers of growth, complying with new guidelines and regulations is more important than ever.

What does cloud compliance mean?

Cloud compliance is the process of ensuring that your business follows strict regulations and laws regarding the use of cloud computing. These requirements vary depending on factors such as your industry and business type, but they are all designed to help protect your company, employees, and customers.
 
Cloud compliance regulations are divided into three distinct categories.
 
1. Government standards
These standards are implemented and kept up to date by national and local governments. Such standards include:
 
●     National Institute of Standards and Technology (NIST) Special Publication 500-291 – provides a comprehensive set of security controls and best practices for cloud security, portability, and interoperability.
●     The General Data Protection Regulation (GDPR) – provides strict security and privacy rules for handling the private data of EU residents
 
2. Industry-specific standards
These standards are vital for developing security policies important to a given industry. Some examples include:
 
●     The Health Information Portability and Accountability Act (HIPAA) – a United States government-regulated system meant to ensure the security and safety of electronic health records. US-based organizations are required to follow this act, and it is gradually gaining acceptance from other countries as well.
●     The Payment Card Industry Data Security Standard (PCI DSS) – an international standard created to reduce and prevent the incidence of credit card fraud. Several security measures are employed to reach this goal, such as protecting confidential cardholder data and authentication details from unauthorized access.
 
3. Traditional security standards
Several security standards that were established before the development of cloud computing have been updated to encompass cloud-specific needs. This is essential for businesses that keep old systems or operate hybrid cloud architectures. Still, conventional security standards are often favored because they provide security experts and those with a background in traditional systems a better grasp of cloud security. These standards include:
 
●     ISO 27001 – based on ISO/IEC 27000 standards, ISO 27001 is an international standard that helps organizations manage security risks. By using a comprehensive information security management system this standard aids in the protection of digital information regardless of an organization's size.
Why is cloud compliance important?
The amount of corporate data stored in the cloud has increased rapidly over recent years, reaching over 60 percent as of 2022. With that much data being stored in the cloud, businesses must understand their responsibility for keeping all that information secure.
 
If you fail to meet cloud compliance standards, it could lead to an expensive data breach. According to IBM's annual Cost of a Data Breach Report, the average cost of a data breach in 2022 reached $4.35 million. Noncompliance with cloud standards can also lead to lawsuits, regulatory fines, damaged reputation, and operational disruptions.

How to achieve cloud compliance

You can attain cloud compliance by implementing strict security measures that protect vital data from online dangers, like viruses, hacks, and denial-of-service (DoS) attacks.
 
Staying compliant is essential, but the ever-changing standards and regulations can make it hard to figure out and stay on top of all the requirements. Technical and specific language is often used to lay out compliance standards, which can be challenging for people with no background in cloud compliance.
 
One way to ensure that you comply with the latest regulations is to enlist the help of a professional. A managed IT services provider like SimplyClouds can provide you with the technical expertise needed to conform to various guidelines. If you need an IT audit to see how compliant your business is with any agency, give us a call today.