Tag: prism

Rural SMEs struggle with cloud

clouds3Small to medium enterprises are increasingly looking to local cloud providers rather than monolithic tech companies that do not necessarily inspire trust in their customers.

According to local cloud provider for local people, Prism Solutions, there are hyper geographical requirements for cloud that remote providers may not be able to address, such as being aware of connection speeds or the need to support existing IT structures.

Because of the government backed drive to boost web speeds in cities across the UK, SMEs are turning toward cloud as a faster way to access their data rather than office based servers.

Prism’s MD Richard Alexander noted there are plenty of firms in small towns or rural areas which simply do not have good enough connectivity to make the most use of cloud services.

“Unfortunately, some of them seem to have figured this out only after they have attempted to make the transition into virtual computing,” Alexander said. “They are then faced with the increased costs of leased lines or bonded digital subscriber lines, which effectively eradicate any savings they thought they would make”.

While it is somewhat indicative of a company’s common sense if they try to shift to virtual computing on a 28.8k modem connection, Alexander warns that some companies are interested in getting the contract signed and don’t give two stuffs about actually advising their client’s needs.

“Many seem more fixated on the land grab opportunity of new business,” he said.

Prism threatens US cloud leadership

Eu-flag-vector-material2US IT cloud companies could be shut out of the EU thanks to its government’s obsession with spying.

While the EU is happy to have its own governments spying on citizens, it is less pleased when the data goes over the pond.  Last year it warned that US cloud providers should make sure that data stays within the EU.

Now it seems that PRISM has indicated that the US companies will hand over European corporate data even if that information has not crossed the US border.

Neelie Kroes, European commissioner for digital matters, warned that if she was an American cloud provider, she would be quite frustrated with her government.

In her view, European businesses are likely to abandon the services of American internet providers because of the National Security Agency surveillance scandal.

Her statement appears to be more of a prediction than signs of a potential ruling from Brussels.

In a statement, she said that if businesses or governments think they might be spied on, they will have less reason to trust cloud, and it will be cloud providers who ultimately miss out. “Why would you pay someone else to hold your commercial or other secrets if you suspect or know they are being shared against your wishes?” she said.

Kroes said that American providers will miss out because they are often the leaders in cloud services. But if European cloud customers cannot trust the United States government, then maybe they won’t trust US cloud providers either.

“Concerns about cloud security can easily push European policy-makers into putting security guarantees ahead of open markets, with consequences for American companies. Cloud has a lot of potential. But potential doesn’t count for much in an atmosphere of distrust,” Kroes said.

Time to make a quick buck on PRISM fiasco

National-Security-Agency--008While the big internet companies are wringing their hands about being caught helping the US snoop on its citizens, there are some companies who are turning this into a money making opportunity.

DuckDuckGo, a service that does not does not keep a record of searches or tailor them to what its users have looked for in the past, said it took the company four years to get one million searches a day, but this had tripled to three million in the eight days after the PRISM surveillance scandal broke.

A tweet from the company said: “It took 1445 days to get 1M searches, 483 days to get 2M searches, and then just 8 days to pass 3M searches.”

While this is nothing in comparison to Google, it could be the tip of the iceburg for companies who are concerned about the deals that US companies made with their government.

The Patriot Act, under which PRISM was developed, has already been helping fledgling European Cloud companies see off much larger US competition.

This is because the US companies would have to guarantee to the Europeans that their data will not leave Europe, otherwise they would have to give it to the US government. This created a rush to build European data centres to support US cloud operations in the “old country.” However there is still some concern that a strict interpretation of the Patriot Act could force those US suppliers to hand over foreign data whether it is stored in Europe or not.

While all this is a mess for the likes of Amazon and Microsoft, it is great news for European Cloud providers such as the French Sovereign Cloud.

While there are fears that local spooks might also want to look in corporate clouds, that is a better option that giving the data to a foreign power.

As F-Secure chief research officer Mikko Hypponen pointed out: “If you are going to have a Big Brother, it is better to have a domestic Big Brother than a foreign Big Brother.”

Meanwhile European Union could force US cloud suppliers to give up the European customers. At the moment they are asking the US some fairly sticky questions, and could turn to regulating the American cloud users from the market.

At very least, it could recommend that companies opt for European cloud providers instead. In Germany they take such recommendations very seriously. One security recommendation nearly killed off the use of Internet Explorer and gave Firefox a significant boost.

Telecoms groups such as Orange and Deutsche Telekom have announced that they are trying to exploit the concerns as they build their own cloud businesses.

Government agencies and municipalities, especially in more privacy-conscious countries such as Germany, are more likely to turn to local alternatives for cloud services.

Sweden banned Google Apps in the public sector over concerns that Google had too much leeway over how the data was used and stored and PRISM could be a final nail in the service’s coffin in that country.