Retreat from the cloud

Despite the benefits, there’s a number of risks of having your data or applications hosted on cloud services.

Despite the benefits, there’s a number of risks of having your data or applications hosted on cloud services. The three most important are costs, availability and portability.

Having spent the last three days at EMC World in Las Vegas, the cost factor in public cloud services is clear for larger enterprises and many companies – including the soon to be merged EMC and Dell – are basing their business plans on corporations and government agencies bringing at least some of their IT function back in-house.

Smaller companies too are at risk from high costs as a myriad of cloud services can quickly become a big drain on a small business’ finances.

Availability has long been a problem with cloud services as they are at the mercy of internet access and, more importantly, subject to the whims of companies’ policies. Two good examples being Amazon’s arbitrary deleting of users’ kindle licenses and Google’s Real Names debacle.

In the last two days another version of this has arisen where a musician found Apple Music had deleted his collections, while there are claims this ‘bug’ this may be due to clumsy user interfaces it shows the risks in entrusting key data to the cloud.

Which leads us to the most critical point with cloud services – portability. Many online businesses are working on the basis of locking customers into their services.

Most founders asset they want to lock customers in by offering the best services but it’s not hard to see as these companies grow, the urge to use proprietary formats or convoluted exporting tools to keep clients on the platform becomes stronger.

Cloud services aren’t going away but all of us are going to have to take precautions and understand the risk. And backup locally as often as possible.

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Author: Paul Wallbank

Paul Wallbank is a speaker and writer charting how technology is changing society and business. Paul has four regular technology advice radio programs on ABC, a weekly column on the smartcompany.com.au website and has published seven books.

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