Friday, June 3, 2011

Hacker attacks threaten to dampen cloud computing's prospects

Hacker attacks threaten to dampen cloud computing's prospects



The recent high-profile hacking of Google's Gmail service and Sony's Playstation gaming network is threatening to slow the take-off of the next big thing in the computing space - the cloud.

Computer companies will need to collaborate to work on addressing security issues to boost confidence in cloud computing, where data and software is stored on servers and accessed via the Internet, especially in the corporate space where the potential market size is much larger than the retail space.

"Many enterprises have reservations about the security of cloud computing because of the multi-tenant architecture and the fact that cloud providers are 'big targets'," said Steve Hodgkinson, IT research director at UK-based research firm Ovum.

"The reality, however, is that the leading cloud providers have a very strong incentive to invest in the latest security technologies and processes -- and will arguably be more secure than most enterprises themselves."
Security is a hot issue in the computing world. Hackers broke into Sony's networks and accessed the information of more than 1 million customers, the latest of several security breaches.

The breaches were the latest attacks on high-profile firms, including defence contractor Lockheed Martin and Google, which pointed the blame at China.

 Concerns over security could slow the growth of the market for cloud computing, which is expected to reach $3.2 billion this year in Asia alone from $1.87 billion last year, while the global market could reach $55 billion in 2014, according to estimates by technology research firm IDC. 
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