Welcome!

Government Cloud Authors: Zakia Bouachraoui, Liz McMillan, Elizabeth White, Pat Romanski, Dana Gardner

Related Topics: @CloudExpo, Microservices Expo, Containers Expo Blog, Cloud Security, Government Cloud, @DXWorldExpo, SDN Journal

@CloudExpo: Article

Implications of NSA’s Violation of Privacy Rules for US Cloud Providers

Reports show the NSA violated its own privacy rules and overstepped its authority thousands of times in the past few years

New reports show that when the NSA was conducting its surveillance programs, perhaps including XKeyscore and PRISM, the agency was not following its own legal guidelines. These reports, based on internal NSA audit reports leaked via the "Snowden leak", showing the NSA violated its own privacy rules and overstepped its authority thousands of times in the past few years, will serve to further unsettle many enterprises abroad, even leading some to conclude that utilizing U.S. cloud applications is not worth risking unauthorized data access by the government and others.

Recent reports estimate this new hesitation to use U.S. cloud applications may cost providers more than $35 billion in the coming years. With new revelations that the NSA broke its own privacy rules, enterprises globally may find even more reason to hold back from U.S. cloud providers, potentially making the size of the impact even worse for U.S.-based cloud providers.

As we stated in a recent press release on the topic, when enterprises allow fears of surveillance to slow down or stop their adoption of U.S. cloud applications, it has the potential to put those enterprises at a competitive disadvantage to others in their industries - specifically in cases where they are "forced" to adopt a less beneficial/efficient cloud service for managing their business.

This is where I believe the PerspecSys award-winning cloud data protections gateway can - and is - playing a critical role. The gateway, which can utilize fips140-2 validated encryption modules and/or industry-validated tokenization approaches, secures data before it leaves an organization's control and leaves their trusted environment for processing and storage in U.S.-based cloud service providers. This takes the concern that we have been discussing in this blog completely off the table.

Here is a case in point: as highlighted in a recent article, a customer recently shared this about the use of PerspecSys' solution:

"We are not tokenizing just one or two fields for credit cards, we tokenize anything and everything. We won't send any client-related information outside of our firewalls. PerspecSys gives us peace of mind and enables us to take advantage of the cloud offerings that require us to have data outside the firewall."

- Director for Strategic Projects, Top 5 Global Bank

PerspecSys' view is that the key is control, that is, being able to keep sensitive data on premise and, before sending any information to the cloud, using tokenization or encryption to make that data meaningless to anyone who attempts to access that has not been authorized to do so by the enterprise.

Read the original blog entry...


PerspecSys Inc. is a leading provider of cloud protection and cloud encryption solutions that enable mission-critical cloud applications to be adopted throughout the enterprise. Cloud security companies like PerspecSys remove the technical, legal and financial risks of placing sensitive company data in the cloud. PerspecSys accomplishes this for many large, heavily regulated companies across the world by never allowing sensitive data to leave a customer's network, while maintaining the functionality of cloud applications. For more information please visit http://www.perspecsys.com/ or follow on Twitter @perspecsys.

More Stories By Gerry Grealish

Gerry Grealish is Vice President, Marketing & Products, at PerspecSys. He is responsible for defining and executing PerspecSys’ marketing vision and driving revenue growth through strategic market expansion and new product development. Previously, he ran Product Marketing for the TNS Payments Division, helping create the marketing and product strategy for its cloud-based payment gateway and tokenization/encryption security solutions. He has held senior marketing and leadership roles for venture-backed startups as well as F500 companies, and his industry experience includes enterprise analytical software, payment processing and security services, and marketing and credit risk decisioning platforms.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


IoT & Smart Cities Stories
Every organization is facing their own Digital Transformation as they attempt to stay ahead of the competition, or worse, just keep up. Each new opportunity, whether embracing machine learning, IoT, or a cloud migration, seems to bring new development, deployment, and management models. The results are more diverse and federated computing models than any time in our history.
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...
Over the course of two days, in addition to insightful conversations and presentations delving into the industry's current pressing challenges, there was considerable buzz about digital transformation and how it is enabling global enterprises to accelerate business growth. Blockchain has been a term that people hear but don't quite understand. The most common myths about blockchain include the assumption that it is private, or that there is only one blockchain, and the idea that blockchain is...
Where many organizations get into trouble, however, is that they try to have a broad and deep knowledge in each of these areas. This is a huge blow to an organization's productivity. By automating or outsourcing some of these pieces, such as databases, infrastructure, and networks, your team can instead focus on development, testing, and deployment. Further, organizations that focus their attention on these areas can eventually move to a test-driven development structure that condenses several l...
The term "digital transformation" (DX) is being used by everyone for just about any company initiative that involves technology, the web, ecommerce, software, or even customer experience. While the term has certainly turned into a buzzword with a lot of hype, the transition to a more connected, digital world is real and comes with real challenges. In his opening keynote, Four Essentials To Become DX Hero Status Now, Jonathan Hoppe, Co-Founder and CTO of Total Uptime Technologies, shared that ...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...
Never mind that we might not know what the future holds for cryptocurrencies and how much values will fluctuate or even how the process of mining a coin could cost as much as the value of the coin itself - cryptocurrency mining is a hot industry and shows no signs of slowing down. However, energy consumption to mine cryptocurrency is one of the biggest issues facing this industry. Burning huge amounts of electricity isn't incidental to cryptocurrency, it's basically embedded in the core of "mini...
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
IoT is rapidly becoming mainstream as more and more investments are made into the platforms and technology. As this movement continues to expand and gain momentum it creates a massive wall of noise that can be difficult to sift through. Unfortunately, this inevitably makes IoT less approachable for people to get started with and can hamper efforts to integrate this key technology into your own portfolio. There are so many connected products already in place today with many hundreds more on the h...