Banks Take Steps to Reduce Potential Cloud Computing Risks: Survey

Banks are taking steps to mitigate dangers from their rising use of exterior cloud computing companies, a survey by Harris Poll and Google Cloud mentioned on Thursday.

The Bank of England and the Bank of France have expressed concerns a few lack of transparency in how banks depend on a “concentrated” variety of outdoors cloud computing suppliers like Google, Microsoft, and Amazon that are past the arm of the regulators.

Regulators are nervous that reliance by many banks on the identical suppliers may create systemic danger if one of many cloud firms have been to go down.

The survey of 1,300 leaders in monetary companies from the United States, Canada, France, Germany, Britain, Hong Kong, Japan, Singapore, and Australia confirmed that 83 p.c have been utilizing the cloud as a part of their major computing infrastructure.

The bulk of the businesses are additionally contemplating adopting a multicloud technique, the survey mentioned, which might permit a financial institution to modify to another supplier if there’s an outage to keep away from an interruption of companies for purchasers.

“Based on the Harris survey, it is clear that financial institutions are taking actions to solve concentration or vendor lock-in concerns with 88 percent of respondents not currently using a multicloud strategy considering doing so in the next 12 months,” Adrian Poole, director for monetary companies in Britain and Ireland for Google Cloud, mentioned.

© Thomson Reuters 2021