Unfair and Deceptive Practices in the Cloud
The world of cloud computing is running with few generally accepted rules. It's a one-cloud-provider-one-privacy-policy business right now. One researcher thinks "swamp" is a better term than cloud. I've argued the cloud makes sense in some cases and not others, it's a matter of balancing benefits and risks. To do that though we need to be informed about the risks and that's the hard part. Bruce Schneier gives a good example.
In a recent post he sees cloud providers taking too little responsibility for the data entrusted to them:
Take Google, for example. Last month, the Electronic Privacy Information Center (I'm on its board of directors) filed a complaint with the Federal Trade Commission concerning Google's cloud computing services. On its website, Google repeatedly assures customers that their data is secure and private, while published vulnerabilities demonstrate that it is not. Google's not foolish, though; its Terms of Service explicitly disavow any warranty or any liability for harm that might result from Google's negligence, recklessness, malevolent intent, or even purposeful disregard of existing legal obligations to protect the privacy and security of user data. EPIC claims that's deceptive.
Good governance policy advocates often argue for transparency in business so investors can make informed, rational decisions. We need the same in the software as a service business. Cloud providers are undermining their own business model with irresponsible practices. Some cloud provider will realize that, offer reasonable protections and put the sloppy ones out of business, or at least relegate them to the level of $2 a month Web host segment of the market.
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