Welcome!

Cloud Expo Authors: Elizabeth White, Jason Bloomberg, Torben Andersen, Adine Deford, Sergio Varga

Related Topics: Cloud Expo, SOA & WOA, Virtualization, Web 2.0, Open Web, Security

Cloud Expo: Article

Encryption of Data-in-Use to Harness the Power of the Cloud

Enabling cloud adoption for organizations worldwide

Cloud computing has dramatically altered how IT infrastructure is delivered and managed, as well as how IT functionality is consumed. However, security and privacy concerns continue to be major inhibitors for risk-conscious organizations to adoption of cloud computing - whether infrastructure as a service, software as a service applications or email as a service.

Cloud service providers, in response, have made strategic decisions on the investment they make in directly addressing these concerns in order to encourage broader adoption of cloud-based services. By implementing controls and processes to further improve security, cloud service providers are increasingly aiming to deliver more safeguards for the cloud environment than individual customer could within on-premise environments. However, a significant consideration for many organizations as they look to best exploit the benefits of the cloud is whether they can retain ownership and control of data processed by third party services.

Defining Roles, Responsibilities and Data Control Borders
The value proposition delivered by cloud service providers is in managing IT infrastructure in a more flexible, scalable and cost-efficient manner than an organization could do independently. The basic roles and responsibilities of the cloud service provider therefore should focus on the security, resiliency, scalability and manageability of their service. Security encompasses not only physical datacenter security, but also the means to limit administrator access across a multi-tenant environment and customer instances based on the principle of least privilege. However, at best, the cloud service provider can only provide a set of tools and options for customers looking to encrypt data in place.

Maintaining ownership and control of data is discrete from the underlying security and processes implemented by the cloud service provider. Even though the data resides on their infrastructure, cloud service providers are compelled to maintain that an organization retains responsibility for its own data. The not-for-profit Cloud Security Alliance notes in its most recent Email Security Implementation Guidance that it is critical that the customer - not the cloud service provider - be responsible for the security and encryption protection controls necessary to meet their organization's requirements.

By contrast, the roles and responsibilities of organization in regards to corporate data remain the same regardless of where it resides or is processed: specifically, maintaining ownership and direct control of that data. When corporate data is moved from on-premise to the cloud, compliance and security requirements dictate that the organization cannot relinquish ownership or control of its data. Also, the loss of visibility into who has access to that data implies that it can be subpoenaed and handed over to law enforcement agencies without its knowledge.

Principal Business Challenges of Migrating Data to the Cloud
The principal business challenges that organizations typically face when migrating data to the cloud encompass data security, regulatory compliance, unauthorized data disclosure and access, and international privacy/ data residency regulations. These issues need to be resolved to address the requirements of the legal team, as well security or compliance officers, before moving an organization's data to the cloud.

Data Security and Risk Mitigation
In cloud computing applications, data is frequently stored and processed at the cloud provider in the clear - unless customers themselves encrypt the data-at-rest and in-use. This brings up numerous data ownership and control responsibilities/concerns for an organization.

From a structural perspective, cloud-based services pose a challenge to traditional methods of securing data. Traditionally, encryption has been used to secure data resident on internal systems, or to protect data moving from one point to another. Ensuring that data remains encrypted in place within a third-party provider's environment and throughout the data lifecycle, but is seamlessly available to authorized users presents a new set of technical challenges.

In order to satisfy the new set of requirements introduced by migration to cloud-based services, cloud data must remain in encrypted cipher format. Also, data should be encrypted before it leaves the corporate or trusted network in order to meet data residency and privacy requirements. To maintain control of data that is no longer resident on a trusted network, the encryption keys remain under the organization's control and ownership.

Regulatory Compliance Requirements for Safeguards on Sensitive Data
Organizations are subject to a broad array of regulatory requirements including federal laws such as Sarbanes-Oxley, varying state data protection measures, The USA Patriot Act and vertical-specific regulations (HIPAA, HITECH, Basel II, GLBA and PCI DSS), in addition to potential international data privacy and residency requirements such as the EU Data Protection Directive.

Although the specifics vary according to the compliance requirements specified, a common stipulation is that organizations retain control over their data and maintain mechanisms to prevent unauthorized access. For instance, HIPAA regulations require technical safeguards to ensure that each covered entity is responsible for ensuring that the data within its systems has not been changed or erased in an unauthorized manner. The GLBA specifies that financial institutions within the US are mandated to protect against any anticipated threats or hazards to the security or integrity of customer records and information. Likewise, in terms of the requirements spelled out by PCI Data Security Standards, stored cardholder data needs to be protected by strong encryption.

Unauthorized Data Disclosure and Access
In the US, personal information is protected by the Fourth Amendment. However once it is shared, it is no longer protected. Until legal guidelines are established to address the application of the Fourth Amendment in cloud computing, uploaded data is not considered private.

Cloud service providers are compelled by law to comply with subpoenas and other requests by the government to turn over customer data, including data subject to attorney-client privilege and other protected data. Often, cloud providers will only notify customers that data was turned over to the government after the fact, if at all. In some instances, they may even be expressly prohibited from notifying customers. This risk prevents many organizations from migrating sensitive data to the cloud.

International Privacy/ Data Residency Regulations
Data protection laws and privacy regulations mandate the direct control of an organization's information and safeguards for moving data outside of defined jurisdictions. These laws are broad, and are continually being implemented in a growing number of countries across the globe -- making it difficult for some organizations to fully realize the promise of cloud computing.

To comply with specific data protection laws and international privacy regulations, organizations often pay cloud providers a premium to add costly infrastructure in each location of interest, resulting in a sharp increase in costs and decrease in efficiency. Furthermore, most providers are unwilling to duplicate infrastructure in all locations, making it difficult for customers to comply with these regulations.

Implementing Best Practices for Cloud Data Control: Data-in-Use Encryption
Encryption of data-in-transit and data-at-rest has long been recognized as best practices to enforce the security and privacy of data, regardless of where it resides. However, these two states of encryption are no longer sufficient as they do not protect data while it is being processed in the cloud.

According to the Cloud Security Alliance's Encryption Implementation Guidance, organizations should implement encryption of data-in-use to ensure that data is secured for the entire duration of its lifecycle (at-rest, in-transit and in-use). To prevent unauthorized access and maintain the state of encryption even when processed in a third-party environment, enterprise IT should retain ownership of the encryption keys. As a result, the cloud provider never has access to customer data in an unencrypted form, and an organization's cloud data remains unreadable if an unauthorized third-party attempts access -- or even if the data is disclosed in response to a government request.

Figure 1: The not-for-profit industry association, the Cloud Security Alliance, recommends that organizations implement encryption of data-in-use to ensure that data is secured for the entire duration of its lifecycle (at-rest, in-transit and in-use).

Traditionally, if cloud-hosted data was encrypted, basic server-side operations such as indexing, searching and sorting records became impossible. Once cipher text was put into a SaaS application, some of the features of the program no longer worked, and the user experience suffered as a result. The implementation of data-in-use encryption supports dynamic operations such as search, sort and index of encrypted data in the cloud. Even as the data is processed by a cloud-based service, the IT department of the organization that owns the data or a trusted third party retains control of the encryption keys. As a result, application functionality is preserved and decryption is policy-driven and automated.

The Implementation of Data-in-Use Encryption Enables Organizations to Seamlessly Harness the Power of the Cloud
By addressing the concerns associated with control and ownership of proprietary data residing on third-party cloud-based servers, data-in-use encryption technology directly addresses material concerns related to compliance requirements, separation of data controls through key retention, data residency and unauthorized disclosure of data in response to a government request.

Data-in-use encryption is of particular value for organizations with the desire to independently manage data disclosure requests from law enforcement agencies. Equally, cloud service provides are not eager to be in the undesirable position of being compelled to disclose customer data. The cloud provider will still turn over customer data when presented with a subpoena or other government request because they have no choice but to comply. However, because all of the data was encrypted before it was received by the cloud provider, and the organization is holding the encryption keys, they cannot decrypt that data. Therefore, when complying with an order, the cloud provider can only turn over cipher text. If the government wants to decrypt the data, it must go directly to the organization that owns the data.

Figure 2: Sample of an authorized \ unauthorized view of sensitive data in a hosted Exchange email application.

In geographically distributed environments, smart encryption also creates a paradigm shift from requiring the data to remain locally to only requiring the encryption keys to remain locally for data. Organizations with multiple data residency requirements can deploy and maintain an instance of the encryption appliance in each jurisdiction. Once the data is encrypted with keys that are maintained in that jurisdiction, the encrypted data can lawfully reside in any location.

The addition of encryption-in-use empowers the organization to retain full ownership and control during the entire process, including when the data is out of its network and in the cloud, while ensuring maximum security and regulatory compliance.

Industry analysts agree. According to Ahmad Zeffirelli, Industry Analyst at Frost & Sullivan, "This solution with its ability to encrypt data-in-use, data-in-transit, and data-at-rest, would bring immense benefits to a vast majority of organizations concerned about data security while leveraging cloud computing."

Building Commercially Viable Encryption
One of the most difficult technical challenges in developing encryption for commercial applications running in the cloud is to establish the right balance between the competing goals of encryption/security on the one hand versus features/performance on the other. In commercial markets, especially in the cloud, introducing additional steps for users to follow in order to address security requirements both undermines the ease of use value propositions of cloud-based services and creates the likelihood that users will look for ways to circumvent controls.

The entire process should be transparent to the end-user. Specifically, the security functionality should not require the installation of an application or agent on the end user's client device or mobile phone. Also, there should be no impact to the end-user experience in terms of functionality, performance, or task workflow. Furthermore, commercially viable encryption capabilities should not interfere with standard email security features such as malware and anti-virus protection.

Conclusion
By effectively addressing data control, compliance and security requirements, while ensuring preservation of application functionality including search, sort and index capabilities and a seamless user experience, technology that enables the encryption of data-at-rest, data-in-transit and data-in-use within the cloud environment functions as an enabler for cloud adoption for organizations worldwide.

More Stories By Elad Yoran

Elad Yoran is the CEO of Vaultive, Inc. He is a recognized expert on information security market and technology trends. Yoran has 20 years of experience in the cyber security industry as an executive, consultant, investor, investment banker and several-time successful entrepreneur. He is also a member of a number of technology, security and community Boards, including FBI Information Technology Advisory Council (ITAC); Department of Homeland Security Advisory Board for Command, Control and Interoperability for Advanced Data Analysis (CCICADA); and Cloud Security Alliance New York Metro Chapter.

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.


@CloudExpo Stories
“We help people build clusters, in the classical sense of the cluster. We help people put a full stack on top of every single one of those machines. We do the full bare metal install," explained Greg Bruno, Vice President of Engineering and co-founder of StackIQ, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
AppZero has announced that its award-winning application migration software is now fully qualified within the Microsoft Azure Certified program. AppZero has undergone extensive technical evaluation with Microsoft Corp., earning its designation as Microsoft Azure Certified. As a result of AppZero's work with Microsoft, customers are able to easily find, purchase and deploy AppZero from the Azure Marketplace. With just a few clicks, users have an Azure-based solution for moving applications to the...
SYS-CON Events announced today Isomorphic Software, the global leader in high-end, web-based business applications, will exhibit at SYS-CON's DevOps Summit 2015 New York, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Isomorphic Software is the global leader in high-end, web-based business applications. We develop, market, and support the SmartClient & Smart GWT HTML5/Ajax platform, combining the productivity and performance of traditional desktop software ...
The cloud is becoming the de-facto way for enterprises to leverage common infrastructure while innovating and one of the biggest obstacles facing public cloud computing is security. In his session at 15th Cloud Expo, Jeff Aliber, a global marketing executive at Verizon, discussed how the best place for web security is in the cloud. Benefits include: Functions as the first layer of defense Easy operation –CNAME change Implement an integrated solution Best architecture for addressing network-l...
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The BPM world is going through some evolution or changes where traditional business process management solutions really have nowhere to go in terms of development of the road map. In this demo at 15th Cloud Expo, Kyle Hansen, Director of Professional Services at AgilePoint, shows AgilePoint’s unique approach to dealing with this market circumstance by developing a rapid application composition or development framework.
The major cloud platforms defy a simple, side-by-side analysis. Each of the major IaaS public-cloud platforms offers their own unique strengths and functionality. Options for on-site private cloud are diverse as well, and must be designed and deployed while taking existing legacy architecture and infrastructure into account. Then the reality is that most enterprises are embarking on a hybrid cloud strategy and programs. In this Power Panel at 15th Cloud Expo (http://www.CloudComputingExpo.com...
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The move in recent years to cloud computing services and architectures has added significant pace to the application development and deployment environment. When enterprise IT can spin up large computing instances in just minutes, developers can also design and deploy in small time frames that were unimaginable a few years ago. The consequent move toward lean, agile, and fast development leads to the need for the development and operations sides to work very closely together. Thus, DevOps become...
"Our premise is Docker is not enough. That's not a bad thing - we actually love Docker. At ActiveState all our products are based on open source technology and Docker is an up-and-coming piece of open source technology," explained Bart Copeland, President & CEO of ActiveState Software, in this SYS-CON.tv interview at DevOps Summit at Cloud Expo®, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Verizon Enterprise Solutions is simplifying the cloud-purchasing experience for its clients, with the launch of Verizon Cloud Marketplace, a key foundational component of the company's robust ecosystem of enterprise-class technologies. The online storefront will initially feature pre-built cloud-based services from AppDynamics, Hitachi Data Systems, Juniper Networks, PfSense and Tervela. Available globally to enterprises using Verizon Cloud, Verizon Cloud Marketplace provides a one-stop shop fo...
SYS-CON Events announced today that Windstream, a leading provider of advanced network and cloud communications, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Windstream (Nasdaq: WIN), a FORTUNE 500 and S&P 500 company, is a leading provider of advanced network communications, including cloud computing and managed services, to businesses nationwide. The company also offers broadband, p...
The Internet of Things is not new. Historically, smart businesses have used its basic concept of leveraging data to drive better decision making and have capitalized on those insights to realize additional revenue opportunities. So, what has changed to make the Internet of Things one of the hottest topics in tech? In his session at @ThingsExpo, Chris Gray, Director, Embedded and Internet of Things, discussed the underlying factors that are driving the economics of intelligent systems. Discover ...

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's

SYS-CON Events announced today that IDenticard will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. IDenticard™ is the security division of Brady Corp (NYSE: BRC), a $1.5 billion manufacturer of identification products. We have small-company values with the strength and stability of a major corporation. IDenticard offers local sales, support and service to our customers across the United States and Canada...
SYS-CON Events announced today that AIC, a leading provider of OEM/ODM server and storage solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. AIC is a leading provider of both standard OTS, off-the-shelf, and OEM/ODM server and storage solutions. With expert in-house design capabilities, validation, manufacturing and production, AIC's broad selection of products are highly flexible and are conf...
Leysin American School is an exclusive, private boarding school located in Leysin, Switzerland. Leysin selected an OpenStack-powered, private cloud as a service to manage multiple applications and provide development environments for students across the institution. Seeking to meet rigid data sovereignty and data integrity requirements while offering flexible, on-demand cloud resources to users, Leysin identified OpenStack as the clear choice to round out the school's cloud strategy. Additional...
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
“DevOps is really about the business. The business is under pressure today, competitively in the marketplace to respond to the expectations of the customer. The business is driving IT and the problem is that IT isn't responding fast enough," explained Mark Levy, Senior Product Marketing Manager at Serena Software, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Mobile commerce traffic is surpassing desktop, yet less than 20% of sales in the U.S. are mobile commerce sales. In his session at 15th Cloud Expo, Dan Franklin, Segment Manager, Commerce, at Verizon Digital Media Services, defined mobile devices and discussed how next generation means simplification. It means taking your digital content and turning it into instantly gratifying experiences.