An Introduction to the Technology and Ethics of Cloud Computing
Jack NewtonCo-founder and President
Themis Solutions Inc. (Clio)
what is software-as-a-
service?
traditional computing model
The Internet Local Area Network
cloud computing model
The Internet Local Area Network
traditional software distribution
cloud computing distribution
whysoftware-as-a-
service?
freedom
available from any device
security
terminology
• Secure Sockets Layer (SSL)Industry standard protocol
for securing Internet communications
Banks, e-commerce sites (Amazon.com, etc.) all use SSL for secure communications
without ssl
Information exchanged is insecure
Please give me my bank account balance
$2,031.34
Your Computer Your Bank’s Server
with ssl
11010001110
01101010001010110101010100101010
Your Computer Your Bank’s Server
Information exchanged is encrypted for security
Firefox:
A sealed lock icon indicates a secure connection
Internet Explorer:
verifying ssl connections
Safari:
server security
Are third-party audits being performed?
server security
server security
privacy
privacy
• Does the SaaS provider have a published privacy policy?
• Need to ensure you own your data• The private client information stored with
your SaaS provider cannot be used for any other purposes
facebook privacy policyYou hereby grant Facebook an irrevocable, perpetual, non-exclusive,
transferable, fully paid, worldwide license (with the right to
sublicense) to (a) use, copy, publish, stream, store, retain,
publicly perform or display, transmit, scan, reformat, modify,
edit, frame, translate, excerpt, adapt, create derivative works and
distribute (through multiple tiers), any User Content you (i) Post
on or in connection with the Facebook Service or the promotion
thereof subject only to your privacy settings.
You may remove your User Content from the Site at any time. If you
choose to remove your User Content, the license granted above will
automatically expire, however you acknowledge that the Company may
retain archived copies of your User Content.
How is sensitive information being handled?
TRUSTe
“TRUSTe’s program requirements are based
upon the Fair Information Principles and OCED
Guidelines around notice, choice, access,
security, and redress - the core foundations of
privacy and building trust. Sealholders are
required to undergo a rigorous review process
to assess the accuracy of privacy disclosures
and compliance with TRUSTe’s requirements in
order to obtain certification.”
data availability
internal backup policies
• How many times per day is data backed up?• Is data backed up to multiple offsite locations?
external backup provisions
• Can you perform an export of your data?
Comma Separated Values (CSV)
Extensible Markup Language (XML)
Microsoft Excel (XLS)
business continuity
What if the SaaS provider goes out of business?
option 1: data export
Cross your fingers and hope you’re up to date…
Comma Separated Values (CSV)
Extensible Markup Language (XML)
Microsoft Excel (XLS)
newton’s first law of backups:
If it isn’t automated you’ll forget to do it
option 2: data escrow
saas provider escrow provider
saas user
terms of service /service level agreement
terms of service
• ToS• Outlines the conditions
under which you agree to use the service
• Ensure you’ve reviewed and accepted your provider’s terms of service
service level agreement
• SLA• Outlines guaranteed uptime percentages• E.g. 99.9%• Usually providers for some kind of
compensation if downtime exceeds SLA guarantee
geography
data geography
• Where is data stored?• Are there provisions preventing data export?
total cost of ownership
total cost of ownershipAssessment of both direct and indirect costs
associated with software and hardware solutions
TCO
traditional desktop software tco
annualsoftware renewal
original software purchase
technical supportcontract
traditional desktop software tco
networking / virtual private network
original hardware purchase
backups/data redundancy
traditional desktop software tco
saas tco
google apps vs. exchange cost comparison
• Discovered the business community is largely unaware of the costs of running an e-mail account
• Many companies surveyed gave guesses from $2 to $11 per user, although a detailed accounting showed that the costs were often several times that
google apps vs. exchange cost comparison
ethics of cloud computing
North Carolina Ethics Inquiry
• First ethics opinion in North America specifically focused on use of cloud computing in a law firm
• Hot off the presses – committee met April 15th
North Carolina Ethics Inquiry
Is it within the Rules of Professional Conduct for an attorney/law firm to use
online ("cloud computing") practice management programs (e.g., the Clio
program) as part of the practice of law? These are instances where the software
program is accessed online with a password and is not software installed on a
computer within the firm's office.
North Carolina Proposed Formal Ethics Opinion
Yes, provided steps are taken effectively to minimize the risk of inadvertent or unauthorized disclosure of confidential client information and to protect client property, including file information,
from risk of loss.
North Carolina Proposed Formal Ethics Opinion
Yes, provided steps are taken effectively to minimize the risk of inadvertent or unauthorized disclosure of confidential client information and to protect client property, including file information,
from risk of loss.
North Carolina Proposed Formal Ethics Opinion
Although a lawyer has a professional obligation to protect confidential information from unauthorized disclosure, the Ethics Committee has long held that this duty does not compel any particular mode of handling confidential information nor
does it prohibit the employment of vendors whose services may involve the handling of documents or data containing client information. See RPC 133 (no
requirement that firm’s waste paper be shredded if lawyer ascertains that persons or entities responsible for the disposal employ procedures that effectively minimize the
risk that confidential information may be disclosed). Moreover, the committee has held that, while the duty of confidentiality extends to the use of technology to
communicate, “this obligation does not require that a lawyer use only infallibly secure methods of communication.” RPC 215. Rather, the lawyer must use
reasonable care to select a mode of communication that, in light of the circumstances, will best protect confidential communications and the lawyer must advise effected parties if there is reason to believe that the chosen communications
technology presents an unreasonable risk to confidentiality.
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