After two decades of trusting some of their most sensitive data to the cloud, the government, worried it may become a huge security vulnerability, is embarking on the nation's first comprehensive plan to regulate the security practices of cloud providers.
Among other steps, the Biden administration recently said it will require cloud providers to verify the identity of their users to prevent foreign hackers from renting space on U.S. cloud servers. | Matt Rourke/AP PhotoGovernments and businesses have spent two decades rushing to the cloud — trusting some of their most sensitive data to tech giants that promised near-limitless storage, powerful software and the knowhow to keep it safe.
In a series of interviews about this new, tougher approach, administration officials stressed that they aren’t giving up on the cloud. Instead, they’re trying to ensure that rapid growth doesn’t translate to new security risks. “The reality is that today cloud security is often separate from cloud,” Anne Neuberger, the deputy national security adviser for cyber and emerging technology, said last week during a roll-out event for the new cyber strategy. “We need to get to a place where cloud providers have security baked in with that.”
Part of what makes that difficult is that neither the government nor companies using cloud providers fully know what security protections cloud providers have in place.on the U.S. financial sector’s use of cloud services, the Treasury Department found that cloud companies provided “insufficient transparency to support due diligence and monitoring” and U.S. banks could not “fully understand the risks associated with cloud services.
The White House outlined a more aggressive regulatory regime in its new cyber strategy. It proposed holding software makers liable for insecure code and imposing stronger security mandates on critical infrastructure companies, like the cloud providers. a Microsoft executive making similar assertions that the company looks forward to working with agencies on crafting appropriate regulations. Amazon said in a statement that it prioritizes security but did not address the question of whether it supports additional regulation. Oracle did not respond to a request for comment.
If the White House can’t get the results it wants through using existing regulations and cajoling companies into improving practices voluntarily, it will have to hit up Congress. And that could be its biggest hurdle.
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