Banks, trading firms and other centers of the financial world are used to dealing with equipment that is a little outdated compared to the rest of the business community. These types of institutions have to be conservative with their approach to new systems because of the extremely sensitive nature of the information they use on an hourly basis.
However, the cloud has proven itself over the past couple of years to have a very strong track record for security, especially in the case of private and hybrid clouds, both of which are the kind that are most likely to be sued by financial institutions. In fact, the advantages of cloud computing far outweigh any outdated fears that companies may have about the security or stability of information stored on those servers, because there is so much that can be done to protect files on the cloud with modern cloud computing strategies.
Financial services could serve to model their use of cloud deployment off of the way that federal agencies use the cloud. U.S. government agencies overwhelmingly favor a shared, private cloud network that allows them to connect to other agencies, while keeping the data stored on that cloud restricted only to that specific server. This kind of cloud has been termed the, "community cloud" by Cloud Tweaks. A couple neighboring financial institutions could set up a data center that they could all use to store their important financial data while utilizing a premium cloud provider that is able to guarantee the highest level of security possible. Pooling resources is an excellent way for these smaller banks to get security that punches far above their weight level, which is important when dealing with the constant electronic attacks that many organizations have to endure. Safe data stored on private clouds could let banks dictate security while still having access to mobile information, which can be crucial when dealing with the fast-paced nature of banking.
What kind of service for banks?
It is no secret that platform-as-a-service providers have gradually been losing out to other kinds of clouds. Thanks to the highly modifiable nature of their servers, groups that specialize in infrastructure-as-a-service have been making significant inroads to the marketplace. IaaS providers are able to give organizations the same basic structure as a PaaS provider, but with much more ability to modify how a server works to protect that company. This means that it is easier to get the highest level of security possible as well as achieve a better sense of control over the data stored there. The cloud market is growing to the point that many enterprise IT providers are struggling to keep up, according to research by Gigaom, which means that there has never been a better time for banks to move to the cloud.
Organizations seeking strong IaaS cloud solutions should find a premium cloud vendor that is able to give them the support they need at a price that fits. Ultimately, those that choose to move to the cloud will be better off than their competitors thanks to the way that these systems support growth over a long period of time. Companies that choose to develop their IT solutions in such a way that their workers have better connectivity to each other will be better able to execute long-term business strategies. Ultimately, it is those groups that embrace innovation that will be better able to serve their clients. Banks and financial institutions are in a prime position to grow and develop more consumer-friendly ways to bank with these services.