Risk of Data Security is Driving Data Center Strategies

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The average cost of a data breach is $3.22 million. New government regulations are looking to put those costs on the operators.

No data center operator wants its data stolen, but recent legislation that would make data centers personally liable for a breach has the potential to change the future of the data center industry.

Virtual data centers—created through cloud-based technologies and collocation strategies—allow companies to host their data nearly anywhere in the world. However, most colocation providers don’t cover customers if their data are stolen, and if the colocation operator needs to provide security, it increases the costs by several orders of magnitude. If colocation operators are forced to provide liability, it could drive sensitive data back into on-premise data center sites, disrupting the current trend toward shared facilities.

The risk is startling: the average cost of a data center breach is $3.22 million, with lost or stolen devices accounting for the greatest impact on the average cost of breach to the business. With data breaches happening more frequently, companies are starting to take notice and demanding that a facility is secure before housing its data there.

“Colocation operators and on-site operators need to look at a comprehensive physical security strategy to minimize risk and liability,” said Matt Powers, Anixter’s Vice President of Global Marketing Technology. “The defense-in-depth strategy that uses a layered approach provides distance, time and scale to make access to mission-critical data difficult.”

Using a layered approach to data center security requires deterring, detecting, denying, delaying and defending at every level of the data center—from the perimeter to the cabinet. Anixter outlines this approach in a Global Technology Briefing with DatacenterDynamics. The report details a structured methodology to data center physical security that help mitigates the risk of breach.

As the concept of a data center blurs, organizations need to have a deeper understanding of where they need to host their applications and who is responsible for the security of the data. It’s apparent that complying with industry regulations is a necessary concern and one that will drive the future of the data center industry.

To learn more about Anixter’s layered security approach, download your copy of the Global Technology Briefing: Risk Management Best Practices.