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The real question is if it is right for everyone. Two types of companies should really think hard about committing to this new technology.

1. Small companies that have an uneven income stream. Since cloud technology is a subscription business, companies that can’t count on a steady stream of income may not be able to pay cloud computing fees and could therefore be locked out of their data. This can be catastrophic.

2. Companies that have proprietary information which if exposed could cause the company to lose a competitive advantage. Many of the leading cloud providers continue to tout their security capabilities. However, as we have learned from the massive data breaches from some prominent entities including the mighty NSA which was once considered to be one of the most secure organizations in the world, there just isn’t a security guarantee. Couple that with cloud companies storing your data in foreign countries under the physical control of foreign government intelligence agencies adds to the concern for data security.

In addition to a self-evaluation on whether the cloud is right for you, another thing to be mindful of is information that is protected by law. Examples include Health and Financial Information. Companies would do well to ensure the cloud solutions they select are compliant with legal requirements and that they stand behind you in case of a breach.

As with most things, new technology must be evaluated and implemented when it makes sense. Is the cloud right for you?