This week, Skyhigh published its latest Cloud Adoption and Risk in Europe report. Unlike surveys that ask users to self-report their behavior, this research is based on anonymized usage data for over 2.5 million employees across more than 12,000 cloud services. Our analysis found the average European organization now uses 987 cloud services, an increase of 61% over this same time last year. Put another way, the average organization signed up for more than one new cloud service every day of the past 12 months. The organization with the fewest cloud services uses 507 and one prolific organization uses over 3,000 cloud services.
Not all of these cloud services are appropriate for storing corporate data, or any data identifying EU residents for that matter. Of the over 12,000 cloud services in use today, only 7% meet the security and compliance requirements of enterprises as rated by Skyhigh’s CloudTrust Program. Digging deeper, just 15.4% support multi-factor authentication, 9.4% store data encrypted, and 2.8% are ISO 27001 certified. Considering the recent LastPass breach and the volume of compromised account credentials for sale on the darknet, multi-factor authentication is becoming increasingly important to protect against unauthorized access of data stored in cloud services.
European organization must adhere to strict EU, country-specific, and industry-specific data privacy regulations. In Q3 of last year we looked at data residency – that is to say where the data is stored – and found that 74.3% of cloud services were not suitable to host European data based on that single factor alone. That’s because 74.3% services didn’t store data in the EU, host data in countries with equivalently strong data protection laws, or they stored data in the United States but were not Safe Harbor certified. This quarter, we found the number of services that were not appropriate the store European data dropped to 64.9 percent. While this is an improvement, more work is needed for cloud providers to meet European regulatory requirements.
Flexible work schedules are one of the most significant workplace changes in the last decade. The rise of mobile devices and cloud services have made it easier for employees to work from home, a coffee shop, or airport lounge at night or on the weekend. We analyzed cloud usage by day of week and found that European employees’ cloud usage peaks on Friday. While usage drops by more than 50% on the weekend, it does not drop to zero. This finding is a reminder that IT security teams must remain vigilant to identify risks that occur off-work hours.
You can download the complete report below to get more data on the trends outlined above as well as the top 20 consumer cloud services, top 20 enterprise cloud services, incidence of insider threats, and exposure to compromised accounts at European organizations.