If a cloud service provider stores your organisational data offshore, you’re legally obliged as a organisation to make sure the storage conditions meet the Australian Privacy Principles (APPs).
Each country has its own set of information privacy laws and Australia’s require you to “contractually ensure your technology partners comply.” Thus, in order to avoid having to contend with foreign regulations, Australian organisations are starting to look for local solutions.
Data sovereignty has now become a major issue for Australian organisations hoping to leverage the cloud. Read on to learn where popular software vendors are storing your data.
Accounting Solutions
Xero
This New Zealand (NZ) based company is renowned for its clean, user-friendly interface and excellent customer service. Pricing starts at $25 a month, depending on the number of employees and storage requirements. Xero uses servers managed by Texan company, RackSpace Hosting, with data centres located in New Zealand, Chicago and Dallas. The US Patriot Act can force organisations to disclose data and vendors don’t have to inform their customers that private data has been accessed. Chief Executive, Rod Drury, said Xero will comply with US law, but “won’t just roll over for anyone wanting access to our data.” Nonetheless, Australian data will be under US jurisdiction and Australian businesses wanting guaranteed data security should look for an alternative.
QuickBooks Online
Designed by Intuit to help businesses reduce accounting inefficiencies, QuickBooks offers a host of complex features. Prices start at $12 a month. Like Xero, QuickBooks doesn’t host data in Australia.
The Alternative: MYOB
MYOB is the solution for Australian organisations fearing data sovereignty issues. The company houses data exclusively in Australia, offering a wide range of advanced features that streamline cash flow, payroll and other tedious manual processes. While customisation options are somewhat limited, the software is intuitively set up and easy to use. MYOB Essentials is priced at $29 a month. Not only will Australian organisations using MYOB benefit from assured compliance, they’ll also receive faster connection times than vendors with offshore centres.
Productivity Applications
Google Apps for Work
Google Apps for Work offers Docs, Sheets, email, calendaring and more, as well as unlimited storage for organisations willing to pay $10 per user, per month. Google is supported by a network of global data centres, but doesn’t currently deliver local hosting. Therefore, Australian businesses should carefully review their compliance obligations before implementing Google Apps for Work or install an on-premise solution like Microsoft Office.
Microsoft Office 365
This productivity suite includes the cloud version of Office, Exchange, Lync, SharePoint and more, enabling a mobile, flexible workforce. Prices begin at $5.60 per user a month. Unfortunately, Australian data is stored in Singapore, but Microsoft has announced they will launch local data centres in Sydney and Melbourne by March 2015.
In the mean time, businesses are advised to purchase software and run it on Australian IaaS, eliminating the need to comply with foreign regulations and the potential for disaster.
CRM Solutions
Salesforce
This customer relationship management (CRM) software assists with managing all aspects of customer interface, from sales and marketing to customer service and more. Subscriptions start at $35 a month for a basic plan. Salesforce is a US company with data centres in the US, UK and Asia. Chairman and CEO of Salesforce, Mark Benioff, does have plans to deliver an Australian data centre.
The Alternative: Microsoft Dynamics CRM
Offering both online and traditional versions, Microsoft’s CRM is a great product for tracking and managing the sales process. It is ideal for enterprises already grounded in Microsoft products and offers easy navigation, impressive customisation and tight integration. Australian businesses can eliminate data sovereignty fears by hosting the software off Australian IaaS or installing it as an on-premise solution.
Storage Solutions
Nimble Storage
This hybrid storage provider is renowned for its patented architecture that allows Nimble to leverage flash without compromising capacity and cost. Nimble can get quite expensive for smaller organisations, although the price is justified by the 99.999% availability, excellent support and superior storage management capabilities. Data centres are located in the US, which has a Mutual Legal Assistance (MLA) treaty with over 50 countries, allowing the access and exchange of information for criminal investigations. Australian enterprises carrying sensitive data should be wary of foreign policy and seek locally hosted storage services.
Google Drive for Work
One of the most popular online storage solutions worldwide, Drive for Work enables sharing and collaboration for a mobile workforce and offers offering unprecedented unlimited storage and individual file uploads of 5TB. The unlimited plan costs $10 per user, per month. Data centres are located in the US, Asia and Europe. Google has admitted to receiving numerous requests for information, as well as handing European data over to U.S. law enforcement. Organisations should therefore carefully consider the nature of their company data before handing the reigns over to Google.
DropBox for Business
Another popular storage provider is DropBox. The service provides organisations with one location to store, sync and share files in a controlled environment protected by enterprise-level backup and recovery. Price plans start at $17 a month. Australian organisations should be aware that although files are encrypted and heavily guarded, DropBox data centres are located in the US.
OneDrive for Business
Microsoft’s storage solution comes with Office Online for seamless editing and collaboration, as well as powerful search capabilities. At $5 per user, per month, each employee gets a massive 1TB of storage.
The Alternative: Work Folders
Do away with compliance concerns and choose a locally-hosted storage service. The previously-mentioned services can’t be installed locally, so Australian businesses should consider Work Folders - either hosted off an Australian IaaS platform or installed on-premise. The product offers similar functionality to Dropbox, including centralised access and refined management tools to help organisations control company data. Companies wanting to minimise IT headaches can run Work Folders on Australian IaaS, ensuring only the positive impacts of implementation are experienced.
IaaS Providers
Amazon Web Services (AWS)
Often referred to as the mother of all clouds, AWS offers an incredible array of features, as well a variety of reasonable price plans. The console may require substantial training to maximise the service, but experienced users will find Amazon’s cloud uniquely customisable. Although AWS owns a data centre in Sydney, Amazon is also US company, making the service unsuitable for Australian organisations concerned about data sovereignty.
Microsoft Windows Azure
Ranked by Gartner as an industry-leading IaaS, Windows Azure helps organisations build infrastructure, develop modern applications, analyse data and manage access.
Despite the two Australian Azure data centres in Melbourne and Sydney, Microsoft is a US-based company subject to US laws. Nonetheless, many Australian businesses find themselves drawn to the stability and familiarity of the MS platform, considering it worth the risk.
The Alternative: R & G Technologies IaaS
R & G Technologies offers an IaaS solution that allows organisations to leverage the strength and scalability of technological infrastructure without worrying about data sovereignty issues. While it’s launched off the familiar and user-friendly Azure platform, R & G Technologies has Brisbane servers hosting the software, giving the US no jurisdiction over data. This means organisations wanting the functionality of software products like Microsoft Office or Dynamics CRM can have locally-hosted solutions. All company data is housed in Brisbane data centres, keeping Australian businesses safe and securing their ongoing success.