Growth in the use of cloud computing has been a consistent trend year after year, and this year was no exception. Additional findings from the report include:
- Rise in monetization of data continues - Twenty percent of respondents have explicit data monetization businesses and an additional twenty percent are considering entering into that business.
- Data security is top of mind - The majority of respondents indicate a renewed focus on data security. Although has been a focus in past years, this year there is renewed attention on this issue.
- Contracting terms steady - Continued convergence in contracting terms, which is consistent with our last survey, including convergence on liability limitations, indemnities and damage disclaimers.
"Year after year, we are seeing that the digitization of business processes continues to rise, and although this is a well-accepted reality, there is no correlated rise in confidence that data is secure." said Peter George, Partner at Baker McKenzie and contributor to the survey analysis.
"Regulators around the world have heard the message that individuals are concerned with the security of their personal data." said Brian Hengesbaugh, Chair of Baker McKenzie's Global Data Privacy and Security Group. "Data privacy and security regulators are becoming more aggressive and tougher on businesses with poor data protection practices, and are aligning themselves with counterparts around the globe."
The authors of the report also offer predictive analysis on what to expect in the year ahead, including an increasing focus on data being a major issue in strategic transactions, such as M&A; cloud services continuing to drive value through expanding economies of scale; and adding significant resources to big data or data monetization projects. They also predict that, as data and cloud are ever increasing value drivers, there will be continued focus on overcoming the related regulatory hurdles. Examples include privacy-related regulations, such as the California Consumer Privacy Act or the General Data Protection Regulation, or data- and industry-specific regulations, such as those related to financial or health data. The authors predict that the trend toward regulation will continue to emerge.