ENERGETIC and innovative data centre operator, NEXTDC, has spearheaded research with the University of New South Wales (UNSW), Baker & McKenzie and Aon which reveals the complexities and vulnerabilities for business in managing data in current ‘cloud' environments.

Cloud computing's advantages bring vital data protection responsibilities.

While recent data breaches afflicting high profile organisations like Facebook, Google and Commonwealth Bank have made headlines, as have internet security and corporate espionage issues internationally, there has been little in the way of considered advice offered to business leaders and owners in Australia.

This research looks specifically at Australia and New Zealand contexts and is designed to offer a series of signposts - including ‘10 Commandments of Data Sovereignty' -- for executives who need to understand the law, their responsibilities, and best practice measures for managing data in the cloud, according to NEXTDC CEO, Craig Scroggie.

Mr Scroggie said NEXTDC was a sponsor of the whitepaper research, titled Data Sovereignty and the Cloud - A Board and Executive Officer's Guide, because it "needed to be produced to shine light on the much debated issue and guide organisations" on their technology journeys.

"Most customers in our data centres have an interest in the issues relating to their obligations and concerns regarding data sovereignty, yet there wasn't a comprehensive piece of work available to advise them on the topic," Mr Scroggie said.

"We supported this project to ensure they have access to the important need-to-know facts."

At the whitepaper launch Mr Scroggie shared his view of the 10 Commandments of Data Sovereignty- a core list of considerations for executives.

Craig Scroggie, NEXTDC

"These are essential points that should be factored into all future plans to maintain confidence in the cloud," he said.

The report shows that data sovereignty and the selection of a cloud provider extends beyond the domain of the chief information officer (CIO), and should draw on expertise from corporate security, risk management, and legal counsel within the organisation.

According to a recent Ponemon survey, corporate security professionals are involved in the vetting process for cloud providers only nine percent of the time - and this report described that as unacceptable.

The whitepaper surmised that once the cloud data location and jurisdictions are identified and analysed, the obligations for each option understood, the assessment criteria developed, and procedures trialled, these components can be drawn together and integrated into normal operations.

FEAR OF DATA BREACHES

The whitepaper has been produced just as Australia's Privacy Amendments (Privacy Alerts) Bill 2013, which stated that mandatory data breach notifications will benefit both Australian consumers and industry stakeholders, was postponed.

Academic and chief author of the 90-page whitepaper, David Vaile from the Cyberspace Law and Policy Centre at the UNSW Faculty of Law, Sydney, said the analysis has taken the better part of a year to compile and includes information as recent as the commentary on PRISM, the national security electronic surveillance program operated by the United States National Security Agency.

"There is no other document in Australia which has this much detail on the issues around data sovereignty," Mr Vaile said.

"Knowing where and under whose jurisdictional control your data is held can be a fundamental issue for transparency and risk assessment. To date it has been overlooked among all the excitement and enthusiasm about the new cloud tools and techniques. Hopefully this guide will help change that."

The whitepaper was launched in Sydney this week following a panel discussion on data sovereignty and the cloud. The panel included perspectives from the academic, legal, risk, and technology sectors to give a view of the business considerations decision makers in Australia need to assess when moving or storing data in the cloud.

Panel members included co-authors Mr Vaile, global law firm Baker & McKenzie partner Adrian Lawrence, and global insurer Aon risk expert Eric Lowenstein.

NEXTDC's new Sydney data centre is close to opening.

Australian Communications and Media Authority (ACMA) chairman Chris Chapman was also at the launch.

"The whitepaper highlights a series of important issues central to digital data protection in the cloud which are of important interest to the Australian Communications and Media Authority," said Mr Chapman.

"The ACMA has been closely monitoring these issues and working with industry and citizens to facilitate a safe transition to cloud services. Our recent research paper emphasises the need for a coherent regulatory framework for cloud computing."

The whitepaper indicated that the smooth operation of a Cloud Data Location and Jurisdiction Policy will depend on how well it interacts with and is supported by, current and future online tools and data related policies.

Researcher Mr Vaile said it was important to design a development, audit and evaluation process to assess and help refine the operation of each part of the policy.

Mr Scroggie said NEXTDC's purpose-built facilities in Brisbane, Melbourne and Canberra -- with centres soon to open in Perth and Sydney -- have been designed to address the emergence and growth of cloud internet-based computing and the market's growing appetite for energy-efficient, independent data centres in which organisations can host their critical IT infrastructure.

www.nextdc.com

www.bakermckenzie.com

www.aon.com.au

www.unsw.edu.au

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AUSTRALIAN Australian organisations big and small -- and a flotilla of individual entrepreneurs -- are applying 'apps' at world-leading levels, according to research by the ARC Centre of Excellence for Creative Industries and Innovation (CCI) at Queensland University of Technology (QUT).

It may be as American as Apple pie, but Aussie organisations and entrepreneurs are taking a lead in 'apps'.

In what is already a multi-billion dollar industry worldwide -- 'apps' is a phrase coined by Apple Inc to describe mobile 'applications' -- designing for the mobile and tablet applications industry has enjoyed a spectacular take-up in Australia.

From broadcast media to start-up companies, the nation is taking advantage of the booming apps market, helping to create more jobs and attracting businesses worth millions of dollars, according to Dr Ben Goldsmith of the CCI.

“The IBISWorld Survey shows that there are 364 apps companies in Australia,” Dr Goldsmith said. “The report reveals that the industry employs 1,500 people, generates $295 million every year and has an annual growth of 177 percent.”

Dr Goldsmith has found these companies create apps in all areas including games, finance, books, education, health and maps, and around 200 of the apps companies are in Sydney.

“The apps industry is spawning a range of business opportunities because it’s something that both companies and individuals can do,” he said. “You don’t have to build a large development studio to be in the business.

“There isn’t a ‘typical’ apps entrepreneur – they come from different backgrounds, such as software development, marketing, design, investment and venture capital. Some are just very gifted kids.”

Dr Goldsmith said the industry was not just about designing and developing applications for mobile phones and tablets – companies have begun to specialise in areas such as mobile marketing, advertising, security, testing users’ experience and developing templates for others to build their own apps.

Using Westpac as an example, Dr Goldsmith said the bank currently has 70 people in their internal apps development team, which isn’t a huge part of their workforce of 36,000. However, they also subcontract a lot of work to outside firms in different stages of the development, including those that specialise in mobile security.

“There are also services that nobody imagined we needed before apps became such an important part of our lives,” Dr Goldsmith said.

“For instance, Apple just bought an Australian developed search engine for apps called ‘Chomp’, and has incorporated the search service into their online store.

“These are examples of how the apps market has created new job opportunities in existing companies, but also for consultants that provide related services.”

MEDIA GETS CREATIVE

At the same time, broadcast media is boosting its chances of survival in the digital age by jumping into the growing apps industry, Dr Goldsmith said.

“Traditional broadcast media are beginning to recognise that the apps industry isn’t competition, but a way of expanding their businesses,” he said.

“As an example, ABC iview started as an internet service for people to watch ABC programs on their computers.

“But they’ve since developed an app so people can watch the programs on wireless devices, and they found out that more people watch the programs on mobile phones or tablets than on computers.”

Foxtel has also expanded into the mobile space very quickly, Dr Goldsmith said.

Their London 2012 Olympics app as well as their new Foxtel Go app that allow subscribers to watch live programs on the move have met with great success.

“Networks have developed ‘companion apps’ that prompt viewers to fill in surveys, answer questions or access extra content while the program is running,” he said.

“So creating apps that cater to the viewers’ needs isn’t just a way to survive – it also encourages conversations between consumers and companies.”

Dr Goldsmith said Sydney is emerging as the centre of the Australian industry with a vibrant start-up culture.

The software company Atlassian, started by two Sydney friends in an apartment, now sells $100 million worth of software a year worldwide and is worth $1 billion.

Another Sydney based company, Gruden, has also expanded internationally and has helped build the app store for China Mobile, he said.

“With the growth of the mobile and tablet market, the apps industry is a diverse and rapidly growing area," Dr Goldsmith said. "So there’s immense potential for Australian companies and I’m optimistic that we’ll rise up to the challenge.”

www.cci.edu.au

*The ARC Centre for Excellence for Creative Industries and Innovation is helping to build a creative Australia through cutting-edge research spanning the creative industries, media and communications, arts, cultural studies, law, information technology, education and business. It is funded by the Australian Research Council (ARC) and is based at QUT, Brisbane.

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IT MAY NOT have received much mainstream publicity, but this is International Green IT Awareness Week and significant announcements have been made - especially the news that environmental power certification has been established for data centres.

Mark Winter, Foundation for IT Sustainability CEO.

It is the work of Australia-based Foundation for IT Sustainability (FFITS.org), a non-profit organisation known primarily for developing the first Green IT training and certification labelling program. 

Data centres are major consumers of electricity, mainly for cooling ever-more-powerful server systems. The Foundation for IT Sustainability, to mark Green IT Week, has launched Power Usage Effectiveness (PUE) Certification for data centres and its validation system was developed and tested in Queensland.

"Although the identity of the data centre must remain confidential for commercial reasons, we are grateful to a member organisation for ‘donating' the use of their data centre to validate the entire testing and validation process," said FFITS.org board member, William Ehmcke.

FFITS.org is launching the standardised PUE Balanced Scorecard program to provide "an apples to apples comparison" of data centres, Mr Ehmcke said. He said the PUE Certification can provide the initial first step for Australian companies considering undertaking the new NABERS for Data Centres accreditation.

"The FFITS.org PUE Certification provides data centre operators with an independent verification of their PUE claims," said Mark Winter, founder and CEO of FFITS.org.

"With the rapid rollout of cloud computing services the demand has never been greater for data centre real estate; and as organisations evaluate these providers they are looking for more than just available space."

Mr Winter said in today's data centre marketplace ‘green' or environmental issues are increasingly at the forefront of purchasers' minds and the distinctive PUE Certification Label provides data centre operators with a competitive differentiator, enabling them to stand out in the industry.

"Many data centre providers have flagged that PUE is being used out of context by data centre providers seeking to promote their ‘green' credentials," Mr Winter said. "By offering a third party and independent certification service, FFITS.org is able to level the playing field and provide an immediately recognisable validation of efforts toward energy efficiencies.

"The FFITS.org PUE certification will assist our industry in cleaning up our act as well as provide confidence around problematic PUE claims in the marketplace."

FFITS.org is based on the Gold Coast and operates as a global, non-profit organisation whose mission is to promote the sustainable use of technology.

Australian IT companies have been a leader in the field for some time, through data centres such as Ecohost in Brisbane and Macquarie Telecom in Sydney.

FFITS.org has an online eLearning training platform, promoting and encouraging the implementation of IT sustainability best practices and recognition and certification of organisations that are doing their part to reduce their power consumption and in turn reducing their carbon dioxide emissions.

Mr Winter said all profits from certification, training, donations, sponsorships and activities fund collaborative IT sustainability education programs at local, regional and international levels.

http://www.ffits.org/

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