Facing daily competitive pressures, European firms are investing heavily in cloud and AI-driven data strategies that work across data centres, edge locations, and public cloud infrastructures. However, their rush to the cloud and blinkered thinking over data infrastructures when implementing these strategies, could expose them to greater cybersecurity risks.
Recently we commissioned some research which revealed that EMEA firms are increasing their hybrid cloud and AI investments to become more responsive and resilient. Yet, they still display a confused mindset over cyberattack response capabilities and seemingly accept the inevitability of cyberattacks. As a result, it’s probable that CIOs may be prioritising effective recovery from attacks over effective prevention and mitigation.
Hybrid cloud adoption is accelerating: while less than one-fifth of firms currently have a hybrid cloud storage solution, nearly two-thirds plan to implement one within the year. Global spending on public cloud alone is forecast to grow by 20% this year. The top priority within companies’ cloud investments over the next 18 months is data management and analytics (54%). Once analysed, firms’ data will fuel AI initiatives—the second-most popular investment area (48%) for survey respondents.
However, a series of findings shows how organisations are troubled by the potential security risks affecting their cloud and AI plans:
Cloud adoption and security challenges
The benefits of the cloud for everything from supporting business growth to reducing overheads are well acknowledged in today’s organisations. An overwhelming 97% either already have a cloud initiative in place, or are in the planning stage. Firms operating in the tech sector are far more likely to have a cloud initiative (94%) than those working in marketing and sales (67%).
While cloud initiatives deliver on various operational benefits, security remains a significant concern. Sixty-four percent of organisations report that their cloud initiatives streamline processes to improve business efficiency. However, improving data security and disaster recovery times is cited as a critical benefit by 59% of respondents. This priority is more significant than improving application performance (56%), scalability and flexibility (55%), and cost savings (51%).
The push for AI and advanced data management
Around half of organisations are investing in analytics and AI, with data management and analytics being the top cloud investment area over the next 18 months (54%). Once processed and analysed, companies’ data can fuel AI initiatives—the second-most popular investment area (48%). This push for AI is driven by the need for advanced data management and greater visibility, which 60% of respondents hope to achieve. This goal marginally outweighs cost savings (58%) and automation of workflows (57%).
Despite these investments, organisations face significant challenges in implementing AI solutions. The most substantial roadblocks include data privacy and security concerns (42%) and a lack of expertise or skilled personnel in AI technology (35%). These challenges highlight the importance of robust data infrastructure to support AI initiatives.
Security as a major obstacle
Security concerns are the top reason firms have not moved file data into the cloud, significantly more so than worries about costs, training, or complexity. Forty-five percent of respondents say concerns around security keep them from moving file data to the cloud. This figure rises to 55% in the DACH region (Germany, Austria, Switzerland).
For infrastructure teams managing files across different offices and systems, securing data and recovering it after an attack can be a significant headache. Security concerns rank higher than meeting compliance requirements and supporting inter-departmental collaboration. This underscores the need for a comprehensive approach to data security in hybrid cloud environments.
Complacency over cyberattack preparedness
Despite leading hybrid cloud offerings that provide ransomware attack detection, mitigation, and rapid recovery capabilities, many firms display complacency or fatalism over their ability to stop cyberattacks. Only half of the firms say their data is backed-up, immutable, and easily recoverable. Just one in five say they have recovered easily from cyberattacks, despite three-quarters claiming they are well-defended.
This complacency extends to firms’ perceived ability to cope with cyberattacks. While 40% of respondents feel confident in their organisation’s ability to recover critical unstructured data and cope with a destructive cyberattack, the reality is starkly different. Over the past year, 54% of firms experienced a cyberattack that resulted in ransom payments, costly downtime, data loss, reputational damage, or issues recovering data.
Prioritising recovery over prevention
Companies seem resigned to being hit by ransomware attacks, with just 27% saying mitigating these attacks is their top priority. Instead, the focus is on recovering data (49%), avoiding downtime (40%), and avoiding reputational damage (31%). This shift in priority from prevention to recovery highlights a critical blind spot in organisations’ data infrastructure strategies.
The way forward: Hybrid cloud storage with built-in security
Data is the foundation of today’s business, but data management only tops the agenda when access, collaboration problems, or cyberattacks manifest themselves in business-critical ways. These challenges will intensify unless firms adopt hybrid cloud storage platforms with built-in security, backup, and rapid recovery from attacks and disasters.
So, while European firms are making significant strides in cloud and AI investments, a critical reassessment of their data infrastructure strategies is needed. By adopting hybrid cloud storage platforms with integrated security and recovery capabilities, firms can mitigate the risks associated with cyberattacks and fully leverage the benefits of their cloud and AI initiatives.
Jim Liddle
Jim Liddle is Chief Innovation Officer Data Intelligence and AI at Nasuni, leading the development and implementation of the company’s data intelligence and AI strategies.
