Data Protection Opportunities in the Hybrid Cloud

When faced with cloud-first approaches to data security, organizations often find that their existing tools fail to integrate with the cloud, landing them with bill shock, cyberthreats, and other surprises. Some just deal with it, while others reluctantly turn to multiple-point products (and the management nightmare that comes with them). But it doesn’t have to be that way. Veeam empowers organizations with the best of both worlds — native data protection that’s built for specific environments, all wrapped up under a single, easy-to-manage platform and license that is platform agnostic and never boxes the organization in. This creates an ideal opportunity for Veeam partners and customers to work together to see the value of hybrid cloud data protection.

In 2024, organizations stated that nearly half of their production workloads run within a public cloud with the rest remaining equally divided between physical servers and virtual machines within their data centers (The State of Hybrid and Multi Cloud 2024). Hybrid models are meant to allow an organization to mix and match environments and to choose what works best for the specific applications and data. For instance, hybrid solutions are popular with companies in highly regulated industries that have strict data privacy requirements for how they store, process, and interact with their data.

A hybrid cloud allows an organization to allocate public cloud resources for short-term projects, at a lower cost than if using their own data center’s IT infrastructure. That way, there is no over-investment in equipment that’s only needed temporarily, providing flexibility for the future. While FinOps practices can be implemented to lower costs in terms of operations, businesses must maintain and spend towards on-premises hardware for handling the computing needs of the private cloud. When running important IT workloads in a hybrid-cloud deployment it is important to maintain visibility over everything being managed.

Similar to other cloud computing architectures, hybrid cloud platforms leverage virtualization, containerization, and software-defined networking and storage technologies to abstract and aggregate resources. Dedicated management software allows organizations to allocate resources and enable on-demand provisioning to different environments.

Realizing the Value in Hybrid Cloud

The value of data protection in a hybrid-cloud environment is significant for both Veeam partners and customers. It creates opportunities for Veeam resellers and service providers to enhance their service offerings and build resilience while simultaneously providing customers with the security, compliance, and peace of mind they need to operate effectively. As such, a strong data protection strategy is essential not just for safeguarding data, but also for fostering business growth and innovation.

Value for Customers

Data security:
The primary value of data protection in a hybrid-cloud environment is enhanced security. Customers can safeguard their sensitive data from threats, including cyberattacks and data breaches, ensuring business continuity.

Regulatory compliance:
Many industries are subject to strict regulations regarding data handling (e.g., GDPR, HIPAA). Effective data protection solutions help customers remain compliant, avoiding potential legal issues and associated penalties.

Flexibility and scalability:
Hybrid-cloud environments allow customers to utilize a blend of on-premises and cloud resources. Adequate data protection ensures that data remains secure across both environments, enabling customers to scale their operations without compromising security.

Backup and recovery:
In the event of data loss — whether due to hardware failure, malicious attacks, or natural disasters — comprehensive data protection solutions provide robust backup and recovery options. This ensures that customers can restore their data quickly and minimize downtime.

Cost efficiency:
Invested data protection solutions can lead to long-term cost savings by reducing the potential financial impacts of data breaches, operational downtimes, and compliance penalties.

Peace of mind:
Knowing that data is secure and easily recoverable allows customers to focus on their core business activities without the constant worry about data loss or breaches.

Performance optimization:
Data protection solutions can often improve the performance of applications in hybrid-cloud environments by ensuring efficient data handling and storage management. This can lead to better user experiences and enhanced productivity.

Managed data protection:
Managed service providers (MSPs) can tailor data protection solutions to customers business needs both on-premises and in the cloud, allowing businesses to focus on core operations while safeguarding critical data against loss and downtime.

Value for Partners

Expanded offerings:
Partners can diversify their portfolio by providing data protection solutions tailored for hybrid-cloud environments. This enables partners to address a wider range of customer needs, thus creating additional revenue streams.

Market differentiation:
Offering comprehensive data protection services can set partners apart from competitors. This is particularly crucial in a crowded marketplace where many resellers may provide similar products and services.

Long-term relationships:
Data protection requires ongoing management, updates, and support. By providing these managed services, partners can build long-term relationships with customers, leading to recurring revenue opportunities through subscription models and managed services.

Increased customer trust:
By aligning with reputable data protection solutions, partners enhance their credibility and build customer trust. This can boost customer satisfaction and lead to referrals.

Compliance and risk management:
Partners can help customers navigate complex compliance requirements by providing solutions that ensure data protection standards are met, thus reducing the risks associated with data breaches and regulatory fines.

Key Aspects of Data Protection in Hybrid-cloud Environments

Organizations must address key aspects of data protection in order to reduce any risks associated with managing data in a hybrid-cloud environment. Data protection helps to ensure the security, confidentiality, and availability of data across both on-premises and cloud infrastructures. Primary considerations are:

Data encryption:

At rest: Ensure data stored in both on-premises systems and cloud environments is encrypted.
In transit: Use strong encryption protocols for data being transferred between on-premises and cloud resources.

Access control:

Implement robust identity and access management (IAM) policies to enforce least privilege access.
Use multi-factor authentication (MFA) to add an extra layer of security.

Data backup and recovery:

Regularly back up data from both on-premises and cloud environments.
Implement disaster recovery plans that include strategies for both cloud and on-premises data restoration.

Compliance and governance:

Understand and comply with relevant regulations (e.g., GDPR, HIPAA) that govern data handling and protection.
Maintain consistent governance policies across both environments to ensure data is managed in compliance.

Data location and sovereignty:

Be aware of where data is physically stored, especially in light of data residency regulations.
Ensure that data storage complies with local laws regarding data protection and sovereignty.

Monitoring and logging:

Implement comprehensive logging and monitoring protocols to track data access and changes.
Use security information and event management (SIEM) solutions to analyze logs for anomalies and potential security incidents.

Incident response:

Develop and regularly test an incident response plan that includes procedures for both environments.
Ensure that there are defined roles and responsibilities for responding to data breaches or leaks.

Data classification and segmentation:

Classify data based on sensitivity and criticality, applying appropriate protection measures based on the classification.
Segment data environments to limit exposure and mitigate risks.

Third-party risk management:

Assess the security posture of any third-party cloud service providers used in the hybrid environment.
Ensure that third-party contracts include appropriate data security provisions.

Virtual private networks (VPNs):

Use secure VPNs to create encrypted connections for remote access to data in the on-premises environment.

Continuous compliance and auditing:

Conduct regular audits to ensure ongoing compliance with security policies, regulations, and standards.
Use tools and processes that facilitate continuous compliance monitoring.

Data loss prevention (DLP):

Implement DLP solutions to monitor and protect sensitive data from being improperly accessed, used, or disclosed.

Importance of Data Security in Hybrid Clouds

Data protection in a hybrid cloud is integral to ensuring security, compliance, continuity, customer trust, and efficient operations. Organizations must adopt comprehensive strategies that encompass both on-premises and cloud components to effectively safeguard their data.

Data security: Hybrid clouds often combine on-premises infrastructure with cloud services, which can introduce vulnerabilities. Protecting data ensures that sensitive information is secured against unauthorized access, breaches, and cyberattacks.
Compliance and regulatory requirements: Many industries are governed by regulations that dictate how data must be protected and managed (e.g., GDPR, HIPAA, PCI DSS). Proper data protection measures help organizations comply with these regulations, avoiding legal penalties and reputational damage.
Data integrity: Protecting data ensures its accuracy and consistency. It helps prevent corruption and unauthorized changes, maintaining the trustworthiness of the information across both on-premises and cloud environments.
Business continuity and disaster recovery: In the event of data loss due to cyberattacks, hardware failures, or natural disasters, robust data protection strategies (like backups and failover systems) ensure that organizations can quickly restore their operations and minimize downtime.
Multi-cloud environments: Many organizations utilize multiple cloud providers, creating complex architectures. Effective data protection strategies are needed to manage and secure data across diverse platforms and services, ensuring consistent protection regardless of where the data resides.
Control and governance: In a hybrid-cloud setup, organizations need to maintain visibility and control over their data. Data protection helps establish governance policies and controls that dictate how data is accessed, utilized, and shared across different environments.
Cost management: Data breaches can lead to significant financial losses through recovery costs, legal fees, fines, and reputational damage. By investing in data protection strategies, organizations can mitigate risks and avoid potential costs associated with data loss events.
Customer trust: Protecting customer data is essential for maintaining trust. Organizations that demonstrate a commitment to data security are more likely to gain and retain customer loyalty, which is critical for business growth.
Performance optimization: Effective data protection strategies can also lead to optimized performance. For example, deduplication and efficient backup processes can result in better utilization of resources, reduce storage costs, and improve data recovery times.
Data lifecycle management: Hybrid clouds involve multiple stages of data management, including collection, storage, processing, and archiving. Data protection plays a vital role in managing each stage to ensure data is handled appropriately throughout its lifecycle.

More organizations are considering hybrid-cloud platforms based on capabilities rather than solely in terms of location and ownership. Some want to consolidate IT resources, services, and functionality, automating scale-out and provisioning, and moving workloads freely between environments. Others are orchestrating processes and providing unified management and automating deployment of applications in both private and public clouds, as well as edge locations. No matter the reason, protecting the data across it all is key and provides opportunities for Veeam partners to guide their customers.

See how other organizations did it:

Find out more about accelerating your business with hybrid cloud solutions:

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