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Understanding the security risk of SaaS

Software as a Service (SaaS) is one of the hot trends in Information Technologies. “SaaS” is the name given to the concept of having applications run on the infrastructure of the service provider, rendering service to the customer over the net.

The SaaS architecture promises lower cost of ownership, better scalability, and ease of maintenance. There are other advantages, and a few limitations as well. One of the key concerns regarding SaaS is about security. Corporate security officers claim that a security risk arises with the storage of corporate data off-site. This is probably true, but to be able to assess the risk accurately, the stakeholder needs to properly understand what the risk is exactly, and where most of this risk comes from. Following is my take on this.

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