Congress to examine Obama’s “Cloud First Policy” for computers
October 6, 2011
The Obama administration says switching some federal computer networks to cloud computing will save taxpayers money but members of Congress are worrying about the security risks.
Cloud computing refers to computer networks that are hosted by outside vendors and are accessible over the Internet…
Until now, the federal government has kept all its networks within its own computer systems.
Last week, the Department of Homeland Security granted a five-year, $5 million contract to computer company CGI Federal Inc. to manage some of its public Web sites. They include DHS.gov, FEMA.gov and USCIS.gov.
Members of the House Homeland Security subcommittee on cybersecurity want to know whether computer hackers who have broken into other Web sites could hack the government Web sites hosted by private companies.
The subcommittee plans a hearing Thursday on the risks of cloud computing.
“In light of the administration’s ‘Cloud First Policy’ and the announced transition by the Department of Homeland Security to cloud computing, my subcommittee will be examining how government information is being managed and secured in the cloud environment,” said Daniel E. Lungren (R-CA), chairman of the cybersecurity subcommittee.
The Cloud First Policy refers to President Barack Obama’s plan to switch government Web site management to private companies when it can be done at lower cost without security risks.
The Homeland Security Department contract last week was the first of many planned for federal agencies.
Computer networks that contain classified information or represent a public threat if they are hacked will be served only by the government’s servers and systems under the Cloud First Policy.
“We also want to hear how the private sector is implementing this shared technology option, its cost savings and risk concerns,” Lungren said.
Cloud computing offers its customers easier updates to Web sites, less maintenance and lower costs for equipment and personnel.
The controversies for the government include the potential for layoffs among its computer staff and whether private contractors can be trusted to properly manage the government networks.
Homeland Security Department spokesman Larry Orluskie said his agency’s contract with CGI Federal “maintains requisite security for the government’s needs and delivers best-in-class return on investment for the citizens of the United States.”
CGI Federal said in a statement that its computer management service “contains all of the required enterprise-wide security” the government requires.
The House hearing Thursday could influence whether Obama’s Cloud First Policy gets carried out.
Republicans, who hold a majority in the House, must eventually approve funding for the program.
Private companies confront the same issues as the government, but still are making a big push toward cloud computing.
Four out of five businesses plan to switch to cloud computing soon, according to a survey of more than 900 large companies announced this week by the business consulting firm of KPMG.
Ten percent of the companies surveyed reported they already moved their core information networks from internal computers to cloud computing.
A grocery mentioned by KPMG in its study reported it could maintain its inventory better and increase sales by linking its suppliers through a cloud computing ordering network.
Cloud computing is “quickly shifting from a competitive advantage to an operational necessity,” said Steve Hill, KPMG’s vice chairman of strategic investments.
The cloud computing industry is expected to generate $177 billion in revenue by 2015, compared with $89.4 billion this year, according to industry forecasts.