Why Enterprises Face Problems with File Sharing

Enterprises using Cloud Storage meet security risks. What are the most important things to keep in mind while using Cloud File Sharing? In this post, you can learn more about it.

Many companies are increasingly implementing Cloud File Sharing to tackle problems with data storage which is difficult to handle on internal servers. This is especially true for businesses in highly regulated industries that must consider compliance, efficiency, and security. Despite that fact, there are certain security dangers of using the Cloud, which will be suggested below. The good news is that these security concerns may be mitigated with high-quality cloud storage and sharing system.

1. Employees Using File Sharing Systems That Aren’t Approved

When businesses employ cloud storage and file-sharing applications, there’s a large danger that no one system or app is allowed. Employees may utilize free file sharing/cloud storage solutions like Dropbox or Google Drive in this situation, as a means of remaining safe. While these systems have their advantages, the free versions that employees are most likely to use lack the security and retention restrictions that businesses want. Due to the security risk of sharing/storing files in a public cloud, this might pose severe issues. As a result, company IT administrators must discover a highly secure virtual storage and file sharing system that will fulfill their diverse and specialized needs.

2. Insufficient data management

One security concern that businesses face when adopting the cloud is a loss of control over their data. Certain compliance and governance laws apply to enterprise data. It might be difficult for administrators to maintain compliance without a strong but simple retention policy in place.

3. Lack of data privacy

A lack of data privacy can also be a security issue for businesses. After all, once it’s on the cloud, it’s more vulnerable to being accessed and shared by unauthorized individuals. Many compliance and governance rules that businesses must follow (such as HIPAA or GDPR) contain stringent data privacy requirements. Violations of these restrictions can cost businesses a lot of money and lead to litigation and even criminal charges.

4. Governance/Compliance Tools that are either ineffective or non-existent

As previously stated, businesses are frequently required to comply with complex standards governing the storage and sharing of data. Compliance becomes considerably more difficult when businesses share significant volumes of data. When an organization uses a file-sharing system that lacks compliance tools, it poses a significant security risk.

5. Lack of Employee Training

Employees are one of the most significant security threats for cloud storage and sharing, owing to a lack of training. Employees might be resistive to new tools, particularly if they are difficult to understand or use. Employees who aren’t properly taught might distribute critical material in the wrong way, causing major compliance and security issues.

6. Lack of the smart password protection

Passwords are the final major security concern for businesses. Employees are once again at risk, especially when users utilize similar phrases or even the same passwords across many sites. When accounts use the same passwords over an extended length of time, the entire network becomes vulnerable. These behaviors, when combined, can result in a catastrophic data breach, a loss of client confidence, and regulatory concerns.


Overall, there are security risks associated with businesses storing and sharing files in the cloud. Nevertheless, there are ways to mitigate those risks, and the benefit of having all of your data in one convenient location that can be accessed at any time is worth the risk, especially if businesses use a highly effective system.