Keeping Secrets in the Cloud: Are Storms Ahead For Trade Secret Protection?

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Cloud computing is taking the world by storm as more and more businesses run their applications from remote and often vendor-owned servers over the Internet rather than local networks. In 2014, 69 percent of companies reported using the cloud for at least part of their infrastructure, up 12 percent since 2012. This is not surprising — the cloud’s low initial cost and easy access attracts startups and growth-stage companies alike. Storing proprietary data on the cloud, however, creates unique legal and business risks, especially as companies consider trade secret protection in lieu of patent protection for their data. As a result, companies must forecast how they can best protect their intellectual property as it moves into the cloud.

Reprinted with permission from InsideCounsel.

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