Page 8 - The South China Business Journal
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Key considerations Privacy
For many businesses, choosing a China-based cloud Fulfilling local data residency requirements in no way
over its international counterpart is not merely means that companies have to compromise on privacy.
convenient but may be mandatory to meet local Companies shopping for a cloud service provider should
regulations. In this regard, companies should exercise ensure look for robust privacy policies and guarantees
diligence in selecting a cloud service that will meet that data is not shared with third parties.
regulatory requirements without making compromises
to internal privacy or connectivity. When using Microsoft, customers retain the rights and
titles to their data. Microsoft partners with China-based
Data residency 21Vianet but uses only Microsoft technology and world-
class cryptography. The data centers themselves also
Data residency (or data localization) refers to the have 24-hour security and physical protection.
physical location of data as well as the legal and
regulatory requirements around it. Furthermore, data stored in Microsoft centers is
safeguarded by a ‘data trustee’: an independent body
China’s Cybersecurity Law mandates that critical in charge of monitoring and auditing access to data. In
information infrastructure (CII) operators must order for Microsoft or 21Vianet to access this data, they
store certain important data, including personal first require permission from either the customer or the
information relating to Chinese citizens, within data trustee – any permission is subsequently recorded.
mainland China. CII operators are network operators
in sectors relating to China’s national security or Migrating to the cloud
public interest, such as information services, energy,
and transportation. However, the precise definition Ultimately, businesses opt for China-based clouds
CII operators remains vague. when enough of their workforce, clients, and partners
are based in the country. A well-planned data migration
When companies use their own on-premise servers from on-premise servers to cloud technology can save
to host data, this requirement is typically fulfilled companies money and boost productivity as businesses
automatically. When hosting data on a cloud platform, grow their operations in China.■
however, businesses are obliged to ensure this data
remains within China. The easiest way to fulfill this Article by China Briefing.
requirement is to use a China-based cloud provider.
Since its establishment in 1992, Dezan Shira & Associates has
Cloud providers should outline the steps they take been guiding foreign clients through Asia’s complex regulatory
to conform to local regulations. However, professional environment and assisting them with all aspects of legal, accounting,
services firms with regulatory and IT expertise can go tax, internal control, HR, payroll, and audit matters. As a full-service
the further step in ensuring all data storage remains consultancy with operational offices across China, Hong Kong, India,
compliant without compromising privacy or workflows. and ASEAN, we are your reliable partner for business expansion in
this region and beyond.
For inquiries, please email us at china@dezshira.com. Further
information about our firm can be found at: www.dezshira.com.
6 AmCham South China
Key considerations Privacy
For many businesses, choosing a China-based cloud Fulfilling local data residency requirements in no way
over its international counterpart is not merely means that companies have to compromise on privacy.
convenient but may be mandatory to meet local Companies shopping for a cloud service provider should
regulations. In this regard, companies should exercise ensure look for robust privacy policies and guarantees
diligence in selecting a cloud service that will meet that data is not shared with third parties.
regulatory requirements without making compromises
to internal privacy or connectivity. When using Microsoft, customers retain the rights and
titles to their data. Microsoft partners with China-based
Data residency 21Vianet but uses only Microsoft technology and world-
class cryptography. The data centers themselves also
Data residency (or data localization) refers to the have 24-hour security and physical protection.
physical location of data as well as the legal and
regulatory requirements around it. Furthermore, data stored in Microsoft centers is
safeguarded by a ‘data trustee’: an independent body
China’s Cybersecurity Law mandates that critical in charge of monitoring and auditing access to data. In
information infrastructure (CII) operators must order for Microsoft or 21Vianet to access this data, they
store certain important data, including personal first require permission from either the customer or the
information relating to Chinese citizens, within data trustee – any permission is subsequently recorded.
mainland China. CII operators are network operators
in sectors relating to China’s national security or Migrating to the cloud
public interest, such as information services, energy,
and transportation. However, the precise definition Ultimately, businesses opt for China-based clouds
CII operators remains vague. when enough of their workforce, clients, and partners
are based in the country. A well-planned data migration
When companies use their own on-premise servers from on-premise servers to cloud technology can save
to host data, this requirement is typically fulfilled companies money and boost productivity as businesses
automatically. When hosting data on a cloud platform, grow their operations in China.■
however, businesses are obliged to ensure this data
remains within China. The easiest way to fulfill this Article by China Briefing.
requirement is to use a China-based cloud provider.
Since its establishment in 1992, Dezan Shira & Associates has
Cloud providers should outline the steps they take been guiding foreign clients through Asia’s complex regulatory
to conform to local regulations. However, professional environment and assisting them with all aspects of legal, accounting,
services firms with regulatory and IT expertise can go tax, internal control, HR, payroll, and audit matters. As a full-service
the further step in ensuring all data storage remains consultancy with operational offices across China, Hong Kong, India,
compliant without compromising privacy or workflows. and ASEAN, we are your reliable partner for business expansion in
this region and beyond.
For inquiries, please email us at china@dezshira.com. Further
information about our firm can be found at: www.dezshira.com.
6 AmCham South China
