Under the mattress or in the bank?
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I don't know about you, but I like to keep a few hundred thousand dollars worth of gold bullion around just in case of natural disaster or if Sarah Palin ever gains national office*.
The question is - where to keep it?
I have a number of options
- I can keep it nice and close where I can keep my eye on it - under my bed.
- I can buy a home safe and keep it locked.
- I can rent a safe deposit box and keep it in a bank.
The first two of these options certainly offer some psychological comfort. Knowing that those Krugerrands are close - where I can touch them, see them and protect them - on the surface might might seems like the safest course of action. After all, I have the biggest stake in keeping my stash secure.
But on reflection, most of us quickly realize that one's valuables are safest in the bank. The bank employs professional security staff. Its safe is a lot bigger and stronger than what I can afford. And banks offer some degree of insurance against loss.
Yes, banks are sometimes robbed and one could get mugged carrying one's loot to or from the bank, but the odds of those things happening are minscule compared to have one's home burgled. Electronic fund transfers, using a bill pay service and doing automatic deducations are all safer and more reliable than writing a paper check.
So if it make sense to keep one's physical valuables in a bank, why does it not also make sense to keep one's data (like e-mail) on an ASP - an application service provider? These off-site, professional services like GMail hire professional staff, give strong security to users, and maintain 99.9% uptime rates. It's like keeping your data in a bank instead of under your mattress (or on your harddrive).
Jeffrey Kaplan in CIO writes: "Although service disruptions experienced by Google ... get plenty of attention, those types of incidents don't happen very often, and they don't last as long as many enterprise outages. And there hasn't been a major compromise of a SaaS operation reported yet, even as we continue to read regular accounts of security breaches in traditional IT environments."
*I am just kidding. Please don't burgle my house. Or if you do, please take some of the left over turkey.