Business networking site LinkedIn suffered a security breach in June that resulted in the theft of more than 6 million user account passwords, which were subsequently published online. Although the company says there were no reports of compromised accounts, the incident garnered headlines about the risks of the cloud.

And in April 2011, a server breach at email marketing company Epsilon Interactive exposed the names and email addresses of millions of people. The company said unknown intruders broke into one of its email servers and accessed the names and email accounts of some of its 2,500 corporate customers.

As these incidents show, the cloud is still very much a work in progress when it comes to security. Although many cloud service providers claim they can secure their customers' data, security problems are surfacing as the technology takes hold at more organizations.

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