Don’t let SaaS vulnerabilities leave you stranded – secure your data with backups today!
SaaS platforms, while offering flexibility and scalability, introduce supply chain risks due to their reliance on third-party providers and interconnected services.
If a SaaS platform uses the likes of AWS or Azure for its cloud infrastructure, any security vulnerabilities or outages within those providers can directly impact the SaaS platform's availability, data integrity and disrupt operations, impacting the entire ecosystem.
Have you read them? Adhering to a SaaS provider's Terms of Use is crucial as it legally binds both parties, outlining permissible usage, data handling, and liability. Non-compliance can lead to service termination.
You are required to backup your data inputted into their systems. Non-compliance can lead to service termination, legal disputes, and reputational damage, highlighting the importance of understanding and upholding these agreements.
User errors, such as accidental deletions, overwrites, or incorrect data entry, are a leading cause of data loss. Highlighting the importance of robust backup and recovery solutions
Even seemingly minor mistakes can have significant consequences, highlighting the importance of robust backup and recovery solutions to mitigate the risks associated with human fallibility.
Ranging from ransomware to data breaches the increasingly sophisticated Cyber Attacks all pose a serious threat to businesses...
...potentially leading to catastrophic data loss or prolonged service outages. These malicious attacks can cripple operations, compromise sensitive information, and result in significant financial and reputational damage.
For over 12 years, Control-C has been the leading innovator in Xero and Xero Practice Manager backups, serving Xero users globally with a proven track record of success. We also offer backups for Cin7 Omni, providing comprehensive data protection for businesses of all sizes. We partner with MSP resellers and CPA practice partners to provide our clients with the best possible service and support.
Our comprehensive backup solutions ensure that your Xero, Xero Practice Manager, and Cin7 Omni data is always protected, no matter what happens. We offer automatic backups daily, as well as a one-time full backup option.
With Control-C, you can rest assured that your critical business data is safe and secure. We are committed to providing our clients with the highest quality service and support, and we are always here to help you with your backup needs.
The latest Xero outage, 31 July 2024, serves as a stark reminder that even the most robust SaaS platforms can be vulnerable to counterparty risk. By understanding and proactively managing these risks, both SaaS providers and their users can better prepare for and mitigate the potential impact of such incidents.
The Xero outage, directly linked to an issue with AWS, vividly illustrates the concept of counterparty risk, also known as supply chain risk, in the context of cloud-based services.
The recent CrowdStrike incident highlights again, the inherent fragility within the SaaS sector, particularly for platforms that rely heavily on their supply chain for maintaining uninterrupted service. While the CrowdStrike incident wasn’t a malicious cyberattack, it exposed a critical single point of failure: the operating system (OS) upon which many SaaS platforms, including Xero, depend. Xero did not escape unscathed during the Crowdstrike incident.
Having comprehensive plans in place for data backup, failover, and recovery can minimise downtime and data loss in case of a major incident.
In essence, counterparty risk refers to the potential for one party in a business relationship to fail to meet its obligations, thereby negatively impacting the other party. In Xero’s case, AWS acts as a critical counterparty (or supplier) within Xero’s supply chain, providing the essential cloud infrastructure that underpins Xero’s service delivery.
How the Xero Outage Exemplifies Counterparty Risk:
In the realm of SaaS (Software-as-a-Service) platforms, a silent storm brews beneath the surface of seamless functionality. The very convenience of accessing software and data from anywhere, anytime, masks an unsettling reality – the inherent vulnerability of SaaS providers to the whims of third-party infrastructure giants like AWS and Azure.
The regular outages of these behemoths, such as the Crowdstrike incident and the AWS debacle that crippled Xero’s entire suite of products, serve as stark reminders of this precarious dependency.
Cin7, like Xero, finds itself in the same boat, entrusting its operations to AWS and Azure (verified through company statements and news reports). This shared reliance on external infrastructure exposes a chilling truth: even the most robust SaaS platforms remain at the mercy of events beyond their control.
While both providers explicitly state in their terms of use that end-users should back up their data, the harsh reality is that many fail to heed this warning. The false sense of security fostered by the cloud lulls users into complacency, leaving them exposed to the devastating consequences of outages, cyberattacks, and data breaches.
Recent attacks on SaaS providers, such as the ransomware attack on Kaseya, which offers IT management and security software for managed service providers (MSPs) and small to medium-sized businesses (SMBs) , impacted thousands of businesses, underscore the very real threat of data loss and disruption.
Microsoft’s recent security incidents are a reminder that even industry giants are not immune to cyber threats.
This compelling introduction highlights the urgent need for end-users to take proactive measures to protect their valuable data. Regular backups, regardless of provider assurances, become an indispensable safeguard against the hidden risks lurking within the SaaS landscape. In a world where downtime translates to lost revenue, productivity, and reputation, the onus falls squarely on users to fortify their digital fortresses.
July 31, 2024, Xero was experiencing a major outage, leaving users globally unable to log in and navigate the platform. Xero identified that the issue impacting customers was related to an issue with AWS, a third-party provider (counterparty) to whom Xero’s platform relies upon. The AWS team investigated the matter with urgency – Xero have no control over their AWS hosted service
July 19, 2024, A faulty CrowdStrike update triggered a global IT disruption, causing the infamous “Blue Screen of Death” on millions of Windows devices. This impacted various sectors, including SaaS providers like Xero and Cin7. The outage disrupted their services, causing potential delays in data processing, invoicing, and inventory management for their customers worldwide, highlighting the interconnectedness and vulnerability of the digital ecosystem.
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