Security expert Alastair MacWillson told BankInfoSecurity's website that too many organizations overlook regulatory compliance when working with cloud computing vendors. He told the website that all regulatory issues are amplified in the cloud, so people need to work with caution.

MacWillson, who works with Accenture Technology Consulting, said that organizations overlook compliance with mandates such as Payment Card Industry Data Security Standard and the Health Insurance Portability and Accountability Act. He told the news source that finding the right cloud provider is key, because without that, security gaps are inevitable.

"Ultimately, the cloud provider follows the same security procedures and practices as their customer," MacWillson says. "However, some providers do fall short, and then customer risks are increased."

Even so, he said most cloud provider's security practices are more rigorous than their customer's would be.

According to a Brookings report, regulators can play an important role in providing guidance and potentially updating regulations to help businesses better benefit from using cloud computing in their business.