What are the risks when allowing an external company to host our application?
-- We have got a quotation from a company with a server farm who is offering either a public cloud or managed cloud. They will provide us with a Virtual Server which we will have sole access to and where we can load our application and run it from.
--. The external company owns the servers, many other virtual servers on the one physical box.
--. The physical box is not qualified and we don't know what other companies nor what sites or applications are running on the box.
--. The external company will look after the back ups of our application and they also back up the other virtual servers on the same physcial box.
--. Using a virtual server that we have sole use of provides our application with logical security, but is logical security enough?
It is cheaper to use this managed cloud than creating our own private cloud so is there a risk to using the managed cloud?