If Google Apps is Hacked, Los Angeles Gets Paid

By Lawrence Walsh  |  Print this article Print


Desktop-as-a-Service Designed for Any Cloud ? Nutanix Frame

Under the terms of a $7.2 million contract, Los Angeles will receive financial compensation from its solution provider—Computer Science Corp.—if its implementation of Google Apps suffers a security breach.

Google and its partner, Computer Science Corp., has struck a major blow to on-premise email software vendors by scoring a major cloud services deal with, according to press reports.

The one catch: CSC will pay stiff penalties to the city of angels if its implementation of Google Apps suffers a security breach.

Los Angeles plans to migrate 30,000 city workers from its current Novell GroupWare to Google Apps in a deal worth $7.2 million. The Google Apps implementation will be among the largest government deployments undertaken by Google, and will be hosted on Google’s still incomplete 'Government Cloud.’

Google has expressed its intention to seek and earn certification under the governments Federal Information Security Management Act (FISMA), which is a requirement for selling IT goods and services to federal agencies. FISMA certification isn’t applicable to state and local government contracts.

Because Google Government Cloud is incomplete and unproven, the Los Angeles City Council wanted assurances against security breaches. At the urging of consumer privacy advocates, the city wrote a rider on the Google contract that would require "liquidated damages" or financial compensation in the event of a security breach.

According to some reports, liability for security breaches doesn’t fall to Google but rather to CSC, which will implement and manage the Los Angeles contract.

Lawrence Walsh Lawrence Walsh is editor of Baseline magazine, overseeing print and online editorial content and the strategic direction of the publication. He is also a regular columnist for Ziff Davis Enterprise's Channel Insider. Mr. Walsh is well versed in IT technology and issues, and he is an expert in IT security technologies and policies, managed services, business intelligence software and IT reseller channels. An award-winning journalist, Mr. Walsh has served as editor of CMP Technology's VARBusiness and GovernmentVAR magazines, and TechTarget's Information Security magazine. He has written hundreds of articles, analyses and commentaries on the development of reseller businesses, the IT marketplace and managed services, as well as information security policy, strategy and technology. Prior to his magazine career, Mr. Walsh was a newspaper editor and reporter, having held editorial positions at the Boston Globe, MetroWest Daily News, Brockton Enterprise and Community Newspaper Company.