Data Security and Privacy: Storing sensitive data on cloud servers raises concerns about data security and privacy. Unauthorized access, data breaches, and regulatory compliance issues are significant risks. Additionally, the shared infrastructure in virtualized environments may expose sensitive data to other virtual instances.
Service Availability and Reliability: Dependence on cloud service providers for critical business operations means any downtime or service disruptions can have severe consequences. Factors such as network outages, hardware failures, and cyber attacks can impact the availability and reliability of cloud services.