Cloud storage is a structure of online servers distributed over a network, usually in the form of an online service, that provides users with a place to store their data.
Conducting due diligence in virtual storage (they are called data rooms) is most convenient – all documents are online, and everyone who needs to have access to them.
Why do we need cloud storage in Due Diligence?
Virtual data rooms allow you to upload much documentation necessary for business verification. Also, the administrator can provide different participants in the process with access to certain documents and determine the depth of this access. For example, someone can only watch files, and someone can write comments or even edit.
Types of VDR
According to their mechanism, virtual data rooms for due diligence can be of three types.
The entire amount of information is divided into equal parts – blocks with identifiers. The main advantage of such cloud storage is the separation of client environments. Thanks to this, quick separate access opens up to each of them. But you need to pay for the entire allocated amount of memory, even if it is not occupied by anything.
Data is stored in a hierarchical system. This means that the information is represented by files combined into folders, subdirectories, and directories. The main advantage is the intuitive interface and ease of use. The main drawback is poor scalability: as the amount of data increases, the hierarchy becomes very complicated and slows down the system.
This is a universal and modern way of storing large information arrays in the cloud. Object storage is used for data of any kind: media content, programs, accounting / statistical reporting, etc. The main disadvantage is that the user cannot simply take and move the file to the desired folder. To download information, you need to use a special programming interface – API (it allows two independent software components to exchange data).
How cloud storage works
The principle of operation of cloud data storage is as follows: a program is installed on a laptop, PC, or any other gadget into which information is transferred from the device. Then the cloud will independently track changes in them and automatically upload new files. You can access all data from any gadget by linking the storage with all devices.
Storage selection criteria
Cloud storage size. If you need to store a small number of photos and light files such as Word, or Excel, then 10 GB may be enough. But if you need to copy large files to the cloud, it’s better to immediately choose a plan that offers large/maximum storage.
Possibility to expand the storage capacity. A particularly important criterion for users who plan to store large amounts of data. If so, it is better to choose a service where you can change the tariff at any time.
Availability of software for computers and smartphones. The cloud storage service must have an application and program for installation and synchronization.
Existing restrictions. Before choosing, it is important to know all the available limits, for example, the amount of memory and the size of one downloaded file.