Cloud application security guide

The shift to the cloud is accelerating, and the numbers don't lie. Gartner forecasts that spending on public cloud services will leap 21.5% from 2024 to 2025, and by 2027, a whopping 90% of organizations are expected to have adopted hybrid cloud strategies.

As we embrace these cloud-based applications for everything we do, a crucial question arises: how do we protect it all? This is the core challenge of cloud application security, and getting it right is non-negotiable.

A single unsecured application can be the weak link that leads to a major data breach, making strong data protection a top priority. Fortunately, there are many ways to strengthen cloud app security and make application usage safe. We'll walk you through everything you need to know, from understanding the biggest cloud application security threats to implementing the best strategies for locking down your critical assets.

What is cloud application security?

Cloud application security is a set of tools, policies, and procedures that protect information passing across a cloud environment. The aim is to:

• Create a secure environment and protect data on all cloud apps
• Manage cyber threats
• Prevent unauthorized access to cloud resources
• Ensure the availability of critical assets

Cloud application security covers popular platforms such as Amazon Web Services (AWS), Google Cloud, and Microsoft Azure, with identity managed by services like Microsoft Entra ID. It also extends to individual SaaS apps hosted on cloud platforms. Collaboration tools like Slack or Zoom require specific security solutions. The same applies to cloud-hosted business tools like Salesforce or data storage services.

Cloud application security threats

The first step in securing a cloud environment is understanding critical security threats. Here are some of the most important cloud application security risks to factor into security planning.

• Misconfigured cloud apps – Gartner has noted that through 2025, 99% of cloud security failures will be the customer’s responsibility. Cloud deployments are complex, and teams must manage a range of application configurations. Every SaaS app requires access controls and processes to guard against shadow IT. Getting app configurations right is essential.
• Account hijacking – Malicious attackers can hijack user accounts and infiltrate cloud-hosted apps. Account hijacking tends to result from poor password hygiene and credential exposure. Security teams must enforce strong password policies. Password managers make life easier for workers. Encryption keeps credentials private and secure.
• Phishing – Phishers persuade employees to provide access credentials. They may also entice users to click links that harvest private data. Security teams must train all staff and enforce responsible behavior.
• Automated attacks – Attackers may find vulnerabilities via scanning agents. Botnets target poorly secured cloud apps, taking down cloud resources via denial-of-service attacks.
• Buggy APIs – APIs connect cloud applications and users. They need to be secure at all times. The problem with APIs is that they are both feature and data-rich. One compromised feature could expose data inside the app for outsiders to harvest.
• Physical security – Cloud applications rest on physical hardware somewhere in the world. Cloud providers must protect hardware against theft and take measures to handle fire, extreme weather, and other sources of damage.
• Inadvertent data loss – Staff can accidentally delete data, change it irreversibly, or lose encryption keys. This places intact data out of reach. A comprehensive data backup strategy is essential.

Cloud application security best practices

Failure to deal with cloud security vulnerabilities can have serious consequences. Let’s explore some app security best practices to lock down critical assets.

1. Understand the threat surface

Robust cloud application security rests upon strong visibility. Total awareness of cloud workloads and device connections puts you in a good position to apply controls.

Create and maintain inventories of connected cloud apps. This inventory will form the basis for security measures later on. Trim the inventory regularly to remove any unneeded cloud apps. Try to keep the threat surface as small as possible.

2. Deploy identity and access management (IAM)

Every cloud application is vulnerable to credential theft. Enterprises must establish complete control over who accesses cloud apps. They must also define and manage user privileges.

Cloud-native IAM tools manage access by authenticating log-in requests. They compare login credentials with secure directories and ensure that only authentic users gain access. Multi-Factor Authentication (MFA) adds another set of time-limited and unique credentials.

After admitting users, IAM systems authorize their privileges. Privileges allow users to carry out core workloads and restrict access to other applications.

Developers can access the tools they need. Sales teams can access CRM databases and marketing assets. Every role is limited, but workers are free to carry out their duties.

Additionally, IAM applies Single Sign-On. SSO lets users authenticate once via an IdP and then access multiple apps, but each application and endpoint still needs its own security controls.

More advanced IAM tools actively check for unsafe credential storage. They alert security teams if staff store credentials digitally or share information insecurely. All these features enhance the safety of cloud applications.

3. Create a cloud application security strategy

Companies need cloud application security. This strategy should specify how to access cloud apps safely and how user identities are verified. Users should know what they need to do and what threat mitigation controls are in place.

Looking beyond security policies, security teams should have a clear plan to secure data on all cloud applications. This can be visualized on three levels to cover vulnerabilities:

• Platforms. Cloud infrastructure underlying can include exposed data files. If companies develop cloud infrastructure in-house, security staff must focus on correctly configuring platforms. Encrypting all data is advisable.
• Databases. Secure cloud databases with appropriate encryption and access controls. Assess the right authorization levels for every role. Workers should only have access to relevant data. All other information should be out of reach.
• Applications. Secure the attack surface by extending IAM to all applications. Check API configurations, and use any threat detection systems provided by app developers. Set up automated notifications about unusual access requests or network traffic patterns.

4. Use automated security testing

Testing is a critical aspect of cloud app security. It may be too late to detect and mitigate vulnerabilities when cloud apps go live. Instead, companies should switch from standard DevOps to DevSecOps (development, security, and operations).

DevSecOps includes automated testing systems that assess code during the development phase. Testing during the CI/CD process uncovers weaknesses before hackers have a chance to exploit them.

Testing should extend to open-source code libraries used to build cloud applications. It should also cover data containers and user-provisioned cloud deployments. Every part of the cloud environment is vulnerable.

Testing does not end after app provisioning. Enterprises must continuously test IAM systems to ensure the integrity of IAM processes. They should also test encryption tools. Keys may be exposed or out of date, creating inherent weaknesses.

Automation is vital. You can automate development and post-deployment testing to reduce security workloads and ensure regular results.

5. Focus on password hygiene

Companies need to drive home the importance of password hygiene. Access controls and encryption mean little if employees expose passwords to outsiders.

Stolen or hacked credentials are a major security weakness. Focus password hygiene on long passwords, breach-list checks, and MFA; avoid routine forced changes unless there’s evidence of compromise.

SSO helps make this task more manageable as workers handle fewer credentials. Cloud-native password managers also automate password strengthening and password replacement.

6. Employ comprehensive encryption strategies

Exposed data is an easy target for hackers inside cloud perimeters. That’s why encryption is a critical component of cloud app security.

Encryption scrambles data, making it unreadable to anyone without specific encryption keys. There are three main ways to encrypt data on the cloud:

• Encrypting data at rest secures information stored by enterprises. This could include HR information or financial records. Companies can encrypt files, databases, and even cloud platforms. With more layers covered, hackers will struggle to access confidential data.
• Encrypting data in transit makes collaboration safer. Data constantly moves throughout cloud environments. Information passes from on-premises networks and remote devices to the cloud. Encrypting data as it moves protects against interception attacks.
• Encrypting data in use makes using applications safer. Employees may retain workloads in an open state for long periods. Protect data in use with confidential computing (trusted execution environments and memory encryption).

7. Active threat detection

Monitor cloud applications in real-time to detect threats and protect data. User behavior patterns can provide clues about ongoing attacks. Access requests for sensitive files can generate automated alerts.

Security teams can use activity monitoring data to fine-tune privileges management. Monitoring data is also a valuable compliance tool, providing evidence of continuous security management.

8. Regularly patch software and apply system updates

Cloud applications require timely and frequent updates to keep pace with evolving threats. Codebase changes and new services constantly present new vulnerabilities and exploits for hackers to target. Automated scheduled updates neutralize weak spots as they emerge.

9. Proactive privacy and compliance policies

Data privacy is a central part of compliance strategies. Enterprises operating in the cloud face major regulatory challenges, including GDPR, PCI-DSS, or HIPAA compliance. Secure cloud apps to meet relevant compliance standards.

Security teams should build app security audits into their schedule. Check that apps and security controls meet regulatory guidelines. Include the development environment used to provision cloud applications and open-source libraries used by DevOps teams.

Use regulatory requirements as a framework to develop effective controls. For example, PCI DSS requires strong cryptography for cardholder data in transit and specific controls for stored cardholder data. HIPAA requires access controls and risk-based safeguards; encryption is addressable and should be implemented where appropriate. NIS2 imposes EU-wide risk-management and incident-reporting obligations on essential and important entities across 18 sectors. SOC 2 reports are crucial for evaluating the security and compliance of cloud service providers across different industries.

Compliance strategies aren’t static. Enterprises should take a proactive approach when securing sensitive data, using regulatory frameworks as guides.

How businesses approach cloud-based application security

When it comes to protecting cloud-based applications, traditional security tools often have blind spots and just can't keep up. The cloud needs a modern security playbook. This is where specialized cloud security solutions designed to work directly with the cloud come in.

A great starting point for many businesses is a CASB (Cloud Access Security Broker). Think of it as a security checkpoint that sits between your employees and your cloud apps (like Google Workspace, Salesforce, or Slack). It enforces your security policies, spots suspicious activity, and is a key tool for data loss prevention, all without getting in the way of work. It’s a central hub for visibility and control.

But a CASB is just one piece of the cloud security puzzle. As you explore the landscape, you'll likely come across other important players:

• CSPM (Cloud Security Posture Management): These tools act like an automated security auditor for your entire cloud environment provided by your cloud service provider (like AWS or Microsoft Azure). They continuously scan for misconfigurations—like a publicly exposed storage bucket—and help you fix them before they become a problem.
• CWPP (Cloud Workload Protection Platform): This type of tool focuses specifically on protecting the actual “workloads”—the virtual servers, containers, and applications running in the cloud—from malware and other direct threats.
• CNAPP (Cloud-Native Application Protection Platform): This is a newer, all-in-one approach that combines the features of a CSPM, a CWPP, and more into a single platform. It aims to give you a complete picture of security, from the underlying infrastructure to the applications running on top.

Bringing these elements together, along with foundational practices like Identity and Access Management (IAM) and data encryption, creates a powerful, layered defense for your cloud applications.

The shared security responsibility model

Before implementing cloud application security best practices, bring the shared responsibility model into the picture.

In cloud environments, cloud providers and users share responsibility for security. Responsibility levels depend upon your cloud computing setup and your choice of a cloud service provider.

Generally speaking, cloud providers like AWS, Azure, and Google Cloud assume responsibility for protecting:

• The infrastructure stack (including hosts and data centers)
• Software required to host cloud applications and data
• Networking infrastructure connecting cloud apps

Clients must handle everything else. Responsibilities vary according to whether you choose IaaaS, PaaS, or SaaS deployments.

• IaaS – Infrastructure-as-a-service users have the widest responsibilities. Customers secure the guest OS, middleware, apps, and data, while the provider secures the host OS, hypervisor, and physical infrastructure.
• PaaS – the provider secures the infrastructure, OS, and platform runtime; customers secure apps, identities, data, and configurations.
• SaaS – Software-as-a-service users are responsible for data stored or processed by cloud applications. The main security risks relating to SaaS applications are access management and encrypting sensitive data.

Cloud application security assessment checklist

Before we finish, here is a quick checklist of critical cloud application security measures:

1. Create robust security policies covering all cloud apps. Take into account private, public and multi-cloud environments. Consider how to secure remote workers. Include processes to onboard and off-board employees. And put plans in place to detect and mitigate data breaches.

2. Implement IAM for the cloud. Ensure users have the correct privileges. Keep in mind Zero Trust concepts and the principle of least privilege. Combine cloud apps with SSO and add an extra protective screen with MFA.

3. Train staff in cloud security awareness. Make sure staff is aware of data storage and password policies. Train workers in secure cloud application usage and ways to share data safely. Focus on the threat posed by phishing attacks.

4. Deploy cloud security controls. Protect endpoints with encryption and CASBs. Prefer no public exposure of SSH/RDP/DB endpoints; use JIT access, private endpoints, and tight firewall/Security Group rules or session-manager/bastion patterns.

5. Check application configurations. Poorly configured cloud apps are a critical security threat. Enforce API protection policies to configure apps properly. Focus on potential malware injection sites to neutralize common external attacks.

6. Put backups in place. Store sensitive data and workloads on separate cloud servers. Backup server files to ensure smooth disaster recovery. Carry out regular restoration tests to make sure data is recoverable.

7. Update software when needed. Use automated patch management to update cloud applications and deliver patches to all worker devices. Test updates when possible before deployment.

8. Track threats and log incidents. Use automated threat scanning and activity logging. Cloud logging tools can organize and analyze complex data. Use this data to improve your security posture and provide evidence of compliance.

9. Apply data security policies. Put in place policies to encrypt data at rest, in transit, and in use. Check encryption keys are used safely, preventing exposure to external attackers.

How can NordLayer help?

Follow our cloud application security checklist and best practices to secure cloud environments. With the correct controls, enterprises can take advantage of cloud computing. Sound app security measures reduce costs and cut data loss risks.

NordLayer offers cloud security solutions for all digital businesses. Install IAM, MFA, and SSO to control cloud access and reduce the attack surface. Create encrypted connections between remote workers and cloud portals. And integrate client-side security controls with tools provided by CSPs.

Find a route to ironclad cloud security. Get in touch and discuss your security options today.