Cyber Risk in Cloud Computing and Its Implications for Digital Trust

Abstract

Cloud computing has become a foundational technology for digital transformation, enabling scalable infrastructure, flexible service delivery, and cost-efficient innovation. Organizations across sectors increasingly rely on cloud service providers for data storage, application hosting, and computational resources. However, the migration of critical data and services to cloud environments has introduced a distinct set of cyber risks that challenge traditional security assumptions. Issues such as shared responsibility, data privacy, multi-tenancy, and third-party dependencies complicate risk management and directly influence digital trust. This paper examines cyber risk in cloud computing and analyzes its implications for digital trust among consumers, organizations, and stakeholders. It explores key cloud-specific risks, governance challenges, and trust dynamics, while highlighting how effective risk management practices can enhance confidence in cloud-based systems. Through structured analysis, comparative tables, and conceptual two-dimensional figures, the study argues that digital trust in cloud computing is inseparable from transparent risk governance, shared accountability, and continuous assurance mechanisms.

KEYWORDS: Cloud Computing, Cyber Risk, Digital Trust, Data Security, Shared Responsibility