1. Title of presentation

2. Privacy concerns faced by Small Medium Micro Enterprises (“SMME”) in South Africa, in particular the gambling industry (bookmakers)
ZUKO PHANDLE - AUDITOR:
EASTERN CAPE GAMBLING BOARD
21 August 2019, 15th GRAF Conference, Boardwalk Casino, Port Elizabeth, South Africa

3. Contents Purpose Background Problem statement
Cloud challenges or risks
Addressing privacy concerns
Conclusion

4. PURPOSE
To share a proposed model that seeks to address privacy concerns by SMMEs, and ultimately to enhance their trust in cloud computing.
To invite inputs from colleagues within the industry and other relevant stakeholders.

5. BACKGROUND
The gambling industry like other industries, has evolved with time embracing the ever-changing technology. As a result its business models have shifted towards artificial, internet, electronic and or virtual gaming. Gambling industry uses best technologies for data storage & operation.

6. PROBLEM STATEMENT
Privacy in cloud computing remains a serious concern for SMMEs. This is despite much work that has been done and progress made in mitigating the security concerns attached to cloud computing. As a result SMMEs remain reluctant to trust cloud computing. Privacy concerns in cloud computing, in particular in South Africa amongst other factors are attributed to a legislation gap arising from lack of appropriate regulation to address the specific privacy concerns in cloud computing.

7. Capacity Confidentiality Privacy Reliability Storage Security
Segregation
Trust
Cloud challenges
or risks

8. Addressing privacy concerns
Research questions
Privacy concerns
Effects on trust
Legislative framework shortcomings
Underlying theory
Observations
Cloud benefits
Regulation
Proposed model
Addressing privacy concerns

9. Research questions used
How can SMMEs’ privacy concerns be addressed to improve their trust in the cloud?
What are the privacy concerns facing SMMEs?
How does lack of privacy affect trust in cloud computing?
What are the shortcomings of the current legislation with respect to privacy in cloud computing?

10. Privacy Concerns
Data storage
Control of data (Lack)
Multi-tenancy
Integration with internal security
Dependency
Privacy Concerns identified by Tihomir, Darko, and Snjezana (2017)

11. The effects on trust by the lack of privacy in cloud computing
Data Storage
Dependency
TRUST
Privacy Concerns
Lack of control
Multi-tenancy
Integration with internal security
The effects on trust by the lack of privacy in cloud computing

12. Legislative Framework Shortcomings
Lack – Privacy Compliance Framework (cloud)
Legislation gap (POPIA, Gambling, et al)
Delayed implementation of POPIA
Legislative Framework Shortcomings

13. UNDERLYING THEORY applied
Theory of Privacy Calculus:
Is a “rational” theory that seeks to explain the attitudes, beliefs, intentions, and behaviours of IT consumers when the use of the IT includes the cost of a perceived privacy risk.
An increase in perceived privacy risk decreases an individual's intent to disclose information, Keith, Thompson, Hale, Lowry and Greer (2013).

14. Figure 1: Privacy calculus model

15. observations
Lucrative and attractive benefits vs risks (privacy concerns) and ramifications.
Creation or enhancement of conducive environment for SMMEs to invest in cloud - creating a balance between the benefits and concerns.
Legislation gap as a result of lack of appropriate regulation to address the specific privacy concerns in cloud computing.

16. Cloud Computing Benefits
Less Capital Expenditure
Highly Automated
Virtual & Scalable
Accessible & Secure
Unlimited Storage
Back-up & Data Recovery
Lower Cost of Ownership
Document Control
Environmental Friendly
Cloud Computing Benefits

17. Regulation POPI Act? Electronic Communications Act ICT Regulator? FICA
Gambling Act
Regulations
Rules
Conditions of Licence
Regulation

18. Model to enhance the trust of SMMEs in cloud computing
Cloud Privacy Concerns
Regulation
Privacy Calculus
Trust
Cloud Computing Adoption/
Rejection
Cloud
Benefits
Model to enhance the trust of SMMEs in cloud computing

19. conclusion
Cloud provides users with cost effective and accessibility benefits.
Benefits and risks attached in cloud computing are key in deciding on investing thereon. There is a need for a conducive environment for such investment, hence more work must still be done in research.
The privacy concerns in cloud are attributed to the legislative gap.

20. Conclusion CONT..
Regulators must now initiate a process of revising legislation and align it to POPIA as well as the National Integrated ICT Policy White Paper (2016), thus ensuring accountability. A sub-committee must be appointed in this regard.
Regulators must avail resources to procure the required expertise to develop appropriate legislative framework.
Regulators must not avoid but embrace these technological developments also as means to develop the SMMEs.

21. Auditor – Eastern Cape Gambling Board
THANK YOU
Zuko Phandle
Auditor – Eastern Cape Gambling Board /