What is a Secure Data Room?

A secure data room (also called a virtual data room) is a software solution to control the sharing of sensitive information with authorized users. It offers a well-organized safe and secure method for businesses to share documents with multiple parties with document tracking along with version control and other advanced features. In the past, businesses have used https://tblogng.com/what-can-be-expected-from-data-room-software-with-secure-data-room/ spreadsheets and email to share due diligence documents. However, these methods are not secure and can lead to liability when they are used by the wrong people.

«Secure data rooms» tend to tout how secure their server is by claiming they use encryption on their hosting server. This is great, but it does not stop hackers from hacking into the server. The majority of browsers have built-in tools for capturing high-quality photos of document pages and there is nothing secure data rooms can do to stop this from occurring.

Certain «secure data rooms» claim that their software blocks sharing by requiring users to sign in using 2FA. However, this is just an extra layer of security that does not address the issue that authorized users are able to copy and paste links to others or forward their own email that contain links. This is why the use of a DRM based secure file sharing solution is a much better option for companies – because it locks the files to devices and locations so they cannot be shared or forwarded and automatically removes access after certain amount of time, if necessary.

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