The Federal Housing Finance Agency’s office of the inspector general has issued a report outlining the cloud migration efforts of the government’s two housing loan programs, Freddie Mac and Fannie Mae, Nextgov reported Friday.
Freddie Mac started the Infrastructure Transformation Program in February 2019 and the initiative resulted in the migration of 70 percent of its applications to a commercial cloud. The remaining 30 percent of legacy apps will remain on government-owned data centers as Freddie Mac officials explore cloud-based replacements for such apps.
Fannie Mae also kicked off its own cloud migration effort. The program reported that about 25 percent of its apps had been transitioned to the commercial cloud and seeks to reach the target of 36 percent by the end of the year.
FHFA officials mentioned the cloud’s potential benefits to the two programs, including improvements to disaster recovery, economies of scale, proprietary functions and elastic response.
The report also identified several risks posed by the cloud migration efforts. Those include business resiliency, information security and third-party risks as well as inadequate technical personnel and concentration risk with a cloud service provider.