  The development of mobile cloud computing has brought many benefits to mobile
users as well as cloud service providers. However, mobile cloud computing is
facing some challenges, especially security-related problems due to the growing
number of cyberattacks which can cause serious losses. In this paper, we
propose a dynamic framework together with advanced risk management strategies
to minimize losses caused by cyberattacks to a cloud service provider. In
particular, this framework allows the cloud service provider to select
appropriate security solutions, e.g., security software/hardware implementation
and insurance policies, to deal with different types of attacks. Furthermore,
the stochastic programming approach is adopted to minimize the expected total
loss for the cloud service provider under its financial capability and
uncertainty of attacks and their potential losses. Through numerical
evaluation, we show that our approach is an effective tool in not only dealing
with cyberattacks under uncertainty, but also minimizing the total loss for the
cloud service provider given its available budget.
