Online Backup has been introduced as a contingency plan for data recovery however the security of online backup has always been questioned. Many business owners might feel that keeping the data only in their business location is much safer than transferring data via web to an off-site server.
However the strong and military graded encryption algorithms ensures the high security of data storage on off-site servers. It is almost near impossible to crack into the data stored on the servers as long as the security password is kept confidential.
With some of HIPAA compliant backup solutions even recovering that password is impossible to comply with the confidentiality of the stored data.