Unlocking the Potential: Cloud-Based AS2 Is the Future of Global Compliance & Secure B2B Communications

We are well into the 2nd decade of AS2 (Applicability Statement 2) EDI-INT. The roll-out in retail in the early 2000s brought with it a series of notable implementations ranging from Home Depot, Target, & Ace Hardware, which jump-started the adoption of this secure communications protocol for IPaaS solutions needed by large enterprises and independent software vendors.  Since then, AS2 stands as the de facto protocol for secure & reliable communication between businesses.

Initially, AS2 implementations were confined within the boundaries of an enterprise and operated on-premise, as that was what the majority of vendors in the space produced and what organizations wanted as they entered a new era of B2B data exchange.

After implementing & operating on-premise AS2 software, many enterprises started analyzing the true benefits and costs of AS2.  This analysis for many required them to consider SaaS or cloud offerings. Fast forward to 2024, cloud-based AS2 is used to manage most peer-to-peer interactions via service providers. Surprisingly to some, the core value of AS2 is found to be security and cost-reduction, as there is a significant operational burden in just managing AS2 certificates alone.

5 Reasons Why AS2-in-the-Cloud Wins

Here are 5 reasons AS2-in-the-cloud emerges as the clear winner, unlocking unparalleled advantages for IPaaS implementations instead of investing in the software and infrastructure to start up secure communications on site.

  1. Scalability: Cloud-based AS2 solutions offer unmatched scalability and flexibility. Many companies use AS2 on-premise but have a hybrid approach with large volume connections being direct while outsourcing AS2 operations for the remainder of trading partners & vendors to VANs.
  2. Cost Efficiency: Operating AS2 software entails substantial upfront investments in hardware, software licenses, & maintenance. In contrast, cloud-based AS2 solutions follow a subscription-based model, eliminating the need for capital expenditure.
  3. Enhanced Security: Security is paramount in data exchange, & cloud-based AS2 solutions offer robust security features surpassing on-premise alternatives.
  4. Global Reach and Accessibility: Businesses operate across geographical boundaries in an increasingly interconnected world, necessitating seamless communication with partners worldwide.
  5. Agility: Cloud technology empowers businesses with agility & innovation capabilities unmatched by on-premise software solutions. ECGrid continuously innovates, incorporating advanced features, integrations, & enhancements to meet evolving business requirements & industry standards to support AS2 initiatives.

In the past, companies running their own AS2 software have served as a cornerstone for B2B data interchange. The paradigm has now shifted towards cloud-based solutions, not just for EDI and data exchange, but all offerings due to the unparalleled advantages in scalability, cost efficiency, security, global reach, agility, and disaster recovery. By embracing AS2 in the cloud, businesses unlock the potential for seamless, secure, and efficient data exchange, driving innovation, and gaining a competitive edge in today’s digital landscape.

Would you like more information on AS2-EDI-INT?  Here is a previous series that can provide the details around best practices for AS2:

Jon Gatrell, COO, Loren Data Corp.

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The team of experts at Loren Data Corp. is committed to assisting organizations to achieve a frictionless supply chain and gain greater control of electronic communications with their business partners. Our team is available for free consultations to discuss your specific needs. .


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