DLP 101: What is data leakage protection, and why do you need it?

Imagine running a business that manages sensitive information, like financial or health data. Now, picture what happens if that data leaks through an unsecured email, a shared file in the cloud, or a hacked account. The result? Serious fines and damaged customer trust. This kind of data leak can happen to anyone, but you can prevent it with the right tools.

What is data leakage protection?

Data leakage protection tools (a.k.a. DLP tools) stop sensitive information from leaving your organization. They set rules for how your data gets shared, used, and stored. For example, a DLP tool might automatically block credit card numbers from being shared on Slack in order to meet PCI-DSS compliance.

In short, DLP tools give you better control over your data to prevent leaks, breaches, and noncompliance issues.

Why do you need data leakage protection? 

Data leaks lead to serious consequences. One breach could cost your business millions—or $4.88 million, to be exact. But DLP tools can help you to:

• Stop data leaks: Prevent unauthorized access to sensitive information and reduce the risk of exposure.
• Meet regulatory requirements: Comply with laws like GDPR and HIPAA by securing personal data like PII and PHI.
• Protect intellectual property: Safeguard critical business info, like trade secrets and proprietary tech.
• Secure customer data: Keep personal customer information from being exposed.
• Strengthen security: Educate employees on security policies to reduce human error and improve data protection.

What’s the difference between data leakage and data loss?

Although people often use the terms “data leakage” and “data loss” interchangeably, they refer to different scenarios. Here’s how you can tell the difference:

• Data leakage occurs when sensitive information leaves an organization unintentionally. For example, an employee might send an email with confidential details to the wrong person, or data could be exposed in a misconfigured cloud storage bucket. Data leakage usually happens without malicious intent, but can lead to serious security issues, regulatory violations, and reputational damage.
• Data loss refers to the destruction or corruption of data, making it inaccessible. This could happen due to hardware failure, cyberattacks like ransomware, or accidental deletion. 

The key difference? Data leakage is about sensitive information leaving your organization, while data loss involves the permanent unavailability of that data.

What types of data leakage protection products exist?

Data leakage protection products come in different forms, each targeting specific data environments:

• Network DLP monitors data as it moves across your network. It tracks and blocks any unauthorized sharing of sensitive information.
• Endpoint DLP focuses on individual devices like laptops or phones. It controls how users can access or share data from endpoint devices. 
• Cloud DLP secures data stored in platforms like Google Drive or Microsoft 365 by applying detection rules and DLP policies across cloud apps.

How do you choose the best data leakage protection solution?

When choosing a DLP product, focus on what fits your business. Here’s what you should consider:

• Scalability: Does the solution grow as your business expands, covering more users or applications?
• Integration: Can the DLP solution work seamlessly with your existing platforms, like email or cloud storage services?
• Ease of use: A good DLP tool should have a simple interface, allowing for easy policy management and clear reporting.
• Support: Choose vendors with strong customer support to help you stay ahead of emerging threats.

What are the best data leakage protection products in 2024?

Here’s a look at the top DLP products on the market today.

Nightfall AI

Nightfall's AI-driven platform protects sensitive data across SaaS, GenAI apps, email, and endpoints. Its industry-leading detection engine prevents leaks, automates responses, and secures AI usage—all in real time. Whether you want to prevent secret sprawl or stop data exfiltration, Nightfall covers it all with 2x the accuracy and 4x fewer false positives than legacy DLP solutions. Sign up for a custom demo today.

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Microsoft Purview

Microsoft’s DLP solution integrates directly with Office 365 and Azure, making it easy to secure information in the Microsoft ecosystem.

Google Cloud DLP

Google’s DLP focuses on cloud environments, with tools for finding, classifying, and protecting sensitive data within Google Cloud.

Netskope

Netskope offers deep visibility and control for cloud and web environments. It protects data with granular policies, but some users struggle with setting it up.

Code42

Known for endpoint protection, Code42 focuses on insider threat detection. However, it may lack full coverage for cloud and SaaS environments compared to other products.

How does AI improve data leakage protection?

AI enhances DLP solutions by making them smarter and faster. Traditional DLP systems rely on rules to spot sensitive data. AI, however, can analyze patterns and provide better detection and faster response.

Here’s how AI enhances data leakage protection:

• Improved detection: AI finds sensitive data across structured and unstructured environments, even when the data isn’t obvious.
• Context awareness: AI-driven systems understand the context behind user actions, offering more accurate alerts and insights.
• Quicker responses: AI automates the response process, allowing your team to react to potential threats instantly.
• Continuous learning: AI-based DLP solutions improve over time, learning from incidents to better anticipate threats.

How does Nightfall use AI for data leakage protection?

Nightfall applies AI and machine learning to protect sensitive data in real time. Its key features include:

• Real-time data classification: Nightfall automatically identifies sensitive data—like credit card numbers or personal information—across over 50 file types like messages, images, PDFS, and more.
• Advanced insider threat detection: Nightfall monitors user activity and detects unusual behavior that could signal a leak, such as unusual download activities.
• Seamless integration: Nightfall connects with all business-critical SaaS and AI apps like Slack, Google Drive, Gmail, and ChatGPT, as well as custom apps.
• Automated response: Nightfall takes immediate action when it detects a potential leak, automating the investigation and remediation process for a stronger security posture.

What’s the future of data leakage protection?

As businesses continue to move to the cloud, DLP products will evolve to address new risks. AI and machine learning will play an even more important role in delivering real-time protection across all essential platforms.

Nightfall leads the way in this innovation. Its AI-powered DLP platform not only monitors data, but also automates protection across SaaS apps, AI apps, email, and endpoints.

Want to see a cutting-edge DLP product in action? Book a demo with Nightfall today to learn how you can secure your business from data leaks.