Wikipedia defines SAS70 as:

Statement on Auditing Standards No. 70:

Service Organizations, commonly abbreviated as SAS 70, is an auditing statement issued by the Auditing Standards Board of the American Institute of Certified Public Accountants (AICPA), officially titled “Reports on the Processing of Transactions by Service Organizations”. SAS 70 defines the professional standards used by a service auditor to assess the internal controls of a service organization and issue a service auditor’s report. Service organizations are typically entities that provide outsourcing services that impact the control environment of their customers. Examples of service organizations are insurance and medical claims processors, trust companies, hosted data centers, application service providers (ASPs), managed security providers, credit processing organizations and clearinghouses.

There are two types of service auditor reports

  • A Type I service auditor’s report includes the service auditor's opinion on the fairness of the presentation of the service organization's description of controls that had been placed in operation and the suitability of the design of the controls to achieve the specified control objectives.
  • A Type II service auditor’s report includes the information contained in a Type I service auditor's report and also includes the service auditor's opinion on whether the specific controls were operating effectively during the period under review.

 
SAS70 Collocation and Managed Services
History:

Netsolus recognized that as their message of the importance of managed solutions and business continuity reached into the publicly traded company space they would be asked to provide more and more proof of their ability to follow and achieve strong complience certifications.

To this end Netsolus received their Type I certification on Dec 31st 2007. Netsolus is now working toward achieving their Type II certification to further show their commitment to a strong sense of ethics and professionalism.

Competative Advantage:

Netsolus sees our SAS70 achievement as an indication of our professionalism. For existing and potential clients that don't need the SAS70 certification Netsolus' certification achievement places us above the crowd of other managed service firms that lack the professional foundation to place their operations under the microscope of outside auditors.

For more information about our certification acheivements and plans visit our certifications page.