With wide deployment(s) of flash drives being used in various environments (secured or otherwise), the issue of data and information security remains important. The use of biometrics and encryption is becoming the norm with the need for increased security for data; on-the-fly encryption systems are particularly useful in this regard, as they can transparently encrypt large amounts of data. In some cases a secure USB drive may use a hardware-based encryption mechanism that uses a hardware module instead of software for strongly encrypting data. IEEE 1667 is an attempt to create a generic authentication platform for USB drives. It is supported in Windows 7 and Windows Vista (Service Pack 2 with a hotfix).[47]
Flash memory cards, e.g., Secure Digital cards, are available in various formats and capacities, and are used by many consumer devices. However, while virtually all PCs have USB ports, allowing the use of USB flash drives, memory card readers are not commonly supplied as standard equipment (particularly with desktop computers). Although inexpensive card readers are available that read many common formats, this results in two pieces of portable equipment (card plus reader) rather than one.
Many people rely exclusively on the cloud for storing their data; it’s convenient and you can get a lot of storage for free. While storing data online certainly has its advantages, it also has serious drawbacks. The most obvious is security. Anything that is kept online is susceptible to security breaches, and news stories about many of the largest corporations suffering hacks only confirms that our online lives are not as safe as we may like.
As highly portable media, USB flash drives are easily lost or stolen. All USB flash drives can have their contents encrypted using third-party disk encryption software, which can often be run directly from the USB drive without installation (for example, FreeOTFE), although some, such as BitLocker, require the user to have administrative rights on every computer it is run on.
USB flash drives have been integrated into other commonly carried items, such as watches, pens, and even the Swiss Army Knife; others have been fitted with novelty cases such as toy cars or Lego bricks. USB flash drives with images of dragons, cats or aliens are very popular in Asia.[36] The small size, robustness and cheapness of USB flash drives make them an increasingly popular peripheral for case modding.
Some manufacturers deploy physical authentication tokens in the form of a flash drive. These are used to control access to a sensitive system by containing encryption keys or, more commonly, communicating with security software on the target machine. The system is designed so the target machine will not operate except when the flash drive device is plugged into it. Some of these "PC lock" devices also function as normal flash drives when plugged into other machines.
When used in the same manner as external rotating drives (hard drives, optical drives, or floppy drives), i.e. in ignorance of their technology, USB drives' failure is more likely to be sudden: while rotating drives can fail instantaneously, they more frequently give some indication (noises, slowness) that they are about to fail, often with enough advance warning that data can be removed before total failure. USB drives give little or no advance warning of failure. Furthermore, when internal wear-leveling is applied to prolong life of the flash drive, once failure of even part of the memory occurs it can be difficult or impossible to use the remainder of the drive, which differs from magnetic media, where bad sectors can be marked permanently not to be used.[74]
Installers of some operating systems can be stored to a flash drive instead of a CD or DVD, including various Linux distributions, Windows 7 and newer versions, and macOS. In particular, Mac OS X 10.7 is distributed only online, through the Mac App Store, or on flash drives; for a MacBook Air with Boot Camp and no external optical drive, a flash drive can be used to run installation of Windows or Linux.
A drawback to the small size of flash drives is that they are easily misplaced or otherwise lost. This is a particular problem if they contain sensitive data (see data security). As a consequence, some manufacturers have added encryption hardware to their drives, although software encryption systems which can be used in conjunction with any mass storage medium will achieve the same result. Most drives can be attached to keychains or lanyards. The USB plug is usually retractable or fitted with a removable protective cap.