The proof of concept, developed in partnership with Intel, VMware and Archer Technologies, which was recently acquired by EMC, was unveiled at the RSA Conference 2010.
The companies claim that the proof of concept demonstrates that internal and external clouds can be visible, measurable and reportable.
The concept is based on a hardware root of trust, secure virtualisation environment, security information and event management, and GRC management software.
The combination is aimed at providing unprecedented visibility into actual conditions within the bottom-most layers of the cloud, the companies said.
Computer Weekly's Warwick Ashford spoke to Coviello in San Francisco and asked him to explain what the proof of concept means, how it works and why it is an important milestone in cloud computing.
Coviello believes the proof of concept has the makings of a de facto standard for IT suppliers to work together to create a trusted cloud infrastructure.