Industries with regulations like HIPAA are mostly concerned about the Corporate Data security. These industries steeply fines for negligently handling personal data.
Allowing employees to keep such data on their mobile device is more risky. These issues can be: malwares, lost/stolen devices, etc.
To avoid such conditions, Google has introduced an extra step to ensure that devices are compliant with Corporate-Defined Security Policy. This policy will now restrict apps determined to be non-essential (like Chrome or Gmail) from running.
Until the device is returned to compliance, these apps won’t work.
Understand it this way:
“A phone could become non-compliant in a newly implemented minimum length for passwords. If you move from a minimum of 6 to 8 characters, previously accepting 6 to 7 character password will need to be changed in order to continue using the full abilities of the phone. Other factors, like being rooted can result in non-compliance. In other words, you will need to make sure your phone is properly secured before you can get back to not doing real work, like watching random YouTube videos. Otherwise, apps won’t work.”
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