In CEH v13 Cloud Computing, multi-tenancy is a core cloud characteristic-but also a major risk if isolation controls are weak. When one tenant's actions affect others, the issue is almost always insufficient isolation between tenants.
Multi-tenant isolation ensures that compute, storage, memory, and network resources are strictly separated.
Without proper isolation, a malicious tenant can:
Exhaust shared resources
Access neighboring virtual machines
Damage the provider's reputation
Encryption and authentication protect data access but do not stop cross-tenant impact. Logging helps detect incidents but does not prevent them.
CEH v13 emphasizes strong logical isolation mechanisms-such as hypervisor hardening and tenant segmentation-as essential cloud security controls. Therefore, Option C is the correct answer.