Cyberattacks are very common in this age of an ever-expanding worldwide web. Indeed there is are very alarming records of loss due to cyberattacks.
A study titled Cost of Cyber Crime: Insights on the Security Investments That Make A Difference reveal that $11.7 million is the average annualized cost of cybersecurity while there is a 22.7% increase in the cost of cybersecurity in a year. There is also an average of 130 security breaches every year and a 27.4% increase in average annual number of security breaches.
Furthermore, $2.4 million is the average costs of malware attack spending and is listed as the top cost of companies as it takes and average of 50 days to resolve malicious insiders attack and 23 days to resolve ransomware attacks.
Data also reveals that the total cost of cybercrime in many countries is becoming a rampant problem. In the United States, cybercrime cost 21.22 million USD in 2017, 11.5 million USD in Germany, 10.45 million USD in Japan, 8.74 million USD in the United Kingdom. 7.90 million USD in France, 6.73 million USD in Italy, 5.41 million USD in Australia. The highest cost estimate of 77.1 million USD has been recorded to be the expenses of a company due to cyberattacks.
It has also been found that financial services has the highest cost of cybercrime accounting 18.8 million USD, followed by utilities and energy, aerospace and defense, technology and software, healthcare services, industrial and manufacturing, retail, public sector, transportation, consumer products, communication, life science, education, hospitality.
The most common cyberattacks are malware, web-based attacks, denial of services, malicious insiders, malicious code, phishing and social engineering, stolen devices, ransomware and botnets. Expenses have also be incurred due to business disruption, information lost, revenue loss, equipment damages and other costs amounting to millions of US dollars.
A lot of security measures and protocols have been employed to address these problems including the installment of security intelligence systems, advanced identity and access governance, advanced perimeter controls, extensive use of data loss prevention, extensive deployment of encryption technologies, enterprise deployment of governance, risk and compliance, automated policy management, extensive use of cyber analytics and user behavior analytics, automation, orchestration and machine learning.
Successful breaches per company each year has increased by 27 percent from an average of 102 going to 130. This signals the continuous rise of cyberattacks. Ransomware attacks has gone from 13 percent to 27 percent and has thus dramatically doubled in frequency with companies such as WannaCry and Petya exposing thousands of records, disrupting hours-worth of operations of public service and private firms and sectors all over the world.
With the Equifax incident, 143 million of costumer records were exposed dubbed as an especially destructive cybercrime event due to the nature of data involved; the private information of millions of customers.
Information theft remains to be one of the most destructive not to mention expensive consequences of cybercrime today. Data analyzed and gathered from various organizations reveal that information loss accounts for the largest cost component rising to 43 percent in 2017 from 35 percent in 2015.
With these existing threats, it is indeed necessary for organizations to reexamine investment priorities and channel funds on safety and security to avoid the damage and destruction brought about by these cyber-attacks.
The executive summary of the study reveal that many companies and organizations spend their money on the wrong technologies. Five of the nine organizations analyzed in the study reveal a negative value gap, wherein the spending in technologies do not compensate and equate with the value of help or improvement effected to the business. Three reveal a positive value gap while one is in equilibrium. It is indeed necessary to invest in breakthrough technologies that will be very beneficial to businesses. The spending in technology to assure the safety and security of business must always have a positive value gap which means that the value of the service employed must not let the expenses go to waste.
Cyberattacks are common problems for businesses in this modern day and age. One simple cyberattack could potentially destroy a hard-earned business. Thus, it is really essential for business owners and managers to research for the best option that they can employ to ensure the safety and security of their business.
Every year, millions of dollars are lost to cover and address the lasting and destructive consequences of cyber-attacks. In retrospect, these attacks and loss in profit or suspension of operations could have been prevented is proper security was in place.