FEATURE
cybersecurityeurope PAGE 60
CHARTS
BRIEF WHERE LOST VALUE GOES
Cyber attack cost estimations begin with an enumeration of the types of attack considered.
Financial manipulation – the use of
stolen sensitive business info, such as potential mergers or advance knowledge of performance reports for publicly-traded companies. Online fraud and fi nancial crimes,
often the result of stolen Personally Identifi able Information. Opportunity costs – this include disruption in production or services, and reduced trust for online activities. Opportunity costs also include the impact from ransomware, invoilving both payments to redeem encrypted data, and, arguably more important, serious disruptions to a vast majority of services and outputs. Reputational damage and liability
risk for the hacked company and its brand; includes temporary damage to stock value. The cost of securing all networks, buying cyber insurance, and paying for recovery from cyber attacks. Range of losses due to theft of
Intellectual Properties and business confi dential information.
Some fi nancial impacts have gotten more impactful. Intellectual
Property (IP) theft, for instance, could be said to incur a much greater fi nancial blow than it used to, as venture capitalists attract market funding that might previously have been invested in interest-yielding fi nancial products. This means sums often twice or three times what they typically would have attracted just two years back. Should IP assets be compromised, funding can be cancelled. Time is money, and timing itself has an increasingly key role in sizing the fi nancial impact of cyber attacks. Despite some progress in foreshortening the time taken to detect a cyber incident or system breach, organisations still take too long to detect and contain, according to the Telstra Security Report 2020 from Telstra Corporation. The long-term issue is that time constitutes a commodity that’s arguably always on the side of cyber attackers. In some cases, organisations will never know when an attack has happened, how long it happened for, and how much it was business.
TOTAL COST ESTIMATE IS MOVING TARGET The quantity and the severity of attacks and cost per attack will undoubtedly increase throughout the year, the Security Report 2020 explains. Costs associated with a breach are often multiple: e.g., damage to physical infrastructure, loss of IP, productivity downtime, and in some cases health and safety if the target is a physical system – e.g., a power grid or plant assembly line. And an attack to public services like transport could result in tens of thousands of euros worth of compensation claims. Growing awareness of the fi nancial impacts of cyber attacks has
brought forth several estimates as to their overall damage. The Cost of a Data Breach Study (2018) conducted by IBM and Ponemon Institute estimated the global average cost of a data breach at €3.21m, an increase of 6.4% on the previous year (€3.01m). Downtime and operational losses due to cyber attacks, meanwhile, are another metric by which to assess the fi nancial impacts.
CLICK OR TOUCH ICON CLICK OR TOUCH ICON CLICK OR TOUCH ICON Source: McAfee, Economic Impact of Cybercrime (2018)
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62
