Lack of Focus on Cybersecurity due to Covid-19 could cost businesses millions

By citiesabc news - May 13, 2020
Cybersecurity drop due to Covid-19 could cost businesses millions research by iomart

Lack of Focus on Cybersecurity due to Covid-19 could cost businesses millions

News release

Cyber crime is on the rise as businesses, cities and almost all organisations on the world are increasing digital partly to Covid-19 Pandemic. This is creating increasing channlenges on security and organisations have to prioitise cybersecurity. iomart come up with a research that highlights the challenges and risks coming out of this new normal.

A recent study from ISACA survey reveals that only 51 percent of technology professionals and leaders are highly confident that their cybersecurity teams are ready to detect and respond to the rising cybersecurity attacks during COVID-19, according to new research by global association ISACA. Additionally, only 59 percent say their cybersecurity team has the necessary tools and resources at home to perform their job effectively.

“Organizations are rapidly and aggressively moving toward new ways of doing business during this time, which is a very positive thing, but it can also lead to making compromises that can leave them vulnerable to threats,” says ISACA CEO David Samuelson. “A surge in the number of remote workers means there is a greater attack surface. Remote work is critically important right now, so security has to be at the forefront along with employee education. ISACA professionals have an especially critical role to play in protecting their enterprises, customers and stakeholders during this pandemic.”

ISACA surveyed more than 3,700 IT audit, risk, governance and cybersecurity professionals from 123 countries in mid-April to assess the impact of COVID-19 on their organizations and their own jobs.

ISACA survey reveals insights into information security and privacy in the times of COVID-19. Graphic: Business Wire

Another study from iomart’s: Dangerous Data: The Cost of a Data Breach highlights that the drop in security as a result of Covid-19 is being exploited by cybercriminals looking to breach vulnerable businesses’ data, research reveals. Businesses, cities and corganisation could take longer to identify and address costly data breaches as a result of adjusting to remote working conditions and reduced personnel. Businesses should prioritise security training for all staff, keep software up to date and carefully control who can access sensitive data, says research data experts.

As organisations shift to remote working and are operating with a reduced workforce, many businesses are at risk of a significant increase in costly cyberattacks, research shows.

Tech companies could lose an average of $174 (£141) million per day – or $37.3 (£29.9) billion per month – as a result of compromised records per data breach, according to research published by cloud solutions company iomart.

The research analyses the financial impact of typical, severe and catastrophic data breaches to reveal what each could cost top companies and social media platforms.

The typical loss for a large company is between 10 and 99 million records per incident, resulting in an average company value drop of 7.27%.

New research, published in a data breach report by cloud solutions company iomart, analyses the financial impact of typical, severe and catastrophic data breaches to reveal what each could cost small businesses, tech companies and social media platforms.

The amount lost per breach is determined by the time it takes to identify and contain an incident. Many organisations are struggling to implement an effective business continuity plan as a result of an unprecedented shift to remote working, thereby significantly reducing their reaction time in the event of a data breach.

One third of businesses have been forced to axe essential IT staff as a result of Covid-19 cost concerns, while more than four in ten businesses admitted that their remote working practices aren’t in line with GDPR requirements.

The typical data loss for a large company is between 10 and 99 million records per incident, resulting in an average company value drop of 7.27%. These costs increase if a data breach infringes GDPR guidelines, which could cripple smaller companies and businesses that cannot stand to lose up to 10% of their market value.

With 60% of businesses reported as having experienced a serious security breach in the last two years, it’s crucial that business owners take steps to prioritise data security in order to minimise loss in the event of a substantial breach.

Bill Strain, Product Development Director at iomart, comments on the findings: “These figures are a stark warning about the importance of investing in data protection. Many smaller businesses wouldn’t survive the operational impact of a successful cyber-attack, let alone the financial one of a punishing fine on top.

“Looking at your potential risk and knowing where your data is, controlling who has access to it, and making sure it’s secure should be an absolute priority.

“It’s still the case that most cyber-attacks start by exploiting our human vulnerability. By training staff to spot suspicious emails or links you can lock the front door and then use technological solutions to ensure the hackers can’t get in around the back.”

iomart offers some top tips on how businesses can create an effective defence against such an attack:

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