In recent years, cyberattacks have become more common and sophisticated. The consequences of a successful attack can be devastating to an organisation’s reputation, financial stability, and customer relationships.
Cybersecurity has become necessary for companies of all sizes as their networks and systems containing sensitive and valuable data are being attacked by malicious actors.
It is estimated that it will cost $10.5 trillion in a year from cybercrimes alone by 2025. This grim figure does not include the damage caused by natural disasters or other events.
Businesses must adopt a proactive approach to protecting themselves against cyber attacks. They must understand what is happening within their network and ensure adequate defences are in place.
In addition to adopting a holistic approach to cybersecurity, companies need to consider the nature of the threat landscape has changed considerably in recent years. For example, the rise of mobile devices and social media platforms has increased the risk of attack, making it harder for organisations to keep up with the pace of innovation.
The Importance of Cybersecurity
The increase in cybersecurity spending is due to the rising threat posed by hackers, data breaches, ransomware attacks, phishing scams, and malware.
There are many reasons why cybersecurity is essential.
The Volume and Complexity of Cyber Attacks
As technology advances at breakneck speed, so does the sophistication of cybercrime. Hackers today use advanced techniques to infiltrate computer networks and steal information from them. Some of these include:
- Social engineering – attackers trick users into giving away confidential information or clicking on links leading to malicious websites.
- Malware – software explicitly designed to damage computers and steal personal information.
- Ransomware – software that locks down a user’s device until they pay a ransom fee.
- Phishing – sending emails that appear to come from legitimate sources but contain malicious links or attachments.
- DDoS (Distributed Denial of Service) – where hackers flood a website with traffic using multiple compromised machines. This makes it difficult for legitimate visitors to access the site.
According to Verizon’s recent Data Breach Investigations Report in 2020, 70% of breaches were caused by outsiders, 45% involved hacking, 86% were financially motivated, 17% involved some form of malware, and 22% featured phishing attacks or social engineering.
With such a significant increase in the frequency and severity of cyberattacks, it seems like the perfect storm is brewing.
Impact on Business Operations
Businesses can be severely impacted if they do not invest in robust cybersecurity solutions. Cybersecurity experts say cybercrime can be detrimental to organisations, with 64% of companies worldwide having experienced at least one form of cyberattack in 2021 alone.
In addition, businesses may not be aware of long-term costs to consider following a data breach – such as lost data or intellectual property. These factors may cause some organisations to delay implementing security measures or take shortcuts that could lead to further violations.
There were too many news stories about major corporations suffering significant financial losses from cyberattacks. Not to mention, the impact on reputation when an organisation becomes the target of a sophisticated cyberattack.
On average, 30,000 sites get hacked daily, companies fall prey to cyberattacks every 39 minutes, and more than 60% of organisations worldwide have been victims of cyber attacks. Moreover, the impact of a successful cyberattack can paralyse business operations, disrupt supply chains, and cost millions of dollars in damages.
The Existence of Deep Web and Cryptocurrency
In order to understand how cybersecurity affects business operations, it is essential to know what threats exist within the modern economy. The rise of cryptocurrencies has made this possible.
Cryptocurrencies are digital currencies that operate outside traditional banking systems. They have become popular because they allow people to transfer money quickly and anonymously. However, cryptocurrencies also pose a significant risk to businesses.
For example, hackers can use stolen credentials to access online exchanges and sell off virtual currency holdings. Or, they can create fake accounts and purchase goods with stolen cryptos. Or worse, they put crypto holders into ransom situations where they demand payment in exchange for their encrypted information.
Another threat in the modern economy is the “deep web.” It refers to websites that cannot be accessed through standard search engines. Instead, users must type in specific keywords to find these sites.
This means that even though the majority of websites are accessible via standard search engines, there are still thousands of hidden sites that are only available through specialised software. Unfortunately, these sites often contain illegal content.
Hackers can easily access these sites by compromising a server. Once they have gained access, they can upload malicious code that allows them to steal information from other computers.
This is why cybersecurity professionals recommend that companies implement strong password policies and keep track of user activity.
Cybercriminals are constantly developing new ways to attack networks. As a result, many cybersecurity experts believe that we will see more sophisticated attacks in the future.
Clients’ & Customers’ Trust
Another reason cybersecurity is essential is that it allows organisations to build stronger relationships with their customers and improve their brand image.
However, this strategy requires that they protect their brand reputation and avoid negative publicity. By ensuring their customer’s data is secure, they can gain access to better quality leads, increase sales, and strengthen their relationship with their clients.
In addition to these risks, there is also the issue of how much consumers trust online retailers. A survey by the UK government found that 38% of small businesses had spent zero on cybersecurity protection. Such statistics show how little confidence consumers have in online transactions.
Therefore, companies must take steps to ensure that their customers’ personal information remains safe.
Digital Data Safety
The most obvious benefit of investing in cybersecurity is that it helps ensure the safety of digital data. As more people use mobile devices to shop, bank, and communicate, the risk of losing sensitive information increases.
People use computers for work, school, banking, shopping, entertainment, and everything else. Unfortunately, if someone hacks into a system, they can steal identities, damage confidential files, disrupt operations, cause physical harm, and even destroy lives.
In Short, As technology continues to evolve, so does the way that businesses operate. To stay competitive, companies need to invest in cybersecurity solutions to protect themselves against cyberattacks.
If you want to learn more about cybersecurity or any other aspect of the IT security audit, we can help! Contact us today at grayscale.my to learn more about what we offer.
