Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
GET RECOGNIZED.
Let an ISACA® certification
elevate your career.

Register today and save
CIO Issues
Tame your scariest paperwork. Find Out How
Average Rating:
Rate this article:  
New Report: Cybercrime Costs Exploding in 2013
New Report: Cybercrime Costs Exploding in 2013

By Barry Levine
October 8, 2013 2:26PM

    Bookmark and Share
According to the Ponemon Institute report, most of the attacks are caused by denial-of-service attacks (DOS), malicious insiders, and other Web-based attacks. Information theft is the cause of the highest external costs, followed by business disruption, while recovery and detection are the most costly internal activities.
 



The average cost of resolving a single cybercrime attack has climbed to more than $1 million, representing a 55 percent increase over the estimated average cost reported last year. That’s one of several stunning findings in a newly released report that documents the rising cost, frequency and time it takes to resolve cyberattacks in the U.S.

The 2013 Cost of Cyber Crime is the fourth annual study of American companies, conducted by the Ponemon Institute and sponsored by HP Enterprise Security Products. It found that cybercrime’s annualized cost for a company is now, on average, about $11.56 million, a 26 percent increase over the average cost in 2012.

The range of costs to combat cybercrime was $1.3 million to $58 million, and smaller organizations have a higher per capita cost that larger ones. Since the study was initiated four years ago, the average annualized cost has risen 78 percent. And, the time it takes to resolve a cyberattack has jumped nearly 130 percent over the same period, to 32 days in 2013. On average, organizations are weathering 122 successful attacks weekly, up from an average of 102 in 2012. This compares to an average of 72 attacks weekly in 2011 and 50 in 2010.

‘Cyberattacks Grow in Sophistication’

Frank Mong, vice president and general manager of Solutions for Enterprise Security Products at HP, said in a statement that “the threat landscape continues to evolve as cyberattacks grow in sophistication, frequency and financial impact.”

On the positive side, the study said that advanced security intelligence solutions have resulted in organizations saving an average of $4 million annually, due to lower costs of recovery, detection and containment. These can include network intelligence systems, inclusion prevention systems, application security testing, enterprise governance, and risk management.

HP offers a Security Intelligence platform that incorporates advanced threat research and correlates between security events and vulnerabilities, to provide intelligence related to IT operations and infrastructure. Its Threat Central, which HP has described as “Yelp for security intelligence,” is its portal for companies to share information about cyberattacks.

Information Theft, Business Disruption

Most of the attacks -- accounting for 55 percent of the annual total -- are caused by denial-of-service attacks (DOS), malicious insiders, and other Web-based attacks. Information theft is the cause of the highest external costs, followed by business disruption, while recovery and detection are the most costly internal activities.

In addition to this annual examination of the situation in the U.S., the Ponemon Institute also conducted studies of companies in Australia, Germany, Japan, the U.K. and France. Total average costs were highest in the U.S. and lowest in Australia.

Larry Ponemon, chairman of the Institute that bears his name, said in a statement that the annual study is intended to “help organizations make the most cost-effective decisions possible in minimizing the greatest risks to their companies.” The Ponemon Institute focuses on research relating to privacy, data protection and information security policy.
 

Tell Us What You Think
Comment:

Name:

Another Observer:

Posted: 2013-10-18 @ 7:14pm PT
@Enterprise Observer: You're right, but it's common practice with many hardware and software vendors in our industry... identify a problem... get it validated by an independent party... and show how your product or service offers the solution.

Enterprise Observer:

Posted: 2013-10-18 @ 7:11pm PT
Of course, this is how HP promotes its big $$ products. First, it sponsors a cybercrime "study" designed to decry the great costs of each cyber attack. Then, the sponsored study concludes that the costs of protecting against said cyberattacks are much, much higher than the cost of, say, an HP hardware/software system. And finally (surprise, surprise), HP puts out a press release to publicize the study and reminds potential customers that HP has a magical hardware/software system, that for the mere price of a couple hundred thousand $$, is a GREAT investment against the supposedly rising costs of cyberattacks. Cute, but VERY transparent, HP.



Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.


 CIO Issues
1.   Chinese Hackers Hit U.S. Officials
2.   Why You Need To Hire a CCO
3.   Gates: Fixing Education a Challenge
4.   Chief Customer Officers Boost Profits
5.   Outlook, OneDrive Crypto Upgraded


advertisement
Police Hacking Methods Revealed
Global network of malware sketched.
Average Rating:
New Initiative for Girls Who Code
Push for girls to get into computers.
Average Rating:
Why You Need To Hire a CCO
One reason: to increase the bottom line.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Report: Chinese Hackers Hit U.S. Personnel Networks
Hackers from China broke into the computer networks of the U.S. Office of Personnel Management earlier this year with the intention of accessing the files of tens of thousands of federal employees.
 
Charges: Russian Stole Data from U.S. Restaurants, Zoo
A Russian man arrested on bank fraud and other charges hacked into computers at restaurants in Washington, hundreds of other retail businesses, and even the Phoenix Zoo, authorities say.
 
Another Month, Another IE-Focused Patch Tuesday
Microsoft rolled out 59 vulnerabilities for Internet Explorer in June. But the IE-patching party is not over yet. Redmond published six new security bulletins on Tuesday; two, critical; three, important.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | Small Business | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters | XML/RSS Feed

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.