There were 42.8 million information security incidents around the world this year, up 48% on 2013, according to new research.
A report by PwC, in conjunction with CIO and CSO magazines, found that detected security incidents have increased 66% year-on-year since 2009.
The volume of incidents that were reported in 2014 was the equivalent of 117,339 attacks per day.
As security incidents become more frequent, the associated costs of managing and mitigating breaches are also increasing. Globally, the estimated reported average financial loss from cybersecurity incidents was $2.7m – a 34% increase over 2013. Big losses have been more common this year, as the number of organisations reporting financial hits in excess of $20m nearly doubled.
But despite elevated concerns, the survey found that global information security budgets actually decreased 4% compared with 2013. Security spending as a percentage of IT budget has remained stalled at 4% or less for the past five years.
Organisations of all sizes and industries are aware of the serious risks involved with cybersecurity, but larger companies detect more incidents.
Large organisations – with gross annual revenues of $1bn or more – detected 44% more incidents this year. Medium-sized organizations – with revenues of $100m to $1bn – witnessed a 64% increase in the number of incidents detected. And while risk has become universal, the survey found that financial losses also vary widely by organisational size.
Insiders have become the most cited culprits of cybercrime. But in many cases, they unwittingly compromise data through loss of mobile devices or targeted phishing schemes.
Respondents said incidents caused by current employees increased 10%, while those attributed to current and former service providers, consultants and contractors rose 15% and 17%, respectively.
“Many organisations often handle the consequences of insider cybercrime internally instead of involving law enforcement or legal charges. In doing so, they may leave other organisations vulnerable if they hire these employees in the future,” said Bob Bragdon, publisher of CSO.
To download a copy of the report, visit: http://pwc.to/GSISS15
Sally Percy is editor of The Treasurer