Cybercrime costs firms $9m per year

Massachusetts: The Security for Business Innovation Council — an IT security council established by technology giant EMC — has urged companies to update their cybercrime combating skills.

The council has not offered a forecast of how much cybercrime could cost companies this year, but recent studies have not painted a positive picture.

A recent study by the Michigan-based Ponemon Institute — which conducts independent research on privacy, data protection and information security policy — found instances of cyber attacks on US businesses increased by over 40% last year, with companies being hit with an average of two attacks per week.

The study — published in conjunction with Hewlett-Packard — also found that cybercrime costs an average US business nearly $9m (€6.9m) a year. That figure — for 2012 — was up by 6% on 2011 figures and 38% from 2010.

On a micro basis, a survey conducted by Deloitte — in conjunction with EMC Ireland — last year, found that one third of Irish companies experienced cybercrime during 2012. It added that the average cost, per firm, of a typical cybercrime incident was approximately €40,000.

“Conventional approaches to information security — like perimeter defences and anti-virus — are no longer enough.

“Security leaders need to take an intelligence-based approach to security and advance their information security strategies to keep up with the increasing pace of technological advances,” said EMC country manager for Ireland Jason Ward.