Cyberattacks remain a threat for Irish businesses, report shows

PwC’s 2024 Digital Trust Insights survey found nearly seven out of 10 Irish respondents reported they would increase their cyber budget in the year ahead.

Several Irish companies expressed concern about cyber threats, including ransomware and business email compromise, in a global survey carried out by professional services firm PwC.

More than half of 50 Irish respondents said they expected generative AI to lead to “catastrophic cyberattacks” in the next 12 months, according to the survey of nearly 4,000 business and tech leaders across 71 countries.

“With emerging tech developments such as artificial intelligence hitting the market in transformative ways, executives must challenge the status quo by building security into the fabric of their organisations instead of reacting once there is a crisis,” said Leonard McAuliffe, PwC Ireland cyber practice partner.

Third-party breaches emerge as the number one cybersecurity threat concerning Irish organisations.

Outsourcing to third-party service providers, including cloud providers, leads to a more complex cybersecurity risk profile but, the survey revealed fewer than two-thirds of respondents had implemented a plan to manage the risks associated with cloud service providers.

PwC’s 2024 Digital Trust Insights survey found nearly seven out of 10 Irish respondents reported they would increase their cyber budget in the year ahead. However, they still lag behind their global peers.

The report also found the proportion of businesses around the world that have experienced a data breach of more than €1m has increased by a third in this year.

Meanwhile, regulatory costs are set to become a barrier for businesses trying to shield themselves from cyberattacks, according to the survey, as 64% of Irish respondents cited this as a financial burden compared to 38% globally.

Hiring people is also becoming increasingly costly for businesses. However, many firms need to bring in skills to improve their cyber resilience. Some new technology may help mitigate these staff costs.

“The technology could also help enhance cybersecurity programmes by plugging skill gaps in a competitive talent market and supporting automated responses to critical incidents,” said Mr McAuliffe.