Companies have lost a large sum of money due to Data breaches

When a company has a data breach incident, many people expect the company to bear the losses, but the thing is that while the company does have losses the consumers also get affected by it. Data breaches or any sort of security breach have an equal effect on both the customers and the company because it is their data that gets leaked. There is also another thing that may come as a surprise to some and that is that sometimes the breaches can come from the inside as well.

A new report titled Cost of a Data Breach 2022 analyzed hundreds of organizations across the world to see what the effects and the costs of Data breaches are. The survey was conducted by the Ponemon Institute and analyzed by IBM Security. They interviewed about 550 organizations and out of those 550, 80% had been the victims of data breaches more than once.

In 60% of the cases, the breach resulted in price increases, an effect on the consumer, and the total average cost of the breach exceeded $4.35 million in 2022 only. The amount increased by 2.6% from last year and a very disturbing 12.7% from 2020 only two years back.

The costs that came with it were not at all light and thus had to be divided into four categories, lost business, detection and escalation, notification, and post-breach response. In the past years, lost business was the costliest aspect of Data breaches but now the first place has shifted to detection and escalation.

The field which lost the most money was the healthcare field. The healthcare field lost 10.10 million this year and the financial, pharmaceuticals, technology, and energy industries also lost a lot of money.

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by Arooj Ahmed via Digital Information World