One cyber attack can cause a $100,000 loss to over 40% of businesses

Cyber attacks are becoming more frequent at an alarming rate. These attacks not only cause financial problems for the attacked businesses, but they can also jeopardize their working relationships with clients and investors due to their failure to provide data security.

According to the survey conducted by US Cybersecurity firm Keeper, over 24% of businesses had to face a $50,000–$99,999 loss after being hit by a full-fledged cyber attack. These figures were followed by 22% of businesses that lost somewhere between a hundred thousand dollars and five hundred thousand dollars.

Most small-scale businesses don’t have a high-end cybersecurity system, making them more susceptible to such attacks. Though the attackers may not make much money from these businesses, the survey results show that 14% of the companies lost nearly $5,000, another 8% lost nearly $10,000, and another 16% lost somewhere around $50,000.

It is understandable that if a company has millions in its online account, it’d be keeping it secure with a strong anti-cyber attack system. This is why only 4% of the businesses had to go through a million-dollar loss.

Furthermore, it is also observed that businesses operating in the United States come across over 40 to 42 cyberattacks per year. While most of them are countered, the 2 or 3 attacks that get their hands on the data cause most of the problems.

As discussed above, a cyber attack not only causes an economic crisis but is capable of causing far greater damage. These damages may include a spoiled image of the attacked company for failing to protect its data. Their clients and customers will eventually start to lose trust in them and may even end up losing their investors or partners.

Over 28% of the firms that went through a cyber attack also faced a compromised image problem, while nearly 23% of them started to face difficulties in their trading operations.

To dodge the consequences faced after a cyberattack, many companies have now started to not disclose any such attacks and try to solve the matter on their own without involving any third party in this matter.

The survey results were based on 516 IT companies, and the report was released globally on September 15th.

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by Arooj Ahmed via Digital Information World