Just in time for National Cyber Security Awareness Month: Nearly every organization has to deal with a security breach of some kind. But how hard does it really hit the budget? A recent study asked 5,500 companies and found the cost could be as high as half a million USD to recover — and the costs don’t end there!
Large businesses can expect to pay an average of $551,000 in direct expenses including payment for professional services, covering lost contracts, and downtime, while small businesses end up spending $38,000.
Additionally, the survey by Kaspersky Labs found that indirect costs, such as additional staffing, training, and systems upgrades required to cope with the breach or prepare for a future incident, can cost large companies $69,000 and small businesses $8,000.
The three most expensive types of security breach:
- Cyber espionage ($69,026)
- Third-party supply failure ($68,758)
- Network intrusion/hacking ($55,973)
One bright spot: IT specialists are taking cyber threats much more seriously: 50% of IT professionals listed prevention of security breaches as one of their three major concerns, up 20% from the previous year.