Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:55):
Welcome to Cyberscope, the podcast that decodes the digital world
for you. Today, we're diving into a topic that touches everyone,
the intersection of cybersecurity in the economy.
Speaker 2 (01:05):
We'll explore how cyber threats.
Speaker 1 (01:06):
Aren't just technical problems, they are major financial risks that
are shaping our world.
Speaker 2 (01:11):
So let's get started.
Speaker 1 (01:13):
When we think of a cyber attack, we often imagine
a hacker stealing data, but the financial fallout goes much deeper.
The time it takes to recover from an attack is
a critical factor, and that time is getting longer. For instance,
a ransomware attack, where a criminal encrypts a company's files
and demands payment now takes an average of twenty three
days to resolve. Insider threats, which are attacks from within
(01:35):
an organization, can take up to fifty days to recover from.
Even a quick attack like a d DOS attack, which
floods a network with traffic to take it offline, can
cause significant damage in just a few days. The longer
an attacker has accessed, the greater the financial damage. This
isn't just an abstract problem. It has a real impact
on a global scale. The United States has consistently faced
(01:57):
the highest average cost of cyber attacks. In twenty seventeen,
the average cost in the US was estimated at twenty
one million dollars, a jump from seventeen million dollars just
the year before. Other countries are also feeling the sting.
Germany ranked second with an estimated cost of eleven point
five million dollars in twenty seventeen, and Japan was third
(02:18):
at ten million dollars. The United Kingdom, France, and Italy
all followed with multimillion dollar costs, and these figures don't
even include the hidden costs. Think about a company that's
been breached. They lose customer loyalty and that translates to
lower revenue. Their reputation is damaged, making it harder to
attract new clients. Then there are the huge legal fees
(02:39):
that can come from lawsuits related to a data breach.
These invisible impacts make cybercrime incredibly expensive for organizations. Finance
and cybersecurity are more intertwined than ever.
Speaker 2 (02:50):
You can look at this relationship in two ways.
Speaker 1 (02:53):
First, finance is used to procure cybersecurity products. Companies have
to spend money on firewalls, antivirus software, and training to
prevent attacks. Second, finance is a direct victim of cyber attacks.
We've seen attacks specifically targeting financial departments or aiming to
steal financial data. Because of this, chief financial officers or
CFOs are now working hand in hand with chief information
(03:15):
security officers or sisos. They need to ensure that their
cybersecurity efforts are adequately funded. The days of IT being
a siloed department are long gone. Today, the links between
finance and technology are closer than ever. This is driven
by the fact that modern businesses are critically dependent on
their IT infrastructure. Companies use systems like enterprise resource planning
(03:38):
to link different departments from supplies to production to sales.
If these systems go down, the entire operation can grind
to a halt. A cyber attack on these critical systems
can cripple an organization, making it essential to protect them.
Beyond simple errors or natural disasters, cyber attacks are a
major reason for IT systems failing. They don't just stop operations,
(03:59):
can purposefully destroy infrastructure. The rise of the digital economy,
which includes all economic activities and transactions conducted through technology,
has created a new landscape for threats. We're talking about
things like the Internet of Things, cloud computing, and social media,
all of which are pulling more people and businesses into
this digital space. But with that growth comes new risks.
(04:22):
Cybersecurity is now a matter of survival for the digital economy.
Let's look at some of the most pressing threats. First,
we have smart threats. With the explosion of interconnected IoT
devices from smart thermostats to industrial sensors, a new kind
of cyber threat has emerged. Many of these devices lack
strong security features, making them easy targets for hackers.
Speaker 2 (04:43):
A successful attack.
Speaker 1 (04:44):
On a major cloud provider could cause massive losses across
countless businesses that rely on that service.
Speaker 2 (04:51):
Next, there's ransomware.
Speaker 1 (04:53):
The Wantacry attack of twenty seventeen showed the world just
how devastating a single ransomware attack could be. It affected
over one hundred and fifty countries, disrupting everything from businesses
to hospital systems where crucial medical appointments and surgeries had
to be postponed. The attack demonstrated that ransomware has the
potential to topple the digital economy, and these threats are
(05:15):
only becoming more frequent and sophisticated. Finally, a major concern
is critical infrastructure attacks. Modern countries rely on automated systems
to provide essential services like power, water, and transportation. When
these systems are attacked, the consequences can be catastrophic. The
WannaCry attack, for example, crippled the UK's National Health Service,
(05:36):
highlighting how a cyber attack can impact public health and safety.
Speaker 2 (05:40):
In the digital world, data is money.
Speaker 1 (05:42):
When an organization is breached and data is stolen, hackers
can make money in.
Speaker 2 (05:46):
A few ways.
Speaker 1 (05:47):
They might hold the data for ransom, threatening to release
it if they're not paid. This happened to a Dubai
bank where a hacker released sensitive information on Twitter after
the bank refused to pay. Hackers also sell stolen and
data on the dark web to advertisers or other criminals
who want to use the log in credentials for future attacks.
But it's not just the hackers who profit. The victim
(06:08):
organizations face a huge financial loss. They can be sued
by customers whose personal information was stolen, and, as we
mentioned earlier, they suffer a huge loss of reputation. A
perfect example is Yahoo. After the company suffered a massive
data breach that affected billions of accounts, its value plummeted. Verizon,
the company that was in the process of acquiring Yahoo slashed.
Speaker 2 (06:31):
Their offer by three hundred and fifty million dollars.
Speaker 1 (06:33):
On top of that, countless users abandoned their Yahoo accounts
for competitors like Gmail.
Speaker 2 (06:38):
The lesson here is clear.
Speaker 1 (06:40):
A cyber attack can permanently damage a company's reputation, leading
to a loss of customer trust and a significant drop
in value. So what's the takeaway from all this? Cybersecurity
is no longer just a technical issue, It's a fundamental
economic one. The costs of cyber attacks arising, the time
to recover is lengthening, and are growing. Dependence on techiechnology
(07:00):
means that attacks on our digital infrastructure can cripple our
businesses and economies, from the financial sector to critical public services.
The threats are real and they are evolving. Protecting our
digital assets isn't just about preventing a hack. It's about
ensuring the stability and resilience of our entire economy.
Speaker 2 (07:19):
That's all the time we have for today. Thank you
for tuning in.
Speaker 1 (07:22):
Join us next time on Cyberscope as we continue to
explore the complex world of cybersecurity. We hope you've enjoyed
this episode of the Security Brief an original podcast from
cyber Education Networks. Our goal is to create valuable educational
content and if you found this session helpful, the best
way to support our.
Speaker 2 (07:41):
Work is by liking and subscribing.
Speaker 1 (07:43):
It allows our show to grow and reach new listeners
just like you.
Welcome to Cyberscope, the podcast that decodes the digital world
for you. Today, we're diving into a topic that touches everyone,
the intersection of cybersecurity in the economy.
Speaker 2 (01:05):
We'll explore how cyber threats.
Speaker 1 (01:06):
Aren't just technical problems, they are major financial risks that
are shaping our world.
Speaker 2 (01:11):
So let's get started.
Speaker 1 (01:13):
When we think of a cyber attack, we often imagine
a hacker stealing data, but the financial fallout goes much deeper.
The time it takes to recover from an attack is
a critical factor, and that time is getting longer. For instance,
a ransomware attack, where a criminal encrypts a company's files
and demands payment now takes an average of twenty three
days to resolve. Insider threats, which are attacks from within
(01:35):
an organization, can take up to fifty days to recover from.
Even a quick attack like a d DOS attack, which
floods a network with traffic to take it offline, can
cause significant damage in just a few days. The longer
an attacker has accessed, the greater the financial damage. This
isn't just an abstract problem. It has a real impact
on a global scale. The United States has consistently faced
(01:57):
the highest average cost of cyber attacks. In twenty seventeen,
the average cost in the US was estimated at twenty
one million dollars, a jump from seventeen million dollars just
the year before. Other countries are also feeling the sting.
Germany ranked second with an estimated cost of eleven point
five million dollars in twenty seventeen, and Japan was third
(02:18):
at ten million dollars. The United Kingdom, France, and Italy
all followed with multimillion dollar costs, and these figures don't
even include the hidden costs. Think about a company that's
been breached. They lose customer loyalty and that translates to
lower revenue. Their reputation is damaged, making it harder to
attract new clients. Then there are the huge legal fees
(02:39):
that can come from lawsuits related to a data breach.
These invisible impacts make cybercrime incredibly expensive for organizations. Finance
and cybersecurity are more intertwined than ever.
Speaker 2 (02:50):
You can look at this relationship in two ways.
Speaker 1 (02:53):
First, finance is used to procure cybersecurity products. Companies have
to spend money on firewalls, antivirus software, and training to
prevent attacks. Second, finance is a direct victim of cyber attacks.
We've seen attacks specifically targeting financial departments or aiming to
steal financial data. Because of this, chief financial officers or
CFOs are now working hand in hand with chief information
(03:15):
security officers or sisos. They need to ensure that their
cybersecurity efforts are adequately funded. The days of IT being
a siloed department are long gone. Today, the links between
finance and technology are closer than ever. This is driven
by the fact that modern businesses are critically dependent on
their IT infrastructure. Companies use systems like enterprise resource planning
(03:38):
to link different departments from supplies to production to sales.
If these systems go down, the entire operation can grind
to a halt. A cyber attack on these critical systems
can cripple an organization, making it essential to protect them.
Beyond simple errors or natural disasters, cyber attacks are a
major reason for IT systems failing. They don't just stop operations,
(03:59):
can purposefully destroy infrastructure. The rise of the digital economy,
which includes all economic activities and transactions conducted through technology,
has created a new landscape for threats. We're talking about
things like the Internet of Things, cloud computing, and social media,
all of which are pulling more people and businesses into
this digital space. But with that growth comes new risks.
(04:22):
Cybersecurity is now a matter of survival for the digital economy.
Let's look at some of the most pressing threats. First,
we have smart threats. With the explosion of interconnected IoT
devices from smart thermostats to industrial sensors, a new kind
of cyber threat has emerged. Many of these devices lack
strong security features, making them easy targets for hackers.
Speaker 2 (04:43):
A successful attack.
Speaker 1 (04:44):
On a major cloud provider could cause massive losses across
countless businesses that rely on that service.
Speaker 2 (04:51):
Next, there's ransomware.
Speaker 1 (04:53):
The Wantacry attack of twenty seventeen showed the world just
how devastating a single ransomware attack could be. It affected
over one hundred and fifty countries, disrupting everything from businesses
to hospital systems where crucial medical appointments and surgeries had
to be postponed. The attack demonstrated that ransomware has the
potential to topple the digital economy, and these threats are
(05:15):
only becoming more frequent and sophisticated. Finally, a major concern
is critical infrastructure attacks. Modern countries rely on automated systems
to provide essential services like power, water, and transportation. When
these systems are attacked, the consequences can be catastrophic. The
WannaCry attack, for example, crippled the UK's National Health Service,
(05:36):
highlighting how a cyber attack can impact public health and safety.
Speaker 2 (05:40):
In the digital world, data is money.
Speaker 1 (05:42):
When an organization is breached and data is stolen, hackers
can make money in.
Speaker 2 (05:46):
A few ways.
Speaker 1 (05:47):
They might hold the data for ransom, threatening to release
it if they're not paid. This happened to a Dubai
bank where a hacker released sensitive information on Twitter after
the bank refused to pay. Hackers also sell stolen and
data on the dark web to advertisers or other criminals
who want to use the log in credentials for future attacks.
But it's not just the hackers who profit. The victim
(06:08):
organizations face a huge financial loss. They can be sued
by customers whose personal information was stolen, and, as we
mentioned earlier, they suffer a huge loss of reputation. A
perfect example is Yahoo. After the company suffered a massive
data breach that affected billions of accounts, its value plummeted. Verizon,
the company that was in the process of acquiring Yahoo slashed.
Speaker 2 (06:31):
Their offer by three hundred and fifty million dollars.
Speaker 1 (06:33):
On top of that, countless users abandoned their Yahoo accounts
for competitors like Gmail.
Speaker 2 (06:38):
The lesson here is clear.
Speaker 1 (06:40):
A cyber attack can permanently damage a company's reputation, leading
to a loss of customer trust and a significant drop
in value. So what's the takeaway from all this? Cybersecurity
is no longer just a technical issue, It's a fundamental
economic one. The costs of cyber attacks arising, the time
to recover is lengthening, and are growing. Dependence on techiechnology
(07:00):
means that attacks on our digital infrastructure can cripple our
businesses and economies, from the financial sector to critical public services.
The threats are real and they are evolving. Protecting our
digital assets isn't just about preventing a hack. It's about
ensuring the stability and resilience of our entire economy.
Speaker 2 (07:19):
That's all the time we have for today. Thank you
for tuning in.
Speaker 1 (07:22):
Join us next time on Cyberscope as we continue to
explore the complex world of cybersecurity. We hope you've enjoyed
this episode of the Security Brief an original podcast from
cyber Education Networks. Our goal is to create valuable educational
content and if you found this session helpful, the best
way to support our.
Speaker 2 (07:41):
Work is by liking and subscribing.
Speaker 1 (07:43):
It allows our show to grow and reach new listeners
just like you.
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