I don’t know who said, “an ounce of prevention is worth a pound of cure,” but that phrase is a universal truth when it comes to network security. The upfront cost of data protection pales in comparison to the $117 million that Sony has had to pay in the short time since their breach. Sony is one of many companies that was adversely affected by hackers this year, and unfortunately, has become an example of how vital it is to have robust and up-to-date security solutions in place BEFORE an attack.
The financial impact of a breach far exceeds the remediation costs; data breaches can wreak havoc on a business in other ways, too. The negative effect that a security breach can have on a business’s reputation can be monumental if sensitive information is exposed. Some other aspects to consider are:
§ Negative press exposure
§ Brand erosion
§ Loss of consumer confidence
§ Loss of business partner confidence
§ Regulatory fines
§ Stock market loss
§ Legal fees
§ Implementation of internal processes
- And more!
According to Security New Daily, 2011 is on track to be the worst year for security breaches in U.S. history, costing our country around $114 billion. Sony, RSA, NASA, Fox Broadcasting Network, the San Francisco Bart, Epsilon, PBS, and Citigroup are a just few of the well known victims that have been breached by hacker groups this year. So far, the top three worst security breaches have involved Sony, RSA and Epsilon, which have affected consumers far more directly, than any breach in the past. Given the proliferation of hacking groups and the sophistication of their computer skills, the importance of having an exceptional network security system in place before a breach has never been greater.