BotNet News

Data Breach

It feels like you can’t go a week without hearing about the latest cyber incident. 68 records are stolen or compromised every second, and data breaches are the top risk to your organization’s reputation and financial stability.

For businesses, a breach can cost millions in fines, compensation costs, and lost business opportunities. The most damaging impact is the loss of consumer trust and brand damage, which can be difficult to recover from.

Individuals can experience high-cost identity theft when their personal information is exposed. It may be sold on darknet markets, used to create new accounts, or to commit tax fraud. It’s important to notify individuals of a breach as soon as possible, although you should consult with your legal team about the timing so as not to interfere with any ongoing investigation or lawsuits.

The first step in any breach recovery is identifying which systems were affected and what kind of information was compromised. You should also consider whether any of your service providers were involved in the breach. If so, examine their access privileges and make sure they have remedied any vulnerabilities.

When a company’s reputation is damaged, its stock prices can plummet. For example, the Target and Equifax breaches both caused stock prices to drop by 7.5% on average and take 46 days to return to pre-breach levels, according to a study by the University of Colorado.