Attacks/Breaches

5/6/2014
08:35 AM
50%
50%

Ponemon: Cost Of A Data Breach Rose To $3.5M In 2013

Companies lose an average of $145 per compromised record, according to annual "Cost of Data Breach Study."

The average cost of a data breach rose 15 percent last year to $3.5 million, according to a study published Monday.

The Ponemon Institute's ninth annual "Cost of Data Breach Study," which was sponsored by IBM, estimates that the average data breach across the globe costs victims about $145 per compromised record, 9 percent more than in 2012.

The most costly breaches occurred in the US and Germany at $201 and $195 per compromised record, respectively, the report says. The least expensive data breaches were in India and Brazil at $51 and $70.

Root causes of data breaches differ among countries. Countries in the Middle East and Germany had more data breaches caused by malicious or criminal attacks, Ponemon says. India had the most data breaches caused by a system glitch or business process failure. Human error was most often the cause in the UK and Brazil.

The most costly data breaches were those caused by malicious and criminal attacks, according to the report. The US and Germany paid the most for such attacks, at $246 and $215 per compromised record, respectively.

A strong security posture can help enterprises reduce the cost of a data breach, Ponemon says. On average, companies that self-reported they had a strong security posture also reported lower breach costs, reducing those costs by as much as $14 per record. The appointment of a chief security officer lowered the cost of a data breach by about $6 per record, the report says.

The greatest threats to the companies in the study are malicious code and sustained probes. Companies report an average of 17 malicious codes each month and 12 sustained probes each month, both up from 2012. Unauthorized access incidents are occurring at about the same pace as last year; companies report an average of 10 such incidents each month.

Tim Wilson is Editor in Chief and co-founder of Dark Reading.com, UBM Tech's online community for information security professionals. He is responsible for managing the site, assigning and editing content, and writing breaking news stories. Wilson has been recognized as one ... View Full Bio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
securityaffairs
50%
50%
securityaffairs,
User Rank: Ninja
5/8/2014 | 5:24:41 AM
Re: interesting note
Hi Sachin,

you are right regarding the Middle East, I consider the area full of strategic targets for state-sponsored hackers. Sincerely I'm surprised by the data on India, I consider them really strange.

Regards

Pierluigi

 
SachinEE
50%
50%
SachinEE,
User Rank: Apprentice
5/8/2014 | 4:38:00 AM
Re: interesting note
This is a very interesting piece of article, thank you very much. I think data breach in deed varies from place to place and their causes must be different; if you look at India for instance, you will find out that data breach is caused mainly by system glitch; you may wonder why there is no much criminal attack in India as compared to Middle East. I think this is because, in Middle East there is a high rate of cyber crimes and has the highest numbers of sponsored hackers both foreign and domestic.
securityaffairs
50%
50%
securityaffairs,
User Rank: Ninja
5/6/2014 | 5:04:34 PM
Re: interesting note
Hi Marilyn,

Consider that Middle East is historically a critical area, in this region the number of cyber threats is very high due to the persistent action of foreign state-sponsored hackers and cyber criminals. Typically APTs use malware-based attacks for this reason root cause in this area is malware.

The study states:

"As the findings reveal, the consolidated average per capita cost of data breach (compiled for ten countries and converted to US dollars) differs widely among the countries. Many of these cost differences can be attributed to the types of attacks and threats organizations face as well as the data protection regulations and laws in their respective countries."

 
Marilyn Cohodas
50%
50%
Marilyn Cohodas,
User Rank: Strategist
5/6/2014 | 3:43:42 PM
Re: interesting note
That is an interesting observation, @securityaffairs. Do you have any thoughts on why that might be? 
securityaffairs
50%
50%
securityaffairs,
User Rank: Ninja
5/6/2014 | 3:30:33 PM
interesting note
The report is very interesting, data breach increase is an alarming phenomenon as evidenced also by the Verizon report issued weeks ago.

Within the huge amount of information present in the report me me highlight the interesting analysis conducted on the links between countries and root causes of the of data breaches,  for example countries in Germany and in the Middle East had more data breaches caused by malicious or criminal attacks, meanwhile India had the most data breaches caused by a system glitch.

 

 
WebAuthn, FIDO2 Infuse Browsers, Platforms with Strong Authentication
John Fontana, Standards & Identity Analyst, Yubico,  9/19/2018
Turn the NIST Cybersecurity Framework into Reality: 5 Steps
Mukul Kumar & Anupam Sahai, CISO & VP of Cyber Practice and VP Product Management, Cavirin Systems,  9/20/2018
NSS Labs Files Antitrust Suit Against Symantec, CrowdStrike, ESET, AMTSO
Kelly Jackson Higgins, Executive Editor at Dark Reading,  9/19/2018
Register for Dark Reading Newsletters
White Papers
Video
Cartoon Contest
Write a Caption, Win a Starbucks Card! Click Here
Latest Comment: White Privelege Day
Current Issue
Flash Poll
The Risk Management Struggle
The Risk Management Struggle
The majority of organizations are struggling to implement a risk-based approach to security even though risk reduction has become the primary metric for measuring the effectiveness of enterprise security strategies. Read the report and get more details today!
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2018-17282
PUBLISHED: 2018-09-20
An issue was discovered in Exiv2 v0.26. The function Exiv2::DataValue::copy in value.cpp has a NULL pointer dereference.
CVE-2018-14592
PUBLISHED: 2018-09-20
The CWJoomla CW Article Attachments PRO extension before 2.0.7 and CW Article Attachments FREE extension before 1.0.6 for Joomla! allow SQL Injection within download.php.
CVE-2018-15832
PUBLISHED: 2018-09-20
upc.exe in Ubisoft Uplay Desktop Client versions 63.0.5699.0 allows remote attackers to execute arbitrary code. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists within the processing of URI ha...
CVE-2018-16282
PUBLISHED: 2018-09-20
A command injection vulnerability in the web server functionality of Moxa EDR-810 V4.2 build 18041013 allows remote attackers to execute arbitrary OS commands with root privilege via the caname parameter to the /xml/net_WebCADELETEGetValue URI.
CVE-2018-16752
PUBLISHED: 2018-09-20
LINK-NET LW-N605R devices with firmware 12.20.2.1486 allow Remote Code Execution via shell metacharacters in the HOST field of the ping feature at adm/systools.asp. Authentication is needed but the default password of admin for the admin account may be used in some cases.