Mobile

11/28/2017
02:55 PM
50%
50%

Retail and Hospitality Breaches Declined Over Past 2 Years

A drop in publicly disclosed breaches for the two industries is due in part to fewer point-of-sale breaches.

Publicly disclosed breaches in the retail and hospitality industries have fallen to less than five occurrences per month, down from double-digit figures over the last two years, a new report released today reveals.

This drop is attributed in part to merchants, hotels, and restaurant chains retooling their point-of-sale (POS) systems to accept EMV or chip payment cards, says Stephen Boyer, CTO and co-founder of BitSight Technologies, which authored the report.

"EMV adoption has really accelerated since the Target breach and that could partly be the reason why the total number of breaches is trending down," Boyer says. "You hear a lot about breaches all the time, so I was not expecting the total trend to be going down."

During the January 2015 to January 2017 period analyzed in BitSight's report, the total combined number of publicly disclosed breaches in the retail and hospitality industries reached 320. But over the span of two years, it fell from 186 breaches in 2015, to 131 in 2016, with just three reported breaches in January.

POS systems were the largest vector of attacks for the hospitality industry, accounting for nearly 40% of the 181 breaches hotels and restaurants faced over the two-year period, according to BitSight's data. The frequency of POS attacks fell sharply from eight a month in 2015, to as few as two toward the end of 2016.

Web apps, meanwhile, were the largest targets of attack in the retail industry, accounting for nearly 30% of the 139 breaches encountered during that period. During the first half of 2016, the retail industry had a slight spike in publicly disclosed Web app attacks, but no POS attacks, according to BitSight data. And in the first quarter of 2016, the hospitality industry got hit with six publicly disclosed Web attacks at a time when its POS attacks dipped.

"I have no doubt that EMV cards are forcing some cybercriminals to Web apps. I think that is the only explanation that makes a lot of sense," says Avivah Litan, a Gartner analyst.

Chip cards are less lucrative and more work for cybercriminals to deal with, Litan says. EMV cards do not carry users' data on a magnetic strip that can be skimmed and sold on the Dark Web, and specialized equipment is needed to pull information off the chip payment card, she notes.

Given those challenges, hitting a Web app and intercepting an e-commerce transaction may be easier for cyberthieves, according to BitSight's Boyer.

He adds that although companies are getting better at protecting their customers' data and transactions, cybercriminals remain highly motivated, and data breaches against the retail and hospitality industries aren't likely to subside.

Related Content:

Dawn Kawamoto is an Associate Editor for Dark Reading, where she covers cybersecurity news and trends. She is an award-winning journalist who has written and edited technology, management, leadership, career, finance, and innovation stories for such publications as CNET's ... View Full Bio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Why Cybersecurity Must Be an International Effort
Kelly Sheridan, Associate Editor, Dark Reading,  12/6/2017
NIST Releases New Cybersecurity Framework Draft
Jai Vijayan, Freelance writer,  12/6/2017
Register for Dark Reading Newsletters
White Papers
Video
Cartoon Contest
Write a Caption, Win a Starbucks Card! Click Here
Latest Comment: This comment is waiting for review by our moderators.
Current Issue
The Year in Security: 2017
A look at the biggest news stories (so far) of 2017 that shaped the cybersecurity landscape -- from Russian hacking, ransomware's coming-out party, and voting machine vulnerabilities to the massive data breach of credit-monitoring firm Equifax.
Flash Poll
[Strategic Security Report] How Enterprises Are Attacking the IT Security Problem
[Strategic Security Report] How Enterprises Are Attacking the IT Security Problem
Enterprises are spending more of their IT budgets on cybersecurity technology. How do your organization's security plans and strategies compare to what others are doing? Here's an in-depth look.
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2017-0290
Published: 2017-05-09
NScript in mpengine in Microsoft Malware Protection Engine with Engine Version before 1.1.13704.0, as used in Windows Defender and other products, allows remote attackers to execute arbitrary code or cause a denial of service (type confusion and application crash) via crafted JavaScript code within ...

CVE-2016-10369
Published: 2017-05-08
unixsocket.c in lxterminal through 0.3.0 insecurely uses /tmp for a socket file, allowing a local user to cause a denial of service (preventing terminal launch), or possibly have other impact (bypassing terminal access control).

CVE-2016-8202
Published: 2017-05-08
A privilege escalation vulnerability in Brocade Fibre Channel SAN products running Brocade Fabric OS (FOS) releases earlier than v7.4.1d and v8.0.1b could allow an authenticated attacker to elevate the privileges of user accounts accessing the system via command line interface. With affected version...

CVE-2016-8209
Published: 2017-05-08
Improper checks for unusual or exceptional conditions in Brocade NetIron 05.8.00 and later releases up to and including 06.1.00, when the Management Module is continuously scanned on port 22, may allow attackers to cause a denial of service (crash and reload) of the management module.

CVE-2017-0890
Published: 2017-05-08
Nextcloud Server before 11.0.3 is vulnerable to an inadequate escaping leading to a XSS vulnerability in the search module. To be exploitable a user has to write or paste malicious content into the search dialogue.