New study reveals lax cybersecurity policies

Thursday, December 08, 2011

A recent Lloyd's of London study revealed that despite the frequency of cyber attacks, the actions of U.S. companies suggest that they may not fully comprehend the impact of these growing threats.

Of those organizations surveyed, malicious attacks ranked No. 12 on a list of most pressing risks facing these companies, while non-malicious security vulnerabilities was No. 19.

According to the study, the average preparation level is "relatively low given the frequency and potential impact of the risk."

The Lloyd's of London research also noted that the cost of cybersecurity breaches is on the rise, with most of the damage occurring in the United States. The news provider cited a previous study conducted by a security vendor that revealed global cyber crime accounts for $114 billion a year in losses, with $96 billion from U.S. companies.

Overall, worldwide security budgets are expected to soar as organizations address their network vulnerabilities. According to research firm Gartner, global spending is projected to grow from $35.1 billion this year to nearly $50 billion by 2015.