At AZ Cyber Initiative, we recognize the need for improved cybersecurity awareness and training to better protect against cyberattacks.
Why we care so much about cyber and why you should too
Cybercrime continues to be one of the fastest growing forms of criminal activity in the United States and throughout the world. Cyberattacks against small and medium size businesses are increasing and are more likely to be targeted in online attacks than in recent years. According to Verizon’s most recent Data Breach Investigations Report (DBIR), 43% of all cyberattacks are aimed businesses with fewer than 1,000 employees. of all cyberattacks are aimed businesses with fewer than 1,000 employees.
In Ponemon Institute’s 2019 survey of nearly 2,200 small and medium-sized businesses (fewer than 1,000 employees) located in the U.S. throughout most of Europe:
Of the businesses had experienced at least one cyber attack at some point in their lifetime
Experienced a cyberattack in the previous 12 months
Suffered a data breach in the previous 12 months
A 2019 Cyber Readiness Report issued by Hiscox – a global specialty insurance provider – breaks its numbers down further:
Of small businesses (under 50 employees) in the U.S. and Europe were targeted with cyberattacks in 2019, up from 33% in 2018
Of medium-sized businesses (50-249 employees) were targeted in 2019, up from 36% in 2018
Of large businesses (250-999 employees) were targeted in 2019, roughly the same percentage as in 2018
Cyberattacks are damaging for Small Businesses
The continued rise of cybercrime – and the continued failure of businesses and enterprises to protect against it – has a devastating impact on the global economy. According to Cybersecurity Ventures, a leading researcher for the global cyber economy, damages from cybercrime will cost the world $6 trillion a year by the end of 2021. For small businesses, the costs can be particularly devasting, which is why up to 60 percent of small and midsized companies go out of business within six months of experiencing a cyberattack.
- The mean cost of a company’s single largest cybercrime incident –across all business sizes– was $200,000 in 2019, a nearly six-fold increase from the previous year.
- Among companies of varying size, the mean cost of the largest single incident came to:
$395,000 for large companies (250-999 employees), a nearly 18-fold increase from 2018.
- The mean total costs resulting from all cybercrime incidents came to:
$14,000 for small companies (under 50 employees) in 2019, a decrease from $29,000 the previous year.
$715,000 for large companies (250-999 employees) in 2019, nearly four and a half times the cost reported the year before.
Cybercrime in Arizona
Cyberattacks Continue to Harm Arizona Individuals and Businesses
According to the FBI’s most recent Internet Crime Report:
Arizona was ranked 17th among U.S. states and territories for total cybercrime victims in 2019, with a total of 7,795 (includes individuals and businesses).
Arizona was ranked 17th among U.S. states and territories for total cybercrime losses in 2019, with just over $47 million in accumulated losses (for individuals and businesses).
Individuals over the age of 60 are the most common cybercrime victims in Arizona and account for the largest portion of financial losses.
Arizona is a Recognized Leader in Cybersecurity
Cybersecurity is one of Arizona’s largest technology sectors, with more than 30 major cybersecurity companies headquartered within the state.
The Arizona Cyber Threat Response Alliance (ACTRA) – a nonprofit partnership between public and private entities created to share cyberthreat information in real time and develop cyber security standards – has been a driving force behind Arizona’s leadership in cybersecurity.
In 2018, Governor Doug Ducey launched the Arizona Cybersecurity Team – a group of experts from all levels of government and the private sector – to increase public awareness, share best practices, and strengthen cybersecurity workforce development and education. By most accounts, this endeavor has been yielded positive results.