Keeps On Climbin'
This shouldn't come as a huge surprise, but Sue Marquette Poremba reports that the Poneman Institute released research that indicates the financial costs of breaches is on the rise: A recent Ponemon Institute study states that the cost of a breach went up in 2010 to approximately $214 per record, $10 more per breached record when compared to 2009... Data breach costs hit $7.2 million and show no sign of leveling off. What's particularly interesting is what Poneman found regarding the origins of breaches: •The cost of a data breach as the result of malicious attacks and botnets were more costly and severe. •Negligent insider breaches have decreased in number and cost, most likely resulting from training and awareness programs having a positive effect on employees' sensitivity and awareness about the protection of personal information. Additionally, 58 percent have expanded their use of encryption up from 44 percent last year. •Organizations are spending more on legal defense costs that can be attributed to increasing fears of successful class actions resulting from customer, consumer or employee data loss. The bottomline is, lost data is costly, no matter how you look at it!