Cybercrime is increasing at an alarming rate across the world and has become one of the biggest threats faced by companies, governments and individuals as the spread of digital technology and connectivity makes every form of human activity vulnerable to attack.
Global research company Cybersecurity Ventures predicts that the damages from cybercrime may cost the world $6tr a year by 2021, up from $3tr in 2015. Its estimates include everything from the damage, theft, and destruction of data, to stolen money, lost productivity, the cost of recovery from an attack and reputational harm.
A more grounded figure from US global computer security company McAfee puts global losses in 2017 at $600bn, which nonetheless amounts to more than the income of almost all but a few countries. In the context of the worldwide internet economy, which amounted to $4.2tr in 2016, cybercrime could be viewed as a 14% tax on growth, it says.
Part of the difficulty in calculating the impact of cybercrime is that much of it goes unreported and even undetected. In the absence of laws forcing disclosure, companies are reluctant to publicise cybersecurity breaches.
“The reality is that no one has a good handle on it because a lot of cybercrime happens below the waterline,” says Brian Pinnock, director of sales engineering for the Middle East and Africa at Mimecast, an international company which focuses on email security. “Until people start disclosing their status, you don’t know how bad the epidemic is.”
Nonetheless, the figures which are available are alarming. McAfee says that nearly two-thirds of the people who use online services, or more than 2bn people, have had their personal data stolen or compromised.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
THE HEALTH OF SA'S MEDICAL SCHEMES
As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.
The effect of Gilbertson's departure
With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.
Making money from music
Why investors are increasingly drawn to the music industry.
Conviction is key
Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.
The post-pandemic toolkit
How CFOs can use technology to support growth.
Big city living exodus
Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.
Big compact, big value
Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.
On barriers to entry
There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.
Fear and greed in one index
To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.
Africa's largest data centre facility coming soon
Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.