Cyber attacks have risen 60% and there have been over $5.4 billion in losses after the CrowdStrike outages. Continue reading to explore the lingering effects from the outages and learn effective strategies to fortify your organization against increasing cyber threats.
Major Financial Losses Due to CrowdStrike Outages
Cloud risk firm Parametrix reports that the CrowdStrike outages have resulted in substantial financial losses for a number of Fortune 500 businesses, totaling $5.4 billion. The hardest impacted industries include the healthcare sector facing a $1.9 billion loss followed by the banking industry with $1.4 billion in damages. The outages cost the six largest Fortune 500 airlines around $860 million in losses. Of these airlines, Delta was impacted the most.
Delta Air Lines CEO Ed Bastian revealed that the technology outage caused by CrowdStrike’s cybersecurity platform resulted in a staggering $500 million loss for the airline. The incident disrupted Delta’s operations and led to significant delays and over 5,000 cancellations on the day of the outage as well as the days that followed. This negatively impacted thousands of passengers.
Furthermore, this incident has hit Delta harder than its competitors due to its heavy reliance on CrowdStrike and Microsoft for cybersecurity, resulting in significant operational and financial setbacks. Delta’s substantial financial loss highlights the potential ripple effects that technology failures can have on business operations and financial performance. Bastian indicated that Delta is preparing for litigation to seek compensation for the losses incurred, emphasizing the need for accountability and adequate testing of mission-critical systems.
Recent Rise in Cyber Attacks post CrowdStrike Outages
Moving beyond financial damages, in the past three weeks, cyber attacks have risen by approximately 60%. The initial outages disrupted critical cybersecurity services, leaving many organizations vulnerable to exploitation. Cybercriminals took advantage of the weakened defenses, targeting businesses and institutions that were already struggling to secure their networks in the face of these interruptions. The gaps in protection during this period have highlighted the growing sophistication and aggressiveness of cyber threats, as well as the crucial need for robust and resilient cybersecurity measures.
The aftermath of the CrowdStrike outages has underscored the importance of having multi-layered security strategies and contingency plans. Organizations are now facing a heightened threat landscape, with attacks becoming more frequent and severe. This situation has prompted many businesses to reassess their cybersecurity, investing in advanced threat detection and response solutions to mitigate the risks associated with such vulnerabilities. The rise in cyber attacks following these outages serves as a stark reminder of the critical role that continuous and comprehensive cybersecurity efforts play in safeguarding digital assets and maintaining operational integrity. Outlined below are recommendations on how organizations can protect themselves against the increased rate of cyber attacks..
Understanding the Landscape of Cyber Threats
To effectively prevent data breaches and other weaknesses, organizations must have a comprehensive understanding of the landscape of cyber threats. Cyber criminals employ various tactics, such as malware, phishing, ransomware, and social engineering, to gain unauthorized access to systems and steal sensitive data.
By staying updated on the latest cyber threats and trends, businesses can proactively identify vulnerabilities and develop robust defense strategies. This includes monitoring emerging attack vectors, analyzing threat intelligence, and collaborating with industry experts to stay ahead of cyber criminals.
Essential Cybersecurity Measures for Modern Businesses
Implementing essential cybersecurity measures is crucial for modern businesses to protect against data breaches and other cybersecurity vulnerabilities. These measures include:
- Regularly testing and updating software and systems to patch vulnerabilities
- Implementing strong access controls and multi-factor authentication
- Encrypting sensitive data in transit and at rest
- Conducting regular security audits and vulnerability assessments
- Implementing intrusion detection and prevention systems
- Deploying firewall and antivirus solutions
Implementing these measures empowers businesses to significantly reduce the risk of data breaches and enhance their overall security posture.
The Role of Employee Training in Preventing Data Breaches
Employees play a critical role in preventing data breaches. Human error and lack of awareness often contribute to successful cyber attacks. Organizations should prioritize comprehensive employee training programs that focus on:
- Recognizing phishing attempts and social engineering techniques
- Following secure password practices
- Identifying and reporting suspicious activities
- Adhering to company security policies and procedures
By educating employees about potential threats and best practices, businesses can empower their workforce to be the first line of defense against data breaches.
Implementing Advanced Technological Defenses
In addition to employee training, businesses should also implement advanced technological defenses to prevent data breaches. These defenses may include:
- Intrusion detection and prevention systems
- Endpoint protection solutions
- Network segmentation
- Security information and event management (SIEM) solutions
Through leveraging advanced technologies, organizations can detect and respond to cyber threats in real-time, mitigating the risk of data breaches and minimizing the potential impact.
Creating a Resilient Incident Response Plan
Despite best efforts, data breaches may still occur. Therefore, it is crucial for organizations to have a resilient incident response plan in place. This plan should include:
- Clearly defined roles and responsibilities for incident response team members
- Rapid detection and containment of breaches
- Forensic investigation to identify the root cause and extent of the breach
- Notification and communication protocols for affected individuals and stakeholders
- Steps for system recovery and strengthening security measures
Businesses can minimize the impact of data breaches, ensure compliance with regulatory requirements, and restore normal operations as quickly as possible all by having a well-defined incident response plan..
Setting Your Company Up for Success
Cyber attacks can happen to any company. The best practice to set your organization up for success so that you do not fall prey to cyber threats during outages or unpredicted errors. Companies that have been recently impacted may have received a wake up call to re-evaluate their cybersecurity practices.
Overall, this incident and the ensuing rise in cyber attacks highlighted the critical role of cybersecurity in our interconnected world. It emphasizes the importance of thoroughly testing updates, implementing staged rollout processes, and having incident response plans. If you have been affected in any way from recent attacks or are looking to strengthen your cybersecurity, please do not hesitate to contact us.
