A new report from cybersecurity firm Kaspersky has emphasized the importance of keeping your tech updated. The firm’s study found that the financial damage of a data breach is often significantly greater for organizations using outdated digital solutions.
The report found that businesses that fail to make timely updates lose 47% more money when suffering a data breach compared to those that commit to regular updates. For small and medium-sized firms, the financial damage can be as much as 54% higher.
“Any additional costs for business are of course critical, especially now,” Sergey Martsynkyan, Head of B2B Product Marketing at Kaspersky, commented. “The global economic situation is unstable because of the pandemic and investments in IT and IT security are predicted to decrease. This is why in this year’s ‘IT Security Economics’ report we wanted to explore how businesses can reduce the burden in case of a cybersecurity incident. It offers strong reasoning why the issue of obsolete software is so important. Even if it is impossible to get rid of it overnight, there are still some measures to mitigate the risk. Companies can not only save money, but also avoid other potential consequences – which is crucial for any business.”
Despite the risks of using obsolete and unpatched software, it is surprisingly common, with almost half of all organizations using some form of out-of-date technology. Often businesses cite compatibility issues, an unwillingness from employees to use newer tools, and the fact that some solutions are owned by members of the c-suite as reasons for not installing updates.
In order to minimize the risk posed by data breaches, businesses should make sure that the latest versions of all operating systems and applications are installed, patch management features in endpoint protection solutions are enabled, and security training is offered to IT managers.
For many businesses, the financial impact of a data breach can be devastating – costing $1.225 million on average for businesses using outdated technology. What’s more, the reputational damage incurred can last long into the future.