Down Economy Forces Companies to Cut Down on Cyber Security

sqlBecause of the struggling economy, many companies have been making cutbacks. But at the same time that cyber security concerns are rising, companies continue to cut IT funding.

According to an anti-fraud command company RSA in Tel Aviv, Israel, there has been a recent rise in attacks on U.K. businesses.

Oren Parag, an analyst for RSA stated “It’s always on the rise. It’s been specifically high in the past year. Much higher than before.”

The U.K. is the second most attacked country in the world, trailing only to the great U.S. of A. The U.K. has received 20% of all cyber attacks in the past year. However despite the increase in attacks on these companies it seems that the amount of money being allocated towards the IT development is not increasing. According to Chris Young, Head of Security Product Development at RSA, said: “For a lot of large enterprises, security spending is flat on where it was a year ago, or even a couple of years ago.”

onlineattacksHowever it seems that small business owners are the most risk since their budgets are ever diminishing  and they are forced to turn money away from their IT departments in order to stay afloat. Meanwhile, some companies are trying to make sure that their IT departments stay sharp. Roger Southam CEO of Chainbow in South London a residential property management company, stated “We learned a lesson about three years ago, where we got caught out by a phishing scam. Someone came in through our server and diverted a whole load of emails, which looked like they were coming out from us. Since then, we’ve paid great store in making sure that we don’t get caught out, that we are protected.”

Experts are warning that companies cutting back on their IT departments are playing a dangerous game. Since obviously, this news is not only apparent to business owners but to hackers and cyber criminals as well. Cutting funding for cyber defense departments just doesn’t seem like the right move to make, even if it means sacrificing some of the budget in other departments.

(Via Red Dragon)

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