Most companies obliged to disclose cyber breaches: Kaspersky
B2B International survey reveals 73% of firms not able to keep security breakdowns quiet
The overwhelming majority of companies facing IT security incidents were unable to keep information about those incidents confidential due to pressure from third parties, according to a recently released report from B2B International, in co-operation with Kaspersky Lab.
The Global Corporate IT Security Risks 2013 survey said such disclosures ultimately led to damaged business reputations but were often inevitable.
The study revealed that an average of 44% of companies that suffer a data leakage are forced to disclose the incident to clients who might potentially be affected, while 34% informed their business partners, 33% informed their suppliers, 27% reported to regulators, and 15% were obliged to disclose details to the media.
Large companies are more frequently faced with having to disclose details about IT security incidents to third parties. These organisations must primarily report to regulators, clients, and the media. The need to disclose this type of information naturally risks causing substantial damage to corporate reputations.
Not infrequently, disclosure is also associated with financial losses in the form of fines imposed by regulators, and compensation for related losses incurred by clients and partners.