Strengthen cybersecurity amid economic turbulence


by Johan Gerberexecutive vice president, security and cyberinnovation, Mastercard

The key to protecting trust in our increasingly digitalized world is effective cybersecurity. A clear indication of its importance today is that we now view cybersecurity, beyond geopolitical and economic challenges, as a major risk area for merchants, fintechs, financial institutions (FIs) and other players. keys to the market.

Part of the reason is that criminals are getting smarter and continuing to exploit new technologies. The result is increased pressure on organizations across markets and segments to protect their systems against increasingly sophisticated and increasingly impactful risks.

This growth is clear from the figures: the global average the cost of a data breach in 2023 has reached a staggering US$4.45 million, an increase of 15% over a period of three years. This cost includes expenses related to customer loss and new customer acquisition, as well as the financial implications of reputational damage and customer decline.

Added to this is the fact that in our own research we revealed that 98% of consumers are concerned about the current level of cybercrimedemonstrating the uphill battle businesses now face in resolving the public trust issue.

This means that it has become a threat that all organizations, regardless of size, can no longer ignore. Ransomware attacks still dominate the landscape with the average demand in 2023 being US$1.6 million, an increase of 74% over the past year. After a peak in 2021, we are still seeing around 500 million attacks per year.

Cybersecurity: a growing challenge for us all

The challenge is not just for organizations, but also for us as a leading global technology company. It also challenges us in new ways. At a time when global economic shocks pose additional barriers to financing cyber protection, this motivates us to innovate faster to secure the future of our customers and our network.

First, we accelerate the pace of innovation by constantly investing in expansion cyber security capabilities, allowing us to simplify the connection between convenience and security for businesses.

This goal is achieved by leveraging best-in-class technologies, such as artificial intelligence (AI) or quantum computing, and by boosting cyber solutions and enhancing capabilities that enable faster, smarter and more effective protection for everyone.

How does this actually work? The first example involves cutting-edge AI technology that not only informs organizations of their cyber vulnerabilities – and the risks existing within their supply chains – but also warns them of any upcoming threats. Threat protection solutions set traps to prevent unwanted bots from getting close, all with minimal human intervention.

These initiatives help companies build public trust: One company needed help identifying which of its suppliers had weak cybersecurity. By leveraging our common threat intelligence tools, the company could see network changes affecting its suppliers in real time and could take instant action to protect its networks, resulting in a 50% reduction in its cyber risk. .

Second, we learn and better understand the ever-changing priorities of business leaders. From our recent research, commissioned by Mastercard and carried out by Datos, we know that increased cyber risks, combined with more effective technology solutions, are encouraging organizations to invest.

This reinforces our view that economic uncertainty does not mean compromising cybersecurity. In fact, quite the opposite. Cybersecurity budgets are actually increasing: more than half of financial institutions increased their budgets between 5 and 10% in 2022 compared to 2021, a trend that is expected to continue in 2023 and 2024.

That said, however, the value of cyber investing depends on the expertise and knowledge behind it, and quantifying the value and return on investment is especially critical during tough economic times. This remains a vital challenge for businesses, and our research shows they recognize the need for external support.

A strong majority (84%) of cybersecurity leaders said they would benefit from third-party assistance in deploying AI-based solutions, navigating digital identity, API security, and knowing what Cyber ​​threats are looming on the horizon.

Innovate to solve challenges and maintain confidence in cybersecurity

Research helps us determine our direction, and the results motivate us to act smarter and faster. For example, AI is being deployed on a larger scale. It’s driving productivity gains all over the world, and this futuristic technology isn’t just something we leverage to enrich individual experiences. It also helps solve some of the most pressing societal challenges and, above all, keep people safe.

Just look cryptocurrencies. It is estimated that there is four times more fraud in cryptocurrencies than in traditional fiat payments. So we design new innovations to stay ahead of the curve. Secure crypto solutions help organizations make informed decisions that protect their business, as well as the entire payments ecosystem, by providing visibility into crypto spending, transaction volumes, and exposure to counter risks. money laundering.

It is only through innovative solutions like these that banks and other organizations can gain and, more importantly, retain the trust of their customers on whom their business depends. We know that trust is fragile. It can be broken in a nanosecond and take years to repair, and sometimes it can never be recovered.

As the global financial ecosystem grows, it becomes increasingly difficult for organizations to navigate the maze of cyber risks on their own. That’s why we’re moving forward to provide businesses, merchants, financial institutions and fintechs with the innovative tools and specialized knowledge they need to understand the risks they face.

Through constant innovation, we give them the resources to assess, protect and organize against today’s attacks, as well as anticipate those of tomorrow.

Rapid resilience: the key to responding to new threats

Today, technology is advancing at a rapid pace and our society is increasingly connected. This means there will be new threats that will require rapid responses and unprecedented levels of resilience for businesses. But help is at hand; There are exciting new opportunities ahead to accelerate the pace of development even further and deliver innovations at lightning speed.

However, in our mission to get ahead of cyber threats, we must ensure that trust remains at the heart of our efforts to make payments transparent and secure and is not an afterthought. Maintaining this balance is essential to securing the connections that power our digital world.

Media Disclaimer: This report is based on internal and external research obtained through various means. The information provided is for reference purposes only and users take full responsibility for their reliance on it. THE Cyber Express assumes no responsibility for the accuracy or consequences of the use of this information.

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