A new study from Telus Corp. in partnership with the Rotman School of Management released today reveals a majo...
September 30, 2009
A new study from Telus Corp. in partnership with the Rotman School of Management released today reveals a major increase in annual losses related to Information Technology (IT) security breaches.
According to the study, which surveyed more than 600 IT security professionals across the country, IT security breaches will cost the average Canadian organization an estimated $834,000 in 2009, a 97% increase from the $423,000 reported by the study last year.
Similarly, the average number of reported IT security breaches also increased 276% to 11.3 per organization this year compared with an average of three in 2008.
“The significant increase in reported breaches is sobering; however, there are several reasons for this activity and some of them are actually positive,” said Dr. Walid Hejazi, Professor of Business Economics at Rotman.
“Our research indicates that one of the contributing factors behind the surge in IT security-related losses is compliance regulations. Although this factor does not explain all instances of breach increases, it is important to note that because compliance has become a much stronger driver for private companies and government organizations in 2009, capabilities to detect and respond to security compromises have greatly improved.
“The result is that organizations are now detecting more security threats than ever before and consequently need to allocate more budget to address them appropriately.”