The Race to Adapt: Fastly Research Reveals Businesses Lost Almost 10% of Their Revenue From Cyber Attacks in the Last Year

Rhea-AI Summary

Fastly, Inc. (NYSE: FSLY) releases its annual global cybersecurity report, revealing that businesses suffer an average of 46 known cyber attacks per year, leading to 9% revenue loss. The report also highlights the damaging effects of cyber attacks, including network outages, data loss, web applications being taken offline, and customer account compromises. The survey of 1,500 IT decision-makers globally provides insights into current security concerns, with 76% planning to increase their cybersecurity budgets. Cybersecurity professionals are also concerned about the talent shortage and are looking to invest in Generative AI as a potential solution.

Positive

• Businesses are reevaluating their investments, with 76% planning to increase their cybersecurity budgets in the next year. Generative AI is expected to be the top security priority for businesses over the next 12 months, with 37% focusing on AI security. The report provides valuable insights into current security concerns and strategies, offering essential input for shaping cybersecurity strategy for 2024 and beyond.

Negative

• The talent shortage in the cybersecurity industry is causing issues, with 30% of cybersecurity professionals estimating that security issues in the last 12 months were caused by the talent shortage. Only 55% of security tools are being fully deployed, representing significant money left on the table in the fight against cyber criminals.

Organizations take an average of up to eight months to recover from the negative effects of security breaches, which include customer account compromises, and large-scale data loss.

SAN FRANCISCO--(BUSINESS WIRE)-- Fastly, Inc. (NYSE: FSLY), a leader in global edge cloud platforms, has today launched its new annual global cybersecurity report, uncovering the staggering impacts of cyber attacks on leading businesses across the globe, with each of these suffering an average of 46 known cyber attacks this year. This survey also reveals the hugely damaging financial effects of security breaches, with businesses losing 9% of their revenue over the last 12 months as a direct result of the cyber attacks they have suffered. But financial damage is not the only result of cyber attacks. Businesses also highlighted network outages (34%), data loss (29%), web applications being taken offline (24%) and customer account compromises (22%) as the most common damages caused by security breaches.

For Fastly's latest security report we surveyed almost 1,500 IT decision-makers in large organizations globally to reveal their security investments and plans. This report offers essential insights into current security concerns and strategies, providing valuable input for shaping your cybersecurity strategy for 2024 and beyond. (Graphic: Business Wire)

Sean Leach, VP Technology at Fastly, explained why these cyber attacks are so damaging: “While the immediate results of a cyber attack can be extremely damaging, what really hits businesses hard is the time it takes them to recover from these. On average, it will take businesses 7.5 months to recover from the loss of client trust as a result of a cyber attack. That is highly sobering for organizations which cannot afford to lose business in today’s economic climate. Once trust is broken, it’s very difficult to recover. This means a single cyber attack - particularly one resulting in a customer data breach - will have long-term impacts on the business that suffers it. During an uncertain economy, the long-term financial consequences of suffering a security breach cannot be ignored.”

In recognition of the financial implications of not having the correct security infrastructure in place, businesses are reevaluating their investments, with 76% planning to increase their cybersecurity budgets in the next year. Despite this increase, uncertainty continues to reign in security teams, with 35% of security professionals feeling they spent too much on cybersecurity tools in the last 12 months, compared to 18% who feel they did not spend enough. Representative of this conflicted spending strategy is the fact that only 55% of security tools are being fully deployed, representing significant money left on the table in the fight against cyber criminals.

The diminishing talent pool in security is also causing issues. In fact 30% of cybersecurity professionals estimate that security issues in the last 12 months were caused by the talent shortage, with 33% predicting this will continue in the next 12 months. Accordingly, over the past year 47% of businesses have increased their talent-specific budgets to solve the problems presented by the existing talent pool. A lack of experience dealing with new threats (46%), a lack of necessary skills (36%), and an inability to work at scale (36%) are seen by security professionals to be the core challenges facing the talent pool, which have significantly complicated the hiring process.

One potential solution to these challenges is Generative AI, which 51% of security professionals are expected to invest in over the next two years. This is also the top security priority for businesses over the next 12 months, with 37% focussing on AI security. This increased prioritization comes as a result of the double-edged sword Generative AI presents. On one hand, it is predicted to be the 2nd most prevalent threat driver in the next year, but on the other, in the same time period 75% of cybersecurity professionals estimate Generative AI’s impact will be positive.

Leach added: “Despite now prioritizing the resolution of challenges related to the talent pool for the last two years, many businesses continue to try to address these by simply spending more. While this strategy can help businesses to secure the top talent, it ignores the technological developments - and alternative solutions - that can help security teams overcome their personnel challenges. Among these, we’ve seen that Managed Security Services (MSS) and Generative AI have been particular focus areas as businesses look to reduce the toil for their in-house security teams by taking time-consuming work off their hands to increase productivity, unlock new opportunities for innovation and ensure businesses are better protected across their attack surface.”

To read the full report and understand how businesses can help protect themselves within the constantly-evolving threat landscape, visit https://learn.fastly.com/the-race-to-adapt.html

About the research

This research surveyed 1,484 key IT decision makers in large organizations spanning multiple industries across North America, Europe, Asia-Pacific and Japan.

About Fastly

Fastly’s powerful and programmable edge cloud platform helps the world’s top brands deliver the fastest online experiences possible, while improving site performance, enhancing security, and empowering innovation at global scale. With world-class support that achieves 95%+ average annual customer satisfaction ratings, Fastly’s beloved suite of edge compute, delivery, security and observability offerings has been recognized as a leader by industry analysts such as IDC, Forrester and Gartner. Compared to legacy providers, Fastly’s powerful and modern network architecture is one of the fastest on the planet, empowering developers to deliver secure websites and apps at global scale with rapid time-to-market and industry-leading cost savings. Thousands of the world’s most prominent organizations trust Fastly to help them upgrade the internet experience, including Reddit, Pinterest, Stripe, Neiman Marcus, The New York Times, Epic Games, and GitHub. Learn more about Fastly at www.fastly.com and follow us @fastly.

Source: Fastly, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231115803238/en/

Media Contact:

Alex Klepel

press@fastly.com

Investor Contact:

Vernon Essi, Jr.

ir@fastly.com

Source: Fastly, Inc.

FAQ

What is the average number of known cyber attacks businesses suffer per year?

Businesses suffer an average of 46 known cyber attacks per year.

What percentage of businesses plan to increase their cybersecurity budgets in the next year?

76% of businesses plan to increase their cybersecurity budgets in the next year.

What is the top security priority for businesses over the next 12 months?

Generative AI is the top security priority for businesses over the next 12 months, with 37% focusing on AI security.

What are the core challenges facing the talent pool in the cybersecurity industry?

The core challenges facing the talent pool in the cybersecurity industry are a lack of experience dealing with new threats, a lack of necessary skills, and an inability to work at scale.

What is the potential solution to the talent shortage in cybersecurity?

Generative AI is expected to be the potential solution to the talent shortage in cybersecurity, with 51% of security professionals expected to invest in it over the next two years.