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7 Cyber Security Risks Businesses Will Face in 2023

With the growth of businesses, concerns will also increase. Cybersecurity should be a top priority for any business owner. Hacking is becoming more advanced, and if left unchecked, it may cause significant harm to organizations. Companies must be aware of the dangers they face to protect themselves and their data. This post will discuss seven cybersecurity risks businesses will face in 2023.

1. Proliferation of the Internet of Things (IoT)

As more and more devices become connected to the internet, the potential for cyberattacks increases. Hackers can target these devices to gain access to sensitive data or launch attacks on other devices on the network. Businesses can secure their IoT devices and networks to protect themselves from these threats by segmenting their networks and using strong authentication methods.

2. Increased use of AI and machine learning

Businesses adopting AI and machine learning will become more vulnerable to cyberattacks. Hackers can target these systems to manipulate or gain access to sensitive data. Businesses can protect their AI and machine learning systems using data encryption and access control measures.

3. Rising popularity of cloud computing

As cloud computing becomes more popular, businesses will rely more on storing and processing data. This increased reliance makes businesses more vulnerable to attacks, as hackers can target cloud servers to gain access to sensitive data. Businesses can encrypt and authenticate their cloud servers to protect them.

4. Cult of the Zero-Day (every vulnerability will have a criminal market)

A zero-day vulnerability is a security flaw unknown to the manufacturer or developer of a piece of software or hardware. Criminals can exploit these vulnerabilities to gain access to data or systems. Businesses must keep their software and hardware up to date to avoid these risks.

5. Security and Politics

As we have seen in recent years, political tensions can lead to cyberattacks. Businesses must be aware of the political climate to anticipate and defend against these dangers.

6. Edge Computing

Edge computing is a new way of processing data that is becoming increasingly popular. In edge computing, data is processed at or near the source instead of being sent back to a central location. This can provide faster processing times and reduce bandwidth usage, but it poses new security risks as data could be compromised while processing at the edge. Organizations must consider these risks when considering whether or not to use edge computing.

7. Quantum Computing

Quantum computers are computers that use quantum mechanical phenomena to perform calculations. These computers are still developing, but they will pose a new threat to cyber security when they become widely available. This is because quantum computers can break through traditional encryption methods, making data and systems vulnerable to attack. Stay ahead of this threat by keeping up with developments in quantum computing and investing in quantum-resistant encryption methods.

As the world becomes increasingly connected, the risk of cybercrime grows. The average cost of a data breach worldwide has increased significantly over the past few years, reaching an all-time high of $4.35 million in 2022, according to an IBM report. This figure represents a 2.6% increase from the previous year and a 12.7% rise from 2020, indicating that data breaches are becoming increasingly expensive for businesses globally. With these trends in mind, it’s so important for your organization to consider adequate cyber insurance as a part of your risk management program. Otherwise, you risk lacking the appropriate coverage and dealing with hefty out-of-pocket costs in a cyber incident. For more information about cyber insurance, contact Watkins Insurance Group today. We’re here to help.

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