WHY CYBERSECURITY IS A BUSINESS RISK
Today’s technology has become an integral part of normal business operations. This integration, which fosters innovation in business, results in cutting-edge software solutions, advanced data storage, faster computer processing, and increased productivity of the workforce. Commercial and government agencies have begun to rely heavily on technology and are obsessed with the convenience and efficiency that it can offer. Such obsession has caused the industry to build increasingly complex infrastructures to support business operations and agency missions. However, we often underestimate the immense level of effort and the importance of protecting information systems and sensitive data. Therefore, cybersecurity threats exploit the increased complexity and connectivity of critical infrastructure systems, potentially placing the nation’s security, economy, public safety and health at risk.
Cybersecurity risk can also harm an organization’s ability to continue to innovate and expand market shares. For example, one of the most well-known technology companies in the United States, Facebook, was exposed to multiple data breaches and security issues in 2019. Most of us have heard about some of these significant Facebook events, including the time when over 540 million records comprised of account names, IDs, passwords, and user activity were exposed during April. Then, in September, an unprotected server containing over 419 million Facebook records was discovered. The unprotected server was vulnerable to hackers, which granted them access to Facebook users’ unique IDs, phone numbers, and other personal data. Lastly, in December, it was discovered that over 267 million Facebook records exposed users’ names, IDs, and phone numbers. Unfortunately, the unsecured webpage was open to cybercriminals for over two weeks [1].
As a result of the numerous data breaches and security issues, Facebook’s 2019 costs and expenses, including expenses related to privacy and security improvements[2], increased to $46.71 billion, up 51% compared to 2018. Due to the increase in total expenses, the company’s operating margin fell from 45% in 2018 to 34% in 2019. Facebook also faced a $5 billion settlement agreement with the Federal Trade Commission due to the data breaches. The settlement amount is excluded from the total incurred cost since the agreement is still pending court approval[3].
Williams Adley has been serving Federal Government clients for over 35 years. We are a thought leader in the federal cybersecurity market and help federal agencies strengthen their cybersecurity posture. To advance the maturation of our clients’ information security programs, Williams Adley provides critical cybersecurity and FISMA audit support services that deliver impactful outcomes. We have developed comprehensive cybersecurity and FISMA expertise in-house that leverages the National Institute of Standards and Technology’s Risk Management Framework and Cybersecurity Framework.
[1] https://www.identityforce.com/blog/2019-data-breaches
[3] https://www.cnbc.com/2020/01/29/facebook-fb-earnings-q4-2019.html
“Williams Adley provides the critical cybersecurity and FISMA audit support services needed to deliver impactful outcomes to our federal clients.”
Tony Wang, CISA, CIA, CISSP, PMP
Partner
As a Partner of Williams Adley, a leading Washington-DC based certified public accounting and management consulting firm that focuses on serving government clients, Tony is leading a team of talented IT professionals to grow and expand our Cybersecurity Risk Services (CRS) service line. Tony has more than 20 years of experience in business process improvement, information security assessment (e.g., FISMA), IT auditing & consulting (e.g., FISCAM and SOX), project management, risk management, software development, and system implementation. Tony has provided services to clients in various industries with a strong focus on government, healthcare, manufacturing, technology, nonprofit, and financial services.
CONTACT:
P: (202) 371-1397
Email: twang@williamsadley.com
