Broadbandits, broadband bandits and the devastating effects on the market
The Economist lights the spotlight on the proliferation of hacker attacks against industries, businesses and entire economic sectors. The issue is still too undervalued even by the affected companies. And IT security companies do not protect their customers enough. The game is geopolitical and needs a global agreement. Will it really be possible?
18 Jun 2021
Mila Fiordalisi Director
The hacker attacks on Colonial Pipeline and worldwide Internet blackouts staged in recent days, due to “malfunctions” of some cloud platforms – according to official statements, But there are those who suspect that cybercrime is behind it – they are a clear sign that the cybersecurity issue is not taken seriously enough.
It is paradoxical, to say the least, that Web giants and multinationals are often and willingly affected by viruses and other malicious intrusions with repercussions on customers and on the Web itself. The Economist devotes an in-depth analysis to the issue. Broadbandits, the network bandits, is the title of the interesting article that lights the spotlight on the phenomenon of cybercrime.
“In conventional warfare and cross-border crime, there are rules of conduct that help contain risk. In the cybernetic domain, news and confusion remain, “he reads. “The cloud of secrecy and shame surrounding cyber attacks amplifies the difficulties. Companies keep them hidden. And incentives to mitigate risks don’t work well. Many companies overlook the basics, such as two-step authentication and the computer security industry has many sharks that fool customers: much of what is sold is little better than medieval magic charms”.
A bitter analysis of the Economist that outlines worrying and dangerous future scenarios. In quoting a study by the London Business School it is highlighted that “computer risk is contagious and it is beginning to be taken into account in the price of shares”. But “the data is so opaque that the effect is unlikely to reflect the real risk”.
What solutions? A cyber attack by criminals tolerated by a foreign opponent constitutes retaliation? When does a virtual intrusion require a real-world response? The question is decidedly geopolitical: “Ideally we should work on a global agreement that makes it more difficult for broadband bandits to threaten the health of an increasingly digital economy”. Ideally, this is the problem. Because the ideal collides with opposing positions between countries not “aligned”, between West and East.
• Setting incentives by private sector is the first step, the Economist suggests. Officials in America, Britain and France want to ban the insurance coverage of ransoms linked to cyber attacks, because the effect is that further attacks are encouraged. It is better to require companies to publicly disclose the attacks and their potential costs. An exercise of “humility” that would help to clear the field from the first obstacles. But the path will be long and tortuous and raising the guard level is becoming necessary and indispensable.
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