If you are running a small business and use a service like the Cloud (and who isn’t?) then you need to read this.
Because small and medium level businesses are increasingly reliant on services such as the cloud to help sustain their business.
So much so, that a loss of these services could completely cripple them.
In 2016, up to fifty percent of British businesses fell prey to some sort of cyber attack or fraud.
A worrying 46% of British companies were the victims of a security threat or lapse in their data systems. This was a double the figures for the year before.
Today it is has been warned that all businesses, both large and small, need to do more to try and protect their data.
But in particular, a recent study has proven that an attack on the cloud could cost the US economy dearly. Up to $15 billion, by one estimate.
And of course, they aren’t the only ones.
It has been calculated that a mere three days of service disruption in of one of the main cloud services could have a very real time and real money effect on the economy of the U.S.
The manufacturing sector could see a loss of up to $8.6 billion, with retail being damaged to the tune of $3.6 billion.
Financial services stand to lose a horrifying $447 million and transport could see a loss of $439 million.
This would have a huge impact on the economy of the U.S. – and Britain – and it would be likely to affect the smaller players the hardest.
And it could all happen so easily.
All it could take would be a natural disaster; possibly a flood or storm damage, to see an outage that could take the economy a long time to recover from.
Acts of God are not the only thing that could spark a cloudburst.
There is also the very real threat of a terrorist attack, or some other agency at work, to bring systems down.
Even simple human error can produce catastrophic results. And then there are good old fashioned software or hardware disasters.
When you start to think about it like that, the probability of something happening to a major provider of cloud services is more than likely at some point.
As well as the impact this would have on the economy, both of the U.S, Great Britain and worldwide, there is also the risk to smaller businesses which should be taken into account.
Because it is a smaller business which may bear the brunt of any hit and be the ones most vulnerable to closure. In short, they may never fully recover from the damage even a short scale loss of service of a cloud provider could elicit.
Worryingly, the UK government has estimated that a large number of British businesses are not in a position to stop any cyber attack on their own businesses, either. This could be a double whammy for unprepared smaller and medium sized businesses, should they suffer a data loss of any description.
A survey revealed that cyber attacks cost the average UK business £1570 per company. For a bigger company, this figure rises to £19.6k.
Larger companies were also more likely to actually become the victims of cyber crime – with two thirds of businesses with more than 250 workers being targeted by criminals.
So, what to do about the issue?
Get more clued up, say the experts.
Businesses need to start asking more questions of their cloud service provider, for a start off.
The Cloud is just a fancy way of saying you are using another computer somewhere for storage. In effect, you are handing over your sensitive business information and clients’ personal details, to a total stranger, to keep safe for you.
A little understanding of the issue in hand can help businesses understand what service to pick and also what they can do in the event of calamity.
With cyber crime costing UK businesses billions in lost revenue each year, you can’t afford to ignore the risks to your company.