Big Basket, Just Dial, and even SBI all have one thing in common – Data Breaches. But for some reason, India is not concerned about Data Breaches.
This article will discuss why we should pay attention to data breaches and how costly data breaches can get. First, let’s talk about something that we think is the most secure and the most private while creating an online account – or passwords. We believe they may not hack Passwords at all. At least some of us do. Well, let me tell you, in 2012, LinkedIn reported that its user’s data had been compromised, and This includes hashed passwords.
Hashes passwords are encoded passwords, and These are passwords that are protected using encryption.
Now, these hashed passwords were being compromised. Now you may say, “These are hashed passwords, and it’s going to take a lot of effort to decrypt these passwords.” Well, let me tell you that hackers are pretty intelligent. Hackers can often decrypt these passwords, which could be a huge problem, especially because many give the same password for multiple accounts. So if a hacker gets hold of your password in one place, a lot of your information can be compromised, which could mean a lot of losses to you.
Luckily LinkedIn responded to this data breach rather quickly. It alerted its users that password information had been compromised, and users could promptly change their passwords. The earlier you respond to a data breach, the better it is for your brand. Like IBM, they say that if a company responds to a data breach in 200 days, they will lose $1.1 million lesser than companies that don’t. In India, the average response time towards a data breach is 313 days, and This is not a significant number. Considering the number of losses brands and companies can go through for a simple data breach. These losses include – customer losses, reputational losses because, let’s face it, any brand or company that goes through a data breach doesn’t particularly look good. So with this, you have subsequent cleanup costs, including the fee that you have to pay for PR Management,
Now added to all of these costs, not only are these costs prohibitive, but you will have additional burdens. Such as you can be fined for a data breach. Take, for instance, a credit management company in the US called Equifax. They were fined $575 Million for a data breach after its user’s data, including sensitive information such as social security numbers and license numbers, were compromised. Now you have all these losses, costs, and fines, but things could still worsen. Like the share price of a company could be significantly affected if its data has been breached.
Take, for instance, what happened to Twitter. When the accounts of individuals such as Elon Musk, Barack Obama, Bill Gates, and Jeff Bezos were compromised, Twitter’s share price dropped by 5%. Also, these are top brass individuals. Even they are not above a data breach. We need to start paying more attention to data breaches because we need to ask ourselves the question. After all, India can experience a vast data breach and are we prepared for a data breach or not.