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Hiring Security Pros can Cut Cyberattack Impact Cost, Says Study

The survey highlighted that more than one-third of organizations (34 per cent) with a DPO that suffered a data breach did not incur any financial loss, compared to only one-fifth (20 per cent) of businesses overall

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Enterprises which deployed an internal Security Operation Center (SOC) have been able to reduce financial damage from a cyberattack at $675,000 — less than half the average impact cost for all enterprise-level organizations at $1.41 million, a new survey from Kaspersky and market research firm B2B International has revealed.

The survey showed that outsourcing security may actually increase the financial impact, particularly if the company uses an under-qualified subcontractor.

Among other changes that a business can employ to reduce loses from a data breach is to employ a Data Protection Officer (DPO), as 34 per cent of companies of all sizes with this dedicated role reported that a cyber incident did not result in monetary loses, the findings showed.

Every year, data breaches are becoming more expensive for enterprises. In 2019, this cost has risen to $1.41 million — up from $1.23 million the previous year, said the Kaspersky report.

In response to this, large organizations are investing more in cybersecurity. This year, enterprise IT security budgets averaged $18.9 million compared to $8.9 million in 2018.

Establishing an internal SOC involves purchasing the necessary tools, building processes and recruiting analysts, which can be a challenge for any business.

“Likewise, finding a DPO, who can combine IT security and legal knowledge, is not an easy task. These require time and budgets, and security leaders often find it difficult to justify such initiatives,a said Veniamin Levtsov, Vice President, Corporate Business at Kaspersky.

Cyberattacks
An employee works near screens in the virus lab at the headquarters of Russian cybersecurity company Kaspersky Labs in Moscow, July 29, 2013. VOA

Just having a dedicated employee or even special subdivision does not guarantee that a company will not suffer a data breach.

“However, it does ensure that the business is prepared for these incidents, allowing them to recover from an attack more quickly and efficiently,” Levtsov added.

Outsourced SOCs however don’t reduce the cost of data breaches for enterprises.

The survey showed that outsourcing security to a Managed Security Service Provider (MSP) may actually increase the financial impact, particularly if the company uses an under-qualified subcontractor.

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“Nearly 23 per cent of companies that use an MSP experienced a financial impact of between $100k-249k, while only 19 per cent businesses with an in-house IT team reported this level of damage,” said the report.

The survey highlighted that more than one-third of organizations (34 per cent) with a DPO that suffered a data breach did not incur any financial loss, compared to only one-fifth (20 per cent) of businesses overall. (IANS)

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U.S. Keen On Removing All Diplomatic Personnel From Venezuela

"No nation has done more to sustain the death and daily misery of ordinary Venezuelans, including Venezuela's military and their families, than the communists in Havana," Pompeo said. "Cuba is the true imperialist power in Venezuela."

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Elliott Abrams, left, listens to Secretary of State Mike Pompeo talk about Venezuela at the State Department in Washington, Jan. 25, 2019. VOA

The United States says it is removing all remaining personnel from its embassy in Venezuela.

In a statement issued late Monday night, U.S. Secretary of State Mike Pompeo said the personnel will be pulled out of Caracas this week. Secretary Pompeo said the decision to shut down the embassy “reflects the deteriorating situation in Venezuela” as well as the conclusion that the presence of the diplomatic staff “has become a constraint on U.S. policy.”

The State Department ordered all non-emergency personnel to leave Venezuela back in January, days after President Nicolas Maduro ended diplomatic relations with Washington and ordered U.S. diplomats to leave after President Donald Trump officially recognized Juan Guaido as interim president. Guaido had declared himself president after claiming Maduro’s re-election was illegitimate.

The U.S. announcement that it was closing its embassy comes as Venezuela enters the sixth day of nationwide power outage Tuesday. Desperate residents are fetching water from a polluted river and drainage pipes, with schools and businesses closed and stores unable to keep cold and fresh whatever food is on hand.

Some hospitals have generators and doctors are hoping to be able to transfer patients who need operations to save their lives to those facilities.

Power was restored to parts of the country Monday, but was reported to be unreliable. It is also hard to confirm reports of deaths and looting coming out of Venezuela because of communication difficulties.

President Maduro blames the power outage on the United States and the political opposition, accusing them of a cyberattack on a hydroelectric dam.

People collect water from an open pipeline during rolling blackouts, which affects the water pumps in people's homes and apartment buildings, in Caracas, Venezuela, Monday, March 11, 2019.
People collect water from an open pipeline during rolling blackouts, which affects the water pumps in people’s homes and apartment buildings, in Caracas, Venezuela, Monday, March 11, 2019. VOA

​Guaido says government corruption and mismanagement are the cause. Engineers say a lack of maintenance and skilled experts fleeing the country have left the Venezuelan electrical grid in terrible shape.

The United States denies having anything to do with the power shortages and Pompeo Monday blasted Cuba and Russia for backing the Maduro regime.

“No nation has done more to sustain the death and daily misery of ordinary Venezuelans, including Venezuela’s military and their families, than the communists in Havana,” Pompeo said. “Cuba is the true imperialist power in Venezuela.”

Pompeo says Maduro sends up to 50,000 barrels of oil to Cuba per day to help prop up Cuba’s “tyrant socialist economy while Maduro needs Cuban expertise and repression, to keep his grip on power. A match made in hell,” said Pompeo.

Pompeo added that Russia joins Cuba in showing contempt for the rule of law and prosperity in Venezuela.

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The United States expanded sanctions against Venezuela Monday to include a Moscow-based bank jointly owned by the Venezuelan and Russian governments. VOA

“Russia, too, has created this crisis. It, too, for its own reasons, is thwarting the Venezuelan people’s legitimate democratic hopes and their dreams… The Kremlin is standing with its Venezuelan cronies against the will of the people of a sovereign nation to protect a Moscow-friendly regime.”

Pompeo said oil-rich Venezuela’s plunge from wealth to poverty has left economists with “amazement and horror.”

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The United States expanded sanctions against Venezuela Monday to include a Moscow-based bank jointly owned by the Venezuelan and Russian governments.

The Treasury Department says the bank allegedly tried to avoid earlier sanctions on Venezuela by backing Maduro’s failed efforts. (VOA)