Data breaches now cost companies an average of $1.41 million
Data breaches keep getting more expensive for enterprises. In 2017, data breaches at enterprises cost $1.23 million on average per incident, but that number rose to $1.41 million in 2018, a new report by Kaspersky shows. In the first half of 2019, around 4,000 data breaches have taken place, affecting about four billion users.
In response to escalating cyber attacks, organizations have more than doubled their IT security budgets. The average firm currently spends $18.9 million on cybersecurity. In 2018, this number was only $8.9 million. The report found that companies can significantly reduce expected data breach costs by setting up a security operations center (SOC), since data breaches at firms that have their own SOC result in $675,000 in average losses per incident, instead of the average of $1.41 million across all organizations.