Extensive harm inflicted on commercial enterprises due to assaults
Rising financial setbacks: Due to cyber attacks, German businesses experienced a staggering loss of 266.6 billion euros in 2023, exceeding losses from previous years, as per a study.
As reported by the digital association Bitkom, the frequency of cyber attacks on German businesses has substantially increased, with 81% of companies being affected last year. An additional 10% suspect they were targeted, the survey revealed. In comparison, the figures were 72% and 8% respectively in 2023. Over 1,000 companies from various sectors were surveyed for this report.
The aforementioned attacks resulted in a record financial loss of 266.6 billion euros for businesses in 2023, surpassing the previous high of 223.5 billion euros from 2021. According to the study, the majority of these attacks were linked to organized crime. Foreign intelligence services were cited by 20% of companies, a significant increase from the 7% reported in 2023.
As per the survey, China was identified as the primary source of attacks on the German economy with 45% of affected businesses tracing at least one attack to the country. Russia followed in second place with 39%, while attacks from Eastern European states outside the EU and Russia also saw a rise to 32%.
Rising Threat Level
Ralf Wintergerst, President of Bitkom, commented, "The threat level towards the German economy is escalating. Companies must intensify their safety measures against both digital and traditional attacks such as eavesdropping or document theft."
Sinan Selen, Vice-President of the Federal Office for the Protection of the Constitution, added during the unveiling of the report that global conflicts and systemic rivalries were shaping the cyberspace landscape. The distinction between cyber espionage and cybercrime has become increasingly blurred, with the boundary between state and non-state actors becoming less clear.
Unique Threat Posed by Cyber Attacks
Cyber attacks pose a unique threat to the economy, as per Bitkom. Two-thirds of companies now feel threatened by cyber attacks, up from 52% the previous year and 9% in 2021.
However, only half (53%) of the companies believe that their organization is exceptionally well-prepared to counter cyber attacks. "In a digital, interconnected world, IT security holds a particular significance. IT security must be a top priority for all businesses while strengthening communication between businesses and government agencies to coordinate protective measures and enforcement actions," the association concluded.
The association cited organized crime as the primary link behind the majority of the cyber attacks, leading to the record financial loss. Companies need to intensify their safety measures against digital and traditional attacks due to the escalating threat level towards the German economy.
