Global cybercrime costs growing 12x faster than cybersecurity spending

Global cybercrime costs growing 12x faster than cybersecurity spending

In a stark revelation of the escalating cyber threat landscape, a report released on Monday highlighted that global cybercrime costs have surged twelve times faster than cybersecurity spending over the past six years. Despite significant investments in cybersecurity measures by businesses and organizations, the financial impact of cyber-attacks has grown exponentially.

According to the data, cybersecurity spending has increased by 78% since 2018, with global expenditures amounting to $102.7 billion that year. By 2020, this figure had surged to over $150 billion, and it is projected to reach $183 billion this year, according to Statista’s projections. This increase underscores the growing awareness and efforts to fortify digital defenses against a variety of cyber threats.

Despite these efforts, the financial toll of cybercrime has dramatically outpaced these investments. The report noted that the cost of cybercrime has ballooned by an astonishing 972% over the same period. In 2024, cyber attacks are expected to cause damages amounting to $9.2 trillion, which is $1.1 trillion more than the previous year and represents a twelvefold increase compared to six years ago.

The comprehensive cost of cybercrime includes stolen money, damage and destruction of data, lost productivity, theft of intellectual property, personal and financial data breaches, and post-attack business disruptions.

Looking ahead, the financial burden of cybercrime shows no signs of abating. The report predicts global cybersecurity spending will reach $200 billion by 2025. The projected cost of cybercrime is expected to hit $13.8 trillion by 2028, representing a 49% increase from this year.

These findings underscore a critical challenge for businesses worldwide: despite increasing their cybersecurity budgets, the scale and sophistication of cyber threats are growing at an alarming rate. This imposes unprecedented financial burdens as organizations strive to protect their sensitive data and maintain operational integrity in the ongoing and intensifying battle against cybercrime.

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