Wednesday, 1 June 2011

The Costs of Bad Security

Mounting threats to the security of information are forcing companies to make more sophisticated cost-benefit analyses when they craft their security strategies.

Last month, Sony revealed the price tag associated with cleaning up the massive security breach that exposed personal information of more than 100 million users of its PlayStation Network and Qriocity streaming-media services: at least $171 million. It was the largest such breach any company had ever experienced, according to Sony's chairman, Sir Howard Stringer, and the staggering sum will cover security improvements, customer compensation, and investigative services. But the full toll will be harder to measure, because it will include the loss of customer confidence in the company.



Source: http://feeds.technologyreview.com/click.phdo?i=30530c1732870a56fba6c153b5c85614

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