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Over 1 Million Dollars in Damage per Cyber Incident and Average 15.3 Hours of Operational Downtime Confirmed
Kaspersky released a report jointly conducted with VDC Strategy analyzing the current state of cyber security in manufacturing. The report diagnosed that with accelerating digital transformation, cyber risks are expanding beyond the IT domain to become business risks directly linked to production stability and operational continuity.
Kaspersky disclosed the 'Cyber Resilience, Built for Manufacturing' report on the 31st.
According to the survey, only 9% of manufacturers evaluated themselves as having achieved complete digitalization, while 60% expected to achieve complete digitalization within the next 2 years.
The report analyzed that manufacturing equipment and production lines are rapidly transitioning to cyber-physical systems (CPS) as they are connected with manufacturing execution systems (MES), supervisory control and data acquisition (SCADA), historians, and others.
Key Drivers of Digital Transformation and the Reality of Cyber Risks
The drivers of digital transformation were identified in the following order: △improving production volume and efficiency (24%) △reducing operational and production costs (15%) △creating strategic opportunities (14%) △strengthening cyber resilience (13%).
The report indicated that manufacturers are pursuing digitalization with measurable operational outcomes as their goal rather than technology adoption itself.
Specific financial impacts of cyber incidents were also presented.
Approximately 60% of responding companies estimated that damages exceeding 1 million dollars per cyber incident could occur, and the average operational downtime caused by incidents was calculated at 15.3 hours.
It was found that losses from production shutdowns, delivery delays, and fines are often larger than forensic costs.
Challenge of Building Integrated IT and OT Security System
The report noted that the separation of security management by department remains a challenge.
59% of surveyed organizations had IT departments responsible for security policies, but there were cases where these policies did not sufficiently reflect actual production site conditions.
Multiple security tool management (44%) and OT patch management (38%) were also cited as major challenges.
Lee Hyo-eun, Country Director of Kaspersky Korea, stated, "Many domestic factories prioritize digital transformation while neglecting OT security protection at the production site. We will support domestic manufacturers to safely pursue digital transformation through integrated security solutions that break down the barriers between IT and OT security."
Kaspersky presented the Kaspersky Industrial Cybersecurity (KICS) solution as a means to address these challenges.
KICS is a native extended detection and response (XDR) platform that provides capabilities to centrally detect and respond to complex attacks across industrial networks and secure visibility, Kaspersky stated.
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