Cybercrime costs up to $500bn

2013-07-23 07:23
(AFP)

(AFP)

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

kalahari.com

Washington - Cybercrime costs the global economy between $100bn and $500bn annually, according to a study released on Monday which acknowledged more data is needed for precise estimates.

The study by the security firm McAfee and the Centre for Strategic and International Studies said the US economy loses some $100bn to cybercrime and cyber espionage, including loss of key business data and intellectual property.

The estimate is lower than some earlier reports which put the costs as high as $1 trillion, but study authors said it was a matter of narrowing the range of damage from cyber attacks.

"It will always be a range," said James Lewis, a CSIS scholar on cyber security and co-author of the report.

"The data is either sparse or distorted."

Intellectual property

But Lewis said the report offers a better way to compare the cost of cybercrime to other types of risks such as drug trafficking or other types of theft.

"We believe the CSIS report is the first to use actual economic modelling to build out the figures for the losses attributable to malicious cyber activity," said Mike Fey, chief technology officer at McAfee.

"Other estimates have been bandied about for years, but no one has put any rigor behind the effort."

The report said the impact of cybercrime includes loss of intellectual property and confidential information; reduced trust for online activities; additional costs for security, insurance and recovery; and damage to reputations.

Lewis said the impact on business could translate into the loss of as many as 508 000 jobs in the US, based on a government formula for the ratio of exports to US jobs.

"The raw numbers might tell just part of the story," he said.

"The effect of the net loss of jobs could be small, but if a good portion of these jobs were high-end manufacturing jobs that moved overseas because of intellectual property losses, the effect could be wide ranging."

Read more on:    cybercrime
NEXT ON NEWS24X

SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
1 comment
Add your comment
Comment 0 characters remaining
 

Inside News24

 
/News
 
Traffic
Lottery
 
  • Monday Pinelands - 19:07 PM
    Road name: N2 Inbound
    ACCIDENT before the Jan Smuts Drive exit is CLEARED
  • Monday Langa - 18:54 PM
    Road name: N7 Vanguard Drive
    DELAYS at the N2 Highway
 
More traffic reports...
 

Jobs in Cape Town [change area]

Jobs in Western Cape region

Android Developer – Cape Town – R420k per annum

Cape Town
E-Merge IT Recruitment
R420 000 Per Year

Portfolio Manager

Western Cape
SET Recruitment Consultants
R650 000 - R850 000 Per Year

Scrum Master

Cape Town Northern Suburbs
GT Recruitment
R25 000 - R35 000 Per Month

Property [change area]

Travel - Look, Book, Go!

Magical Massinga

Spend 5 nights at the gorgeous Massinga Beach Lodge in Mozambique and only pay for 4 from R13 220 per person sharing. Includes return flights, accommodation, transfers and romantic turndown. Book now!

Kalahari.com - shop online today

2 TV Series for R250

Get 2 TV Series box sets for R250 and save up to R148! Offer valid while stocks last. Shop now!

Mind blowing deals on beauty & fragrances

Save up to 30% off beauty and fragrances. Offer valid while stocks last. Shop now!

Up to 50% off hair care products!

Save up to 50% on professional hair care products at kalahari.com. Offer valid while stocks last. Shop now!

30% off academic books

Score a mind blowing 30% off academic books! Offer valid while stocks last. Shop now!

Mind blowing deals on electronics!

Save up to 35% on electronics. Offer valid while stocks last. Shop now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

BlackBerry Curve 9380

The first BlackBerry Curve smartphone with a touch screen Stay connected...

From R1799.00

I'm shopping for:

Horoscopes
Aquarius
Aquarius

There is a strong emphasis on relationships. Obsession, emotional disputes, retaliation or competitive actions are highlighted....read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.