In June a popular file-sharing software as hacked by Russia-linked cybercrime group Cl0p (Clop). The breach affected big-name companies likes Shell, Siemens Energy, Sony. It also hit US state and federal agencies such as the Department of Health and the Louisiana Office of Transportation. Cybersecurity firm Emisoft maintains a running tally of companies impacted by this cybersecurity breach. As of early August, those numbers were 597 organizations, and a whopping 39,708,389 individuals.
You may be reading this and thinking, “I’m just a small business compared to these big guys. That won’t happen to me.” Unfortunately, we’ve got news for you. Many of these companies have cyber security budgets in the millions. Yet it still happened to them. And it was not because they were ignoring the importance of cyber security. It came from a piece of software they use to run their business.
Progress Software’s MOVEit was exploited by a tactic called a zero-day attack. This occurs when there is a flaw in an application that creates a security gap, and the software maker doesn’t know it exists. The developer has no available patch or defense because they are unaware of the vulnerability. Cybercriminals quickly release malware to exploit the vulnerability before the software maker can patch it, essentially giving them “zero days” to respond.
This particular cybersecurity breach is dangerous because it is difficult to prevent. It can also quickly and easily ruin a small business.
Depending on the attacker’s motives, the stolen data can be deleted, held for ransom or sold on the dark web. Or, if you are lucky enough to recover your data, you might still end up paying out thousands or more in fines and lawsuits. You’ll also lose money from downtime and a damaged reputation that drives clients away. In MOVEit’s case, the cybercrime agency Cl0p claimed on their website that their motivation is purely financial. Allegedly CI0p deleted data obtained from government agencies, as they were not the intended targets.
What does a cybersecurity breach mean for small businesses?
For starters, this example underlines the harsh reality that a cybersecurity breach isn’t just the concern of big businesses and government agencies. In fact, small businesses can be more vulnerable to cyber-attacks, as they often dedicate fewer resources to protection.
It also means that even if your organization is secure, the third-party vendors you work with and the tools you choose to use in your business still pose potential risks. Many of MOVEit’s customers that were affected likely had strong cyber security measures in place. Even though it was no direct fault of their own, at the end of the day, those companies still must go back to their clients, disclose what happened and take the verbal, legal and financial beating that comes with a data breach.
The MOVEit hack serves as a grim reminder of the critical importance of cyber security for businesses of all sizes. In the face of an increasingly sophisticated and fast-moving cyberthreat landscape, businesses cannot afford to ignore these risks. Cyber security must be an ongoing effort, involving regular assessments, updates, monitoring, training and more. As this terrible incident shows, a single vulnerability can lead to a catastrophic breach with severe implications for the business and its customers.
In the digital age, cybersecurity isn’t just a technical issue – it’s a business imperative.
If you have ANY concerns about your own business or simply want to have a second set of eyes examine your network for vulnerabilities, we offer a FREE Cyber Security Risk Assessment. Click here to schedule a quick consultation to discuss your current situation.