March 23, 2016
It is well documented that cyber attacks are an incredibly costly problem. Grant Thornton estimates that computer hacking costs businesses around the globe an excess of $300 billion a year. In the US alone, firms lost an estimated $61 billion to cyber attacks last year.
However, these statistics offer the impression that cyber attacks are a localised program: hackers target specific companies, limiting the scope of their damage. While this is undoubtedly true, there is another genre of cyberattack which impacts society on a much broader scale. These attacks cause maximum damage, creating exponential confusion and cost while cyber security specialists work to rectify the problem.
hat’s what happened in 2013, when a group of alleged Syrian hackers took over the Associated Press’s Twitter feed (NYSE:TWTR) and sent out notifications that US President Barack Obama was injured in a White House bombing. These false statements had a snowball effect. Bloomberg reports that these bogus dispatches caused the Dow to fall by 143 points (or approximately $80 billion in value) as investors responded to the information.
Source: Investing News.