In September 2015, then-President Barack Obama met Chinese President Xi Jinping to sign a agreement on cyber espionage pledging to cease state-backed hacking of private-sector firms in each other’s country. A year after the agreement, analysts reported that Chinese hacking has declined considerably
However, Chinese hackers haven’t been completely deterred from intellectual property theft.
Intellectual Property Theft: A $600 Billion Business
A new study from the Commission on the Theft of American Intellectual Property attaches a few numbers to the amount of damage that data thieves — from China and elsewhere — do to the America economy via counterfeit goods, software piracy and trade-secret theft. The commission estimates an annual price tag between $250 billion and $600 billion per year … and that includes a Chinese share of counterfeit goods that sits at roughly 87 percent.
For any firm that thought the agreement between China and the U.S. was a reason to let down their guards on intellectual property, these results should be a wake-up call. And even regardless of the extent of China’s involvement, intellectual property theft remains a significant source of potential loss — one that can plague a business and even threaten its future long after a breach.
Firms that want to take action against cyber threats targeting their intellectual property need coordination, structure and efficiency in their threat identification and incident response. Intelligence tools can be highly valuable for identifying emerging exploits, but their intel reports need to be mapped to key resources to provide any real benefit. Incident response plans must be tightly organized and well-governed, with all parties rehearsed on their roles.
Of course, when it comes to protecting trade secrets, insider threats are among the top threats. Businesses must take steps to combat this risk through identity management initiatives and in-depth privacy training programs. And as international hackers threaten small- and medium-sized businesses with a challenge that stretches their internal resources, many are turning to managed security consultants to help them bolster their defenses.
Whether your firm is looking for this type of full-scale solution to prevent intellectual property theft, or you need a consultant for your own in-house cyber security development, Lunarline is here to help. You can learn more about us and the services we provide by contacting us today.