Is Cybersecurity The Recession-Proof Industry and Will It Remain The Same in 2023?

Because of the rumors of a potential recession, your company will probably think about making budget modifications to prepare ready for a period of challenging economic conditions. The question of whether cybersecurity is recession-proof may be on your mind as you consider what to do about spending in this area. To find out how to approach cybersecurity during a recession, continue reading.

Let’s first have a look at the first question and explore the same.

Will the Recession Have an Impact on Cybersecurity?

It’s doubtful that a recession will have a significant impact on cybersecurity. Yet, it is beneficial to be ready for a potential economic crisis in the cybersecurity sector and comprehend how a downturn may affect your cybersecurity infrastructure. This blog’s topics will assist you in getting ready and include:

• Statistics on the cyber security downturn
• Cybersecurity’s significance in a downturn
• Recession-proof cybersecurity management techniques

Economic crises are difficult and uncertain times that can affect the operations and goals of any firm. And, assuming there will be one, a Managed Security Services Company can help you be ready for a cybersecurity recession (MSSP).

Now, let’s statistically understand the increasing online crime amid the ongoing economic crisis.

Statistics on Cybercrime in Economic Downturns

The significance of cybersecurity in a downturn is illustrated by the fact that historically, cybercrime rates tend to grow during economic crises. Email security companies reported that during the 2008 financial crisis, up to 800,000 phishing emails were sent out daily to customers. Most recently, during the COVID epidemic in 2020, Google recorded over 18 million daily malware and phishing attempts.

The cybercriminals who commit these kinds of crimes are frequently highly skilled IT professionals seeking rich possibilities. But, why are they taking advantage of these situations? Let’s find out.

Why Cybercrime Rises amid Recession?

Because there are more weaknesses for hackers to exploit, cybercrime rises during economic downturns. Some companies cut their cybersecurity budgets and shift their investments to other areas, which leaves their cybersecurity infrastructure with holes.

For example, if a company decreases the frequency of security awareness training over a six-month period, staff members may be less aware of prospective phishing or ransomware assaults. The cybersecurity architecture of the company could be compromised by a single successful phishing effort, leaving confidential information vulnerable to online attacks.

During recessions, organizations also experience a lot more changes, which could jeopardize the effectiveness of security systems. Every business could become a tempting target for cybercrime, for instance, if there are layoffs, departmental reorganizations, or other organizational-wide changes.

So here cybersecurity becomes crucial.

The Importance of Cybersecurity in a Time of Economic Difficulties

Cybersecurity hazards advance and get more sophisticated every day as technology does. Your company will be vulnerable to cyber threats if the proper cybersecurity measures aren’t taken. These cyber attack concerns will still exist for any firm that regularly handles highly sensitive data, regardless of the state of the economy. However, some sectors (such as healthcare, financial services, and retail) are more likely to become targets of cybercrime.

By spending money on cybersecurity services, you may reduce the threat risks that could undermine the security of your data, leading to data breaches and subsequent long-term reputational, legal, and financial repercussions.

Anyway, managing cybersecurity is as important as having one. 

So, How to Manage Compliance and Cybersecurity During a Recession?

Creating methods and procedures to reduce cybersecurity risks before they can become threats is an important part of managing cybersecurity during a recession. Data security best practices must be governed by organization-specific policies that are developed and implemented by these organizations in order to comply with regulatory frameworks like the PCI DSS (for organizations that process card payments) and HIPAA (for organizations related to or serving the healthcare industry).

It’s doubtful that the recession will have a big impact on cybersecurity after these procedures are designed and put into place with security policy monitoring. Then, during the recession, your firm is accountable for continuing to adhere to these principles.

Get The Most From Your Cybersecurity Budget – But, How to Do It?

It might be difficult to maximize cybersecurity investment during a downturn, especially if your company has established a rigorous spending plan. But, putting in place strong security measures is essential to protecting the digital assets of your company from online dangers.

You can consider cybersecurity to be a necessary operational expense because, without it, your data is highly susceptible to compromise. Increasing your cybersecurity ROI involves:

• Placing a higher priority on cybersecurity protections for important assets at risk
• Putting your personnel through regular security awareness training sessions
• Obeying the laws and regulations that concern the sensitive data you handle

Finally, working with a seasoned cybersecurity services provider will enable you to make the most of your cybersecurity budget and guarantee the protection of your most important assets both during and beyond the current economic downturn.

Best Cybersecurity Advice for a Downturn

Your business will probably need to improve its security measures and put best practices in place to safeguard critical digital assets if it wants to survive a recession. The crucial ones are as follows:

1. Staffing for cybersecurity – Despite the fact that most businesses seek to cut staffing expenses during a recession, setting security staffing priorities will help you:

• Keep your top cybersecurity talent.
• Keep your understanding of institutional security
• Reduce the time costs of bringing on new hires after the recession.
• minimize workforce shortages and associated risks

2. Security awareness training – Keeping your team informed about existing and potential cyber dangers will enable them to spot them and take precautions to prevent them from harming environments that handle sensitive data.

3. Keeping up with industry trends is important since you can’t prepare for or install the proper cyber defenses if you don’t know what dangers your firm is facing during the recession.

4. Cybersecurity services outsourcing – Consider outsourcing security to a managed security services company if your budget is too tight to pay for numerous cybersecurity pros (MSSP). Particularly during a recession, outsourced security is frequently less expensive and can be tailored to your organization’s unique needs.

Most importantly, working with an information security services provider like SysTools with experience managing cybersecurity during a recession is the most efficient method to make these choices.