Maritime industry experts to discuss cyber security
In this article (5)
IT protection and cyber security will take center stage at the biennial Seatrade Offshore Marine and Workboats Middle East (SOMWME) exhibition and conference, taking place at the Abu Dhabi National Exhibition Centre (ADNEC) from 25 – 27 September 2017.
The focus on IT systems at sea follows the recent global WannaCry attack, which shut down computers used by Spanish ISP Telefonica, FedEX and the UK’s National Health Service, among others, affecting some 200,000 computers in 150 countries. This was followed later in May with the British Airways outage, which saw hundreds of flights cancelled over a holiday weekend and £500 million wiped of parent company IAG’s value.
Peter Broadhurst, Senior Vice President Safety & Security Services, Inmarsat, the mobile satellite company, will deliver the keynote presentation in the Knowledge Theatre, “Cyber Security: Protecting the Industry”, assessing the new risk factors of an increasingly connected shipping industry and how industry players can protect themselves against cyber security threats.
“Hacking, ransomware and system outages have long been a concern for the shipping industry, particularly with the advent of the Internet of Things (IoT) and the connected ship. These risks are heightened due to the significant growth in networks of physical objects accessed through the internet,” said Broadhurst.
According to a 2016 global analysis report by the Ponemon Institute, which surveyed data collected from 383 companies in 12 countries, the average total cost of a data breach stands at US$4 million, a figure that has increased 29% since 2013. The average cost per lost or stolen record is $158, with a 15% average price increase since 2013. In total, the number of security incidents reported in 2015 stood 63% higher than in 2014.
“These risks are heightened due to the significant growth in networks of physical objects accessed through the internet,” said Broadhurst.”
Emma Howell, Group Marketing Manager, Seatrade portfolio commented, “Over recent weeks and months, we have seen huge organisations crippled by ransomware attacks and IT meltdowns – compromising systems and costing some businesses many millions of dollars. The need for the shipping industry to tackle this growing menace head-on is greater than ever before and we look forward to welcoming decision makers and industry leaders to debate these important issues.”
However, compounding the issue, insurance providers are yet to close all of the gaps in their policies, leaving shipping companies at even greater risk and facing huge financial losses.
“Most insurance policies have Cyberattack exclusion clauses, for property damage and business interruption and this exposes shipping companies and ship owners to huge risks. We have seen some response from the insurance industry but until comprehensive products are rolled out the responsibility of backing up systems, protecting data and ensuring a network is robust and secure, very much remains with the shipping company and ship owner,” added Howell.
Questions & Answers
Q.What prompted the focus on IT protection and cyber security at this year's SOMWME event?
What prompted the focus on IT protection and cyber security at this year's SOMWME event?
The recent WannaCry attack, which affected 200,000 computers across 150 countries, and the British Airways outage, which caused significant flight cancellations and financial losses, led to the heightened focus.
Q.Which specific threats are particularly concerning for the shipping industry, according to Peter Broadhurst?
Which specific threats are particularly concerning for the shipping industry, according to Peter Broadhurst?
Broadhurst highlighted hacking, ransomware, and system outages as major concerns. These risks are amplified by the advent of the Internet of Things and the increasing number of physical objects accessed via the internet.
Q.What financial impact do data breaches have on companies, according to the Ponemon Institute report?
What financial impact do data breaches have on companies, according to the Ponemon Institute report?
The average total cost of a data breach is US$4 million, which is a 29% increase since 2013. Also, the average cost per lost or stolen record stands at $158.
Q.Why are shipping companies currently facing even greater financial risks from cyberattacks?
Why are shipping companies currently facing even greater financial risks from cyberattacks?
Most insurance policies for the shipping industry include Cyberattack exclusion clauses for property damage and business interruption. This leaves companies exposed to significant financial losses as comprehensive insurance products are not yet widely available.
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