Report reveals 105% surge in attacks, delayed patching, and staggering financial losses
The manufacturing industry has become a prime target for cybercriminals, with a staggering 105% increase in cyberattacks during the first half of 2024, according to a recent report by cybersecurity firm Ontinue. These incidents accounted for 41% of all reported attacks, highlighting the sector’s growing vulnerability in the face of evolving cyber threats.
Despite this alarming trend, many manufacturers remain underprepared, with less than half adhering to standard cybersecurity protocols. This lack of proactive measures has left the industry exposed to devastating financial and operational consequences.
Delayed Patching and Mounting Vulnerabilities
One of the most pressing issues identified in the report is the significant delay in patch management. In the first quarter of 2024 alone, over 8,967 Common Vulnerabilities and Exposures (CVE) records were published, with an additional 13,400 pending. Shockingly, half of the top 10 trending vulnerabilities this year originated from 2023, indicating that organizations are failing to address known security flaws in a timely manner.
“The manufacturing sector’s sluggish response to patching known vulnerabilities is a ticking time bomb,” warned Jennifer Tisdale, CEO of cyber risk intelligence firm GRIMM. “Every day that passes without addressing these flaws is an open invitation for attackers to exploit them, potentially leading to catastrophic breaches.”
Staggering Financial Losses and Organized Crime
The financial repercussions of cyberattacks on the manufacturing industry are staggering. German companies alone reported losses of approximately €267 billion ($298 billion) due to cybercrime and sabotage over the past year, marking a 29% increase from the previous year, according to a survey by industry association Bitkom.
Alarmingly, 70% of affected companies attributed these attacks to organized crime, with China and Russia identified as significant sources of the threats. This underscores the need for international cooperation and robust cybersecurity measures to combat the growing menace of state-sponsored and organized cybercrime.
High-Profile Breaches Underscore Vulnerability
The past year has seen several high-profile cyberattacks on manufacturing giants, further exposing the sector’s vulnerability. In mid-2024, French industrial conglomerate Schneider Electric experienced its second cyberattack of the year, with hackers claiming access to over 40GB of critical data and demanding a ransom of $125,000.
Similarly, American doughnut chain Krispy Kreme faced a cybersecurity breach in November 2024, which disrupted online orders and impacted its IT systems. These incidents serve as stark reminders of the far-reaching consequences of inadequate cybersecurity measures.
Proactive Approach and Real-Time Intelligence
As the manufacturing sector grapples with the surge in cyberattacks, experts emphasize the urgent need for a proactive approach to cybersecurity. “Organizations can no longer afford to be reactive when it comes to cybersecurity,” stated Craig Jones, VP of Security Operations at Ontinue. “They must leverage real-time intelligence and enhance their cybersecurity maturity to stay one step ahead of the ever-evolving threat landscape.”
Implementing robust security protocols, conducting regular risk assessments, and investing in employee training and awareness programs are crucial steps in fortifying the manufacturing industry’s defenses against cyberattacks. Additionally, fostering collaboration between organizations, cybersecurity experts, and government agencies can help facilitate the sharing of threat intelligence and best practices.
