Among factors that can help decrease the cost of a data breach, IBM cites employee training No. 1, reducing the average cost by around $260,000.
Security AI and automation
In the face of staff and skills shortages, CISOs are increasingly turning to AI and automation to close the gap. According to IBM’s latest report, the average cost saving per breach for organizations using security AI and automation tools was $2.22 million, up from $1.76 million in 2023.
“While data breach costs have continued to rise over the majority of the history of this report, we’ve also seen adoption and investment in key security technologies and approaches improving,” IBM’s Kady says. “More and more organizations are adopting AI and automation-based security approaches focused on speeding response times — which is one of the top factors linked to reducing data breach costs.”
Other technologies and techniques that have an impact in reducing the cost of a data breach, according to the report, include, in descending order of impact: security information and event management (SIEM); incident response planning; encryption; threat intelligence; identity access management (IAM); security orchestration, automation, and response (SOAR); and endpoint detection and response (EDR) tools.
Preparedness is key to managing data breach costs
No matter the specific costs involved, experts agree that preparedness is key to mitigating the financial repercussions of a breach.
“Faster incident response continues to be a clear driver for lowering the cost of a breach,” UST’s Dutile says. “The worst losses are those that go undetected for an extended time or have a slow or ineffective response.”
Modern cybersecurity requires a post-breach mindset which understands that, eventually, a successful data breach is going to occur, Forrester’s Mellen adds.
“Operating under those conditions, you need to figure out how you’re going to handle that and build your resiliency to respond better and faster. This isn’t just about the security function either, and it needs to be spread across an organization, considering what marketing is going to do, what sales is going to do, etc. — how, as a business, you can demonstrate you value your customers and that you want to make it right as quickly and effectively as possible,” she says.
