Study Finds Computer Viruses and Hacking Take $1.6 Trillion Toll on Worldwide EconomyPRNewswire The explosion of computer viruses -- ranging from Melissa last fall to the Love Bug this spring to other potent software toxins ranging from Timonfonica to the Kak Worm to Gnutella Worm -- will cost businesses around the globe more than $1.5 trillion this year, according to a just-released study. A global survey of 4,900 Information Technology professionals across 30 nations, conducted by InformationWeek Research and fielded by PricewaterhouseCoopers LLP, to be released on July 10th, estimates that some 50,000 firms in the U.S. are sufficiently large enough to be impacted by and accurately tally up the cost of a software virus. In total, the bill to these U.S. firms this year for viruses and computer hacking will amount to $266 billion, or more than 2.5% of the nation's Gross Domestic Product (GDP). The price tag worldwide soars to $1.6 trillion. "These estimates are based on the broadest sampling ever achieved in the security industry," noted Rusty Weston, Editor of InformationWeek Research and informationweek.com. "The findings indicate that viruses are far more disruptive to organizations than most people realize. Lost productivity will undoubtedly force many IT organizations to reassess their network defenses and security policies." According to John DiStefano, principal researcher on the study at Reality Research & Consulting, which assisted InformationWeek Research on the project, the $266 billion figure represents the impact of viruses on U.S. businesses with more than 1,000 employees, or about 50,000 firms. "These are companies with infrastructures of IT professionals who, because of the dollar impact, are increasingly tracking the problem and can provide an accurate assessment of the scope of the issue. In reality, the true impact of viruses on U.S. business, including medium-sized companies and small businesses, is much greater," DiStefano explained. DiStefano went on to explain that the key costs involved in correcting IT systems infected by a virus are found in lost productivity as a result of downtime for the computer systems, as well as lost sales opportunities. In North America technology professionals this year will suffer system downtime of 3.24%, while downtime rises to 3.28% on a worldwide basis. To look at the impact another way, the study found that this year alone 6,882 and 39,363 person years of productivity will be lost in North America and Worldwide, respectively. Viruses and the hackers that deploy them were once viewed as clever pranksters; then nuisances but no longer. "Whenever any activity amounts to 2.7% of the total U.S. GDP, Wall Street takes notice," said DiStefano. "Information technology now runs businesses around the globe. Whatever stops the computer systems stops business. So what would have won you fame, and quite possibly a job offer a decade ago is now a sure ticket to legal action and criminal penalties." About InformationWeek InformationWeek is the leading media brand for people who drive business innovation powered by technology. Acting as an intelligent browser, InformationWeek guides people who buy, build, and manage technology in business through news, analysis, and research, and provides a forum for face-to-face discussion. InformationWeek's editorial point of view focuses on the interplay between technology, business transformation, and customer value. InformationWeek extends this editorial mission across its integrated media platform: InformationWeek Magazine -- which reaches 400,000 IT decision-makers; InformationWeek.com, the Web site; InformationWeek Daily -- a BPA-audited E-mail news service; InformationWeek Events, and InformationWeek Research. Reality Research & Consulting provides strategic and tactical market intelligence and analysis on all aspects of channel issues and trends in the information technology market. Its client list includes all major technology companies, including AT&T, Hewlett-Packard, IBM, Intel, Microsoft and Oracle. Reality is an independent business unit of the Channel Group of CMP Media Inc. It is based in Jericho, N.Y. About CMP Media Inc. CMP Media Inc., a subsidiary of United News & Media plc (NASDAQ: UNEWY), is the leading high-tech media company providing essential information and marketing services to the entire technology spectrum -- the builders, sellers, and users of technology worldwide. With its portfolio of newspapers, magazines, custom publishing, Internet products, research, consulting, and conferences, CMP is uniquely positioned to offer marketers comprehensive, integrated solutions tailored to meet their individual needs. Online editions of the company's print publications, along with products and services created exclusively for the Internet, can be found on CMPnet at http://www.CMPnet.com SOURCE: CMP Media Inc. Contact: John DiStefano, 516-733-6793, or jdistefa@cmp.com, or Richard Website: http://www.cmpnet.com/ |