Data Security: What's at Stake?
Like most companies, you are probably unaware of exactly how much a security breach will cost you. Every unique variable to your business can affect the final estimate, often by millions. But no matter what the size of your business or nature of your industry, a security breach unleashes several unexpected costs that can cripple you financially, cost you valuable time, drive away customers, and tarnish your company’s reputation.The Costs of a Security Breach
Several sources have estimated that, when all of the individual costs are combined, a security breach can cost your company up to $305 per record, depending on the nature of your business and the regulations within your industry. This means that a significant breach can bleed millions — sometimes billions — of dollars from your bottom line.Major Costs
To begin with, there is the cost of discovery, response, and notification which typically involves outside legal fees, increased call center activity, marketing and PR, and discounted product offers. Industry regulatory committees then impose heavy fines to deter other offenders. There is also the double-whammy of losing customers after the breach (with retail outlets getting hit especially hard) and the staggering price of acquiring new customers to replace them. Finally, there is the cost of lost employee productivity, as they are diverted from their normal duties and contractors are hired to assist in your response to the breach.Indirect Costs
There are also a number of indirect costs that companies often do not take into account. There are restitution costs to the people affected by the breach. Non-financial penalties can also result, such as additional security and audit requirements. These include administrative, technical, and physical safeguards and could become a substantial part of the overall costs as the law evolves in this area. Other liabilities can include the replacement of credit cards, the bank’s out-of-pocket expenses, and more. A security breach also typically causes a decrease in a company’s stock value. While this value usually rebounds quickly if the breach is an isolated incident, systemic breaches can prove disastrous to your stock value.What Should You Do?
A preventative approach to safeguarding your data is the best course of action for averting a devastating security breach. Media Recovery’s DatacenterTrak™ produces a comprehensive RFID-based asset tracking and data protection system to prevent data and IT asset loss, dramatically reducing the likelihood of a security breach. Simple, cost-effective, and reliable, Media Recovery’s DatacenterTrak™ will track and monitor every asset in your facility from data tape cartridges to laptops to servers, satisfy your customers’ expectations for due diligence, and ensure compliance with all levels of privacy requirement legislation.Learn more about Media Recovery DatacenterTrak™.
Contact Us
Please contact us for more information about our RFID-based asset tracking solutions and many other products and services. We look forward to helping you achieve maximum Datacenter optimization.Media Recovery: Your Partner in Datacenter Optimization
Media Recovery has been designing effective Datacenter solutions for the unique needs of customers for over 30 years. With extensive knowledge, resources, and staff, we’re here to help you maintain your data security and conserve your operational resources. As your ongoing “special projects partner”, Media Recovery stands ready to provide you with effective solutions for all your Datacenter requirements.Media Recovery provides an extensive array of Raised-Floor Environment Services to optimize your Datacenter, including: Datacenter Cleaning, Relocations and Consolidations, Tape Library Audits, Tape Removal and Re-slotting, Tape Library Reconfiguration, RFID Asset Tracking, and Asset Recovery.
Media Recovery also offers a wide array of Storage Media Services, including: Tape Buyback Program, Data Duplication and Format Conversion, Labeling and Initialization, Data Eradication and Tape Disposal, Tape Cleaning and Certification, and Disaster Recovery Services.
DatacenterTrak™ is a trademark of Media Recovery.