Call us now:
The first stab at direct Crowdstrike lossess is creeping up to the estimated cost of Not Petya.
One expects direct and indirect lossess to be closer to $50 billion when all well and done. One has to ask how any company can afford to compensate for such losse; how the insurance industry can continue to act as a corporate insurer of last resort; or how a government can act as an insurer of last resort for systemic risk.
What options are available to an organisations, either customers or suppliers to manage ICT and cyber risk at this scale.
Crowdstrike revenues are under $1 billion, with a profit margin of under 5%. The global cost is already estimated to be $10 billion.
One has created a new term, ‘Supplier Risk Ratio’, the ratio of lossess, to supplier net income. In the case of Crowdstrike, that’s 238:1. AKA the loss ratio for ICT risk is 238 times net income.
Rightly this need to be balanced agsinst the benefit of using solutions such as Crowdstrike for an individual corporate.
BTW, would you invest in an organisation with such high overheads vs. the legal and regulatory risk that follows cyber regulation, or the outcome from such an incident?
@Thaddeus Dziekanowski Brian D. McCarthy
Veritas GRC Senebria
#cybersecurity #cyberriskmanagement
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