A recent study by Cohesity reveals that cyberattacks are profoundly affecting the financial landscape of organisations in the Asia Pacific (APAC) region, forcing a reevaluation of boardroom priorities and financial strategies. With 76% of APAC organisations reporting at least one significant cyberattack, the impact is not just operational but extends to financial performance and market confidence.
According to the report, titled “Risk-Ready or Risk-Exposed: The Cyber Resilience Divide,” a staggering 73% of publicly traded companies adjusted their earnings forecasts following an attack, while 69% observed a direct impact on their stock prices.
Additionally, 96% faced legal or regulatory repercussions, underscoring that cyber resilience is increasingly regarded as a business imperative rather than merely a technical issue.
Sanjay Poonen, CEO of Cohesity, noted, “When incidents compel companies to rethink forecasts and redirect budgets, cyber resilience is no longer just a technology issue. It’s a business and financial imperative.”
The study highlights a critical gap between the perceived and actual impacts of cyber incidents. Although some organisations may not fully disclose the financial repercussions, the findings suggest that intangible losses—such as brand trust and customer churn—can be equally damaging.
Notably, nearly half of APAC leaders expressed confidence in their resilience strategies, yet recovery from attacks remains a challenge, with 97% reporting that restoring data takes over 24 hours.
Furthermore, the research revealed that the prevalence of ransom payments remains alarmingly high, with 89% of APAC organisations admitting to paying ransoms last year, often exceeding $1 million. In Singapore, this figure rose to 91%, highlighting the urgent need for reinforced cyber resilience strategies to mitigate financial losses and reputational damage.
Communication breakdowns during cyber incidents emerged as a significant challenge, with 52% of respondents citing difficulties in internal coordination due to critical systems being down. This misalignment across IT, security, and business operations exacerbates the recovery process.
As organisations increasingly adopt generative AI, the study found that 84% of IT and security leaders feel the pace of AI integration outstrips their capacity to manage associated risks.
Lim Hsin Yin, vice president at Cohesity, emphasised the necessity of mastering the “AI and security paradox,” stating that “AI-ready data that is trusted, protected, and resilient will enable organisations to innovate confidently without increasing risk exposure.”
