Cyber attacks are a growing threat and are costing businesses billions of dollars each year, according to the head of a Cambridge company that delivers nearly a third of global Web traffic.
At the Xconomy summit on innovation, technology and entrepreneurship yesterday at Babson College, Tom Leighton, CEO of Akamai, said 74 percent of companies experienced one or more cyber attacks in the past year.
Nearly a third of those attacks resulted in service disruption, Leighton said, and each breach costs $8 million on average — but can cost as much as $1 billion.
"Security is a serious problem," he said. "There's new attacks coming every day. The bad guys are way ahead."
Cyber extortion, political "hactivists" such as the group Anonymous, and state-sponsored attacks such as those by the Chinese, all present formidable foes, Leighton said.
Their most common tactics include SQL injection, which puts rogue or malicious commands into the database behind the application being attacked, and denial of service, an attempt to make a website or Web application unavailable to its users, often by sending more traffic or requests for information than a site can handle.
In 2009, Akamai, which delivers between 15 and 30 percent of global Web traffic at any given time, had 14 customers who reported suspected distributed denial of service attacks, Leighton said. By last year, that number had soared to 768.
Collectively, U.S. corporations have lost as much as $1 trillion in intellectual property due to cyber attacks, pushing up the stock prices of Internet security firms such as Symantec and Qihoo.
"The average corporation has a team of people working on this. The question is: Are they given the resources they need to do their job?" said Robert D. Rodriguez, chairman of Security Innovation Network and a former special agent with the Secret Service for 22 years. "Startups can get away with not doing as much because they're not on the radar. They have less to lose."
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