As is the case with the costs of cyber attacks, the costs of effective cybersecurity will vary significantly. The company you select and the services you require will play a role in the calculations.
As per a Deloitte report, the average business will invest between 6% and 14% of its annual IT budget in cybersecurity. This represents less than a quarter of the total budget allocated to cybersecurity in general, which is actually quite good. In general, most businesses spend around 10% of their IT budget on average.
So, how much is your IT budget? Multiply that number by 0.10. This will provide you with an estimate of the annual cost of cybersecurity. In comparison to many other business expenses, this is quite minimal. Here are some average figures for IT budgets.
According to these statistics, an average company allocates 3.2% of its total revenue on IT costs. This approximate figure holds true across all industries and business sizes. That said, a small company will usually have a budget of less than $5 million. On the other hand, a mid-sized company will spend between $5 and $20 million. Lastly, a large company will most typically spend between $20 and $50 million per year.
While these figures are far from cheap, we all know that cyberattacks are significantly more expensive. Not only that, but the damage of those attacks to a company’s reputation is incalculable. Stay up-to-date on the latest cybersecurity news by checking out Security Forward’s news archives daily!