Huawei Releases 2022 Annual Report: Steady Operations, Sustainable Survival and Development

 SHENZHEN, China - Friday, 31. March 2023 AETOSWire Print 

(BUSINESS WIRE) -- Huawei released its 2022 Annual Report today. The company reports steady operations throughout 2022, having generated CNY642.3 billion in revenue and CNY35.6 billion in net profits. Huawei continues to strengthen investment in R&D, with an annual expenditure of CNY161.5 billion in 2022, representing 25.1% of the company's annual revenue and bringing its total R&D expenditure over the past 10 years to more than CNY977.3 billion.

"In 2022, a challenging external environment and non-market factors continued to take a toll on Huawei's operations", said Eric Xu, Huawei's Rotating Chairman, at the company's annual report press conference. "In the midst of this storm, we kept racing ahead, doing everything in our power to maintain business continuity and serve our customers. We also went to great lengths to grow the harvest – generating a steady stream of revenue to sustain our survival and lay the groundwork for future development."

Also present at the event was Sabrina Meng, Huawei's CFO. She noted, "Despite substantial pressure in 2022, our overall business results were in line with forecast. At the end of 2022, our liability ratio was 58.9% and our net cash balance was CNY176.3 billion. In addition, our balance of total assets reached one trillion yuan, largely composed of current assets such as cash, short-term investments, and operating assets. Our financial position remains solid, with strong resilience and flexibility. In 2022, our total R&D spend was CNY161.5 billion, representing 25.1% of our total revenue – among the highest in Huawei's history. In times of pressure, we press on – with confidence."

In 2022, revenue from Huawei's carrier, enterprise, and consumer businesses was CNY284 billion, CNY133.2 billion, and CNY214.5 billion, respectively.

Huawei is a strong proponent of growing together with its ecosystem partners, and believes that openness and collaboration lead to shared success. The company has continued to open up its platform capabilities across its HarmonyOS, Kunpeng, Ascend, and cloud portfolio, focusing on improving developer experience as well as enabling and supporting its ecosystem partners on all fronts. Huawei currently works with more than nine million developers and over 40,000 ecosystem partners to fuel ecosystem-based innovation and create greater value for its customers.

"2023 will be crucial to Huawei's sustainable survival and development," Xu noted. "Plum blossoms tend to grow sweeter from a harsh winter's freeze. Today, Huawei is like a plum blossom. While it's true that we have considerable pressure ahead of us, we have what it takes to come out the other end – with opportunities to grow, a resilient business portfolio, a unique competitive edge, the enduring trust of our customers and partners, and the courage to invest heavily in R&D. We are confident in our ability to rise above any challenge that comes our way, laying a solid foundation for sustainable survival and development."

All financial statements in the 2022 Annual Report were independently audited by KPMG, an international Big Four accounting firm. To download the 2022 Annual Report, please visit https://www.huawei.com/en/annual-report/2022

Note: The 2022 closing exchange rate is US$1.00 = CNY6.9533

 

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Spring 2023 Maxon One Release Adds Extraordinary Value

BAD HOMBURG, Germany - Friday, 31. March 2023

Enhancements across the entire product line including Cinema 4D, Redshift, Red Giant, ZBrush, Forger and more highlight this massive update

(BUSINESS WIRE) -- Maxon, developers of professional software solutions for editors, filmmakers, motion designers, visual effects artists and creators of all types, announced today a comprehensive update to Maxon One. Maxon’s Spring 2023 release offers exciting new features and workflow enhancements across the entire product line that will empower designers and artists to turn their creative ideas into reality with stunning results. Cinema 4D 2023.2 offers an improved Commander, enhancements to its Nodes system, simulation improvements and a new Thicken generator for modeling. Updates to the Red Giant toolset feature new tools and augmentations; most notably the introduction of Symbol Mapper for Universe 2023.1, anamorphic lens support for Real Lens Flares for VFX 2023.3, and Trapcode 2023.3 includes performance optimizations for Particular and a new collection of Atomic Age sprites. Redshift 3.5.14 brings a fantastic new Sky and Sun Model, a new Flakes Shader and new Camera Backplates. The latest release of ZBrush is highlighted by two new revolutionary workflow tools: Proxy Pose and Drop 3D. Forger updates include new features for lighting and previews, and the integration of ZBrush’s powerful ZRemesher. The latest additions to Capsules include new material collections, a new dynamic Swirl Modifier and a new Redshift Shaderball. Rounding out this exciting release is an update to Cineware, focused on Unreal 5.0 and 5.1 integration.

“This highly anticipated release delivers on our promise to regularly come out with new cutting-edge features and enhancements across the entire Maxon One product line,” says David McGavran, Maxon CEO. “With this release, our community can expect improved performance, enhanced workflows, advanced tools for animation, rendering, sculpting and much more. By equipping artists of all levels with industry-leading tools, we aim to empower our community to create stunning visual content like never before.”

All updates are immediately available to subscribers via Maxon App and the Maxon Website.

About Maxon

Maxon makes powerful, yet approachable software solutions for content creators working in 2D and 3D design, motion graphics, visual effects and visualization. Maxon’s innovative product portfolio helps artists supercharge their creative workflows. Our product lines include the award-winning Cinema 4D suite of 3D modeling, simulation and animation technology; the creativity-on-the-go Forger mobile sculpting app; the diverse Red Giant lineup of revolutionary editing, motion design and filmmaking tools; the leading-edge, blazingly fast Redshift renderer; and ZBrush, the industry-standard digital sculpting and painting solution.

Maxon’s team is comprised of fun, passionate people who believe in building and empowering a successful artistic community. From our popular, inclusive events to our free Cineversity educational resources, Maxon recognizes that developing strong connections with creatives and fostering their professional growth is integral to our ability to stay on top of industry trends and better serve customers.

Maxon is part of the Nemetschek Group.

 

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NetApp’s 2023 Cloud Complexity Report Highlights the Shifting Demands of a Multicloud Environment

 Key findings indicate that 98% of technology leaders have been impacted by the increasing complexity of the cloud, bringing issues of cybersecurity and cost optimization to the forefront

(BUSINESS WIRE) -- NetApp® (NASDAQ: NTAP), a global, cloud-led, data-centric software company, today released the 2023 Cloud Complexity Report, a global survey exploring how technology decision makers are navigating cloud requirements coming from digital transformation and AI initiatives and the complexity of multicloud environments. The report found that 98% of senior IT leaders have been impacted by increasing cloud complexity in some capacity, potentially leading to poor IT performance, loss in revenue and barriers to business growth.

“Our global research report highlights paradigm shifts in how technology leaders look at and manage their cloud initiatives,” said Ronen Schwartz, Senior Vice President and General Manager, Cloud Storage, NetApp. “As cloud adoption accelerates and businesses innovate faster to compete, technology leaders are facing growing pressure to juggle multiple priorities at once – causing many to rethink how they manage efficiency and security in this new environment.”

“Our global survey data demonstrates the extreme complexity of modern IT environments, and the pressure technology executives are under to show measurable outcomes from cloud investments,” said Gabie Boko, Chief Marketing Officer, NetApp. “At NetApp, we've simplified the complex through our approach, which enables technology executives to increase the speed of innovation, lower costs and improve consistency, flexibility and agility across on-premises and cloud environments.”

Key findings from the report include:

Cloud Complexity Reaches a Tipping Point

Data complexity has reached a boiling point for companies globally, and tech executives are feeling the pressure to contain its impact on the business. However, technical and organizational challenges may stunt their cloud strategies, with 88% citing working across cloud environments as a barrier, while 32% struggle just to align on a clear vision at the leadership level.

Global Context: The following regions list this as their top concern if data complexity is not managed:

Cybersecurity: France, Spain, and Australia/New Zealand

Leadership skepticism: France, Spain, Japan

Inefficient use across the organization: Australia/New Zealand

Lack of visibility: Japan

Leadership Want Cloud Results Now

Sustainability has become an unexpected cloud-driver, with nearly eight in ten tech executives citing ESG outcomes as critical to their cloud strategy. However, return on investment (ROI) is a concern among leadership, with 84% of tech executives saying their cloud strategy is already expected to show results across the organization.

Global Context:

Nearly half of tech executives (49%) report that when cloud strategy discussions happen, cost concerns come up often or all the time.

Data regulation and compliance is another cloud driver, with various local regulations promoting their multicloud strategy most or some of the time.

Tech Executives Consider AI as a Possible Solution

In the next year, over a third (37%) of tech executives report that half or more of their cloud deployments will be supported by AI-driven applications. Nearly half of tech executives at smaller companies – those with fewer than 250 employees – expect to reach the 50% mark in the next year, and 63% by 2030, while larger companies lag.

Global Context:

The U.S. leads EMEA and APAC on plans to deploy AI-driven cloud applications in the next year, with France and Japan as outliers in their regions.

Scaling AI is the top priority in EMEA and APAC, but is second in the U.S., behind meeting regulatory compliance.

“NetApp’s global research report reveals a disconnect between the executives outside of IT and those within - specifically, leaders working to execute on cloud are the ones most ingrained in the cost and complexity issues while those outside of IT have yet to fully understand. In the process of shifting to the cloud, leaders are experiencing challenges, leaving room for vendors to address these current or yet-to-be discovered issues,” said Randy Kerns, Senior Strategist & Analyst at the Evaluator Group. “As customers express concerns with cloud implementation, vendors have the opportunity to build and offer solutions to simplify the process.”

As organizations increasingly move to multi-cloud environments, NetApp aims to alleviate efficiency bottlenecks by allowing IT leaders to manage their systems on one, streamlined user interface. By taking an evolved cloud approach, NetApp is leading the charge for next generation cloud management and storage – equipping teams with the tools necessary to stay abreast of the key trends outlined in the research report above (e.g., optimizing costs, assessing risks, and operating sustainably).

To learn more and access the full report and infographic, visit 2023 Cloud Complexity Report.

Methodology

NetApp partnered with Wakefield Research to conduct a quantitative research study during November 2022, among 1,300 tech and data executives at businesses in 9 markets: US, EMEA (France, Germany, Spain, the UK), and APAC (India, Japan, Singapore, and Australia/New Zealand). At the time of completion, all participants held positions that were classified as “director-level and above” and worked across IT, IT infrastructure, cloud infrastructure and data engineering departments.

About NetApp

NetApp is a global, cloud-led, data-centric software company that empowers organizations to lead with data in the age of accelerated digital transformation. The company provides systems, software and cloud services that enable them to run their applications optimally from data center to cloud, whether they are developing in the cloud, moving to the cloud, or creating their own cloudlike experiences on premises. With solutions that perform across diverse environments, NetApp helps organizations build their own data fabric and securely deliver the right data, services, and applications to the right people—anytime, anywhere. Learn more at www.netapp.com or follow us on Twitter, LinkedIn, Facebook, and Instagram.

NETAPP, the NETAPP logo, and the marks listed at www.netapp.com/TM are trademarks of NetApp, Inc. Other company and product names may be trademarks of their respective owners.

 

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Media Contact:

Kenya Hayes

NetApp

kenya.hayes@netapp.com

Investor Contact:

Kris Newton

NetApp

kris.newton@netapp.com

Thales pioneers Post Quantum Cryptography with a successful world-first pilot on phone calls

 PARIS LA DÉFENSE - Friday, 31. March 2023 AETOSWire Print 

Thales, leader in advanced technologies, successfully experimented end-to-end encrypted phone calls, tested to be resilient in the Post Quantum era.

The pilot was performed with the Thales ‘Cryptosmart’ secure mobile app and 5G SIM cards installed in today's commercial smartphones, testing a mobile-to-mobile call, voice/data encryption, and user authentication.

Any data exchanged during the call is set to be resistant to Post Quantum attacks thanks to a hybrid cryptography approach, combining pre-quantum and post-quantum defence mechanisms.

 

(BUSINESS WIRE)--Thales, as a worldwide cybersecurity leader, has created the first real-world application of Post Quantum Cryptography (PQC) in its flagship secure ‘Cryptosmart’ mobile app, leveraging 5G SIM for PQC. In the pilot, hybrid cryptography (pre and post quantum crypto) was used in a phone call between two devices to protect the information exchanged during the call. Thales has invested and tested post-quantum cybersecurity technologies over the last decade in order to prepare for these emerging threats.

Even if today's quantum computer1 prototypes are still far from posing a threat to public key cryptography, it is critical to begin investigating resilient solutions. For example, there is a variant of "store now, decrypt later" attacks that consists in storing today's exchanged data and messages in order to decrypt these messages once Quantum Computers are available. This means the majority of digital infrastructure security based on public key cryptography (PKC) may already be vulnerable to a quantum attack.

Such threats are relevant for scenarios involving highly sensitive information, such as classified information exchanged over an encrypted phone call. To address these threats, Thales created a proof of concept to test the scalability and quality of its solutions, which range from 5G SIM cards to secure communication software.

This first real-world quantum protected mobile solution, which combines Thales' 'Cryptosmart' application and its 5G SIM, employs hybrid cryptography, as recommended by the NIST (National Institute of Standards and Technology). ‘CRYSTALS-Kyber’, one of the four algorithms selected by the NIST2, is the PQC algorithm natively implemented in the 5G SIM and used by Cryptosmart application to encrypt the communication.

“Building defences against threats that do not yet exist may appear to be a daunting task. That is exactly the prospect that the global cybersecurity community faces with the impending arrival of quantum computing. The post-quantum era is still years away, but as quantum computing becomes more prevalent, practicing crypto agility now with such pilots and trials are helping Thales and its customers get prepared” said Philippe KERYER, Executive Vice President Strategy & Technology at Thales.

1 Computers that can perform certain tasks much faster than today's computers on a large scale.

2https://www.nist.gov/news-events/news/2022/07/nist-announces-first-four-quantum-resistant-cryptographic-algorithms

About Thales

Thales (Euronext Paris: HO) is a global leader in advanced technologies, investing in digital and “deep tech” innovations — connectivity, big data, artificial intelligence, cybersecurity and quantum computing — to build a future we can all trust, which is vital to the development of our societies.

The company provides solutions, services and products that help its customers —businesses, organisations and states — in the defence, aeronautics, space, transportation and digital identity and security markets to fulfil their critical missions, by placing humans at the heart of the decision-making process.

Thales has 81,000 employees in 68 countries. In 2021, the Group generated sales of €16.2 billion.

PLEASE VISIT

Thales Digital Identity & Security

Thales unveils three quantum technologies set to revolutionise the world of tomorrow | Thales Group

Business Data Protection and Cybersecurity | Ercom

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PRESS CONTACT

Thales, Media Relations

Digital Identity and Security

Vanessa Viala

+33 (0)6 07 34 00 34

Thermo Fisher Scientific and Arsenal Biosciences Collaborate to Support Clinical Manufacturing of Autologous T-Cell Therapies

 CARLSBAD, Calif. - Friday, 31. March 2023

(BUSINESS WIRE)--Thermo Fisher Scientific, the world leader in serving science, and Arsenal Biosciences, Inc. (ArsenalBio), a clinical-stage cell therapy company engineering advanced chimeric antigen receptor (CAR)-T cell therapies for solid tumors, today announced an update to our strategic collaboration to further the development of manufacturing processes for new cancer treatments. This research and process development-focused collaboration has enabled ArsenalBio to develop a robust manufacturing process for their next-generation, programmable autologous T cells for the treatment of cancer.

ArsenalBio recently advanced its lead product candidate into clinical manufacturing of its autologous integrated circuit T cell (ICT) therapy for platinum-resistant ovarian cancer. ArsenalBio’s work to develop multi-functional CAR-T cell therapies is enabled by Thermo Fisher’s Cell Therapy Systems (CTS) portfolio of products, including the Gibco™ CTS™ Xenon™ Electroporation System and the Gibco™ CTS™ Rotea™ Counterflow Centrifugation System.

“Our programmable cell therapy technology holds the potential to help patients with aggressive and complex cancers who currently have few treatment options,” said Ken Drazan, M.D., co-founder and chief executive officer, ArsenalBio. “To bring the promise of this technology to patients we’ll need to execute at speed and scale as we transition to clinical development. Our relationship with Thermo Fisher allows us to combine their fit-for-purpose solutions and internal expertise with our team’s innovative approach to clinical research and process development capabilities to manufacture ArsenalBio’s products and explore future therapeutic innovation.”

Thermo Fisher began its collaboration with ArsenalBio in 2020 to help ArsenalBio overcome challenges associated with cell therapy manufacturing by working together to support development of a clinical-scale gene editing process. In addition, ArsenalBio received early access to Thermo Fisher’s latest instrumentation and reagents.

“By collaborating with ArsenalBio as they pioneer a new approach to treat solid tumors using engineered T cell therapies, we’re helping bring more options to those who are most in need of innovative treatments,” said Betty Woo, vice president of cell, gene and advanced therapies, Thermo Fisher. “Through our Cell Therapy Collaboration Program, we are enabling the industry shift from reactive to proactive, applying our biological and technical expertise to improve the economics of therapy production, and moving toward expanded access to patients worldwide.”

Thermo Fisher’s CTS portfolio of products are cGMP manufactured, designed to meet applicable cell therapy standards, and include traceability and regulatory documentation to help customers transition from research to clinical production.

For more information about Thermo Fisher’s cell therapy collaboration partnership program, please visit thermofisher.com/collabcenterpartnership.

About Thermo Fisher Scientific

Thermo Fisher Scientific Inc. is the world leader in serving science, with annual revenue over $40 billion. Our Mission is to enable our customers to make the world healthier, cleaner and safer. Whether our customers are accelerating life sciences research, solving complex analytical challenges, increasing productivity in their laboratories, improving patient health through diagnostics or the development and manufacture of life-changing therapies, we are here to support them. Our global team delivers an unrivaled combination of innovative technologies, purchasing convenience and pharmaceutical services through our industry-leading brands, including Thermo Scientific, Applied Biosystems, Invitrogen, Fisher Scientific, Unity Lab Services, Patheon and PPD. For more information, please visit www.thermofisher.com.

 

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Kristin Blake

Thermo Fisher Scientific

Phone: 760-637-1166

Email: kristin.blake@thermofisher.com

Allianz Appoints Leadership for Allianz Commercial Key Markets

 MUNICH - Friday, 31. March 2023

• Allianz Commercial leaders confirmed for Australia, France, Germany and the United Kingdom
• Each leader serves as one face to the market in each country, covering the full Commercial segment for both mid-sized and large companies
• Clients and distribution partners to benefit from more consistent interface and broader set of solutions under the new global model

(BUSINESS WIRE) -- As part of the implementation of its ‘Integrated Commercial’ strategy to better serve the full Commercial segment, Allianz Group today announced the leadership for four of its largest Property and Casualty Commercial insurance markets: Australia, France, Germany and the United Kingdom. In each country, the appointed single Commercial lead will represent the integrated Allianz Commercial business and bring to the market Allianz’s full set of solutions for specialty clients, large corporates, and mid-sized companies, simplifying and enhancing the experience of clients and distribution partners.

“The appointment of the regional leaders in our core Allianz Commercial markets is an important, concrete step toward realizing our new integrated model, which brings together our Mid Corporate and Large Corporate insurance business for the benefit of our clients and distribution partners,” said Chris Townsend, Member of the Allianz SE Board of Management.

Townsend added, “As one face to the market, these leaders will represent the full Allianz offering to companies across the entire commercial spectrum and will drive the effective local delivery of our global capabilities.”

Australia: The Allianz Commercial business in Australia will be led by Phuong Ly as Chief General Manager Allianz Commercial, reporting to Richard Feledy, Managing Director of Allianz Australia in conjunction with Joachim Mueller, CEO of Allianz Global Corporate & Specialty (AGCS). For more information, please click here.

France: The Allianz Commercial business in France will be led by Patrick Thiels as Country Managing Director for Allianz Commercial with Frédéric Baccelli as Deputy Country Managing Director for Allianz Commercial. Thiels will report to AGCS CEO Joachim Mueller and to Fabien Wathlé, CEO of Allianz France. For more information, please click here.

Germany: The Allianz Commercial business in Germany will be led by Hans-Joerg Mauthe as Commercial Managing Director, reporting to AGCS Chief Regions and Markets Officer Henning Haagen and to Ulrich Stephan, Board Member of Allianz Versicherungs-AG. For more information, please click here.

United Kingdom: The Allianz Commercial business in the United Kingdom will be led by Nadia Côté as Commercial Managing Director, subject to regulatory approval. She is reporting to AGCS CEO Joachim Mueller and to Colm Holmes, CEO Allianz Holdings UK. For more information, click here.

The appointment of additional Allianz Commercial regional leaders in other markets globally will follow in due course.

Allianz previously announced on March 10, 2023 that it will serve the global commercial insurance segment as one go-to-market business, using the new trading name of Allianz Commercial, combining its AGCS business serving large corporate and specialty clients together with the insurance businesses of Allianz’s operating entities serving mid-sized country-based accounts. Joachim Mueller will lead Allianz Commercial as part of his responsibilities as CEO of AGCS SE.

About Allianz
The Allianz Group is one of the world's leading insurers and asset managers with more than 122 million* private and corporate customers in more than 70 countries. Allianz customers benefit from a broad range of personal and corporate insurance services, ranging from property, life and health insurance to assistance services to credit insurance and global business insurance. Allianz is one of the world’s largest investors, managing around 683 billion euros** on behalf of its insurance customers. Furthermore, our asset managers PIMCO and Allianz Global Investors manage about 1.6 trillion euros of third-party assets. Thanks to our systematic integration of ecological and social criteria in our business processes and investment decisions, we are among the leaders in the insurance industry in the Dow Jones Sustainability Index. In 2022, over 159,000 employees achieved total revenues of 152.7 billion euros and an operating profit of 14.2 billion euros for the group.

These assessments are, as always, subject to the disclaimer provided below.

* Including non-consolidated entities with Allianz customers.

** As of Dec 31, 2022

Cautionary note regarding forward-looking statements
This document includes forward-looking statements, such as prospects or expectations, that are based on management's current views and assumptions and subject to known and unknown risks and uncertainties. Actual results, performance figures, or events may differ significantly from those expressed or implied in such forward-looking statements.

Deviations may arise due to changes in factors including, but not limited to, the following: (i) the general economic and competitive situation in the Allianz’s core business and core markets, (ii) the performance of financial markets (in particular market volatility, liquidity, and credit events), (iii) adverse publicity, regulatory actions or litigation with respect to the Allianz Group, other well-known companies and the financial services industry generally, (iv) the frequency and severity of insured loss events, including those resulting from natural catastrophes, and the development of loss expenses, (v) mortality and morbidity levels and trends, (vi) persistency levels, (vii) the extent of credit defaults, (viii) interest rate levels, (ix) currency exchange rates, most notably the EUR/USD exchange rate, (x) changes in laws and regulations, including tax regulations, (xi) the impact of acquisitions including and related integration issues and reorganization measures, and (xii) the general competitive conditions that, in each individual case, apply at a local, regional, national, and/or global level. Many of these changes can be exacerbated by terrorist activities.

No duty to update
Allianz assumes no obligation to update any information or forward-looking statement contained herein, save for any information we are required to disclose by law.

Privacy Note
Allianz SE is committed to protecting your personal data. Find out more in our privacy statement.

Chairman of the Supervisory Board: Michael Diekmann.
Board of Management: Oliver Bäte, Chairman. Dr. Sirma Boshnakova, Dr. Barbara Karuth-Zelle, Dr. Klaus-Peter Röhler, Giulio Terzariol, Dr. Günther Thallinger, Christopher Townsend, Renate Wagner, Dr. Andreas Wimmer
(Release / Stand 01.2023). For VAT-Purposes: VAT-Registration Number: DE 129 274 114; Insurance services are exempt from VAT. Allianz SE, Munich, Comm.Reg.: Munich HRB 164232

 

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Group Communications
Lauren Day
Phone +49 89 3800 3345
e-mail: lauren.day@allianz.com

Allianz Global Corporate & Specialty
Hugo Kidston
Phone +44 203 451 3891
e-mail: hugo.kidston@allianz.com

Heidi Polke
Phone +4989 3800 14303
e-mail: heidi.polke@allianz.com

KnowBe4 Finds State and Local Governments Struggle to Defend Against Ransomware and Business Email Compromise

 TAMPA BAY, Fla. - Friday, 31. March 2023 AETOSWire Print 

KnowBe4 releases The Economic Impact of Cyber Attacks on Municipalities report and finds sectors struggle to defend themselves against cyber attacks due to lack of support

(BUSINESS WIRE) -- KnowBe4, the provider of the world’s largest security awareness training and simulated phishing platform, released a new report showing the continued impact cyber crime is having on state and local governments entitled “The Economic Impact of Cyber Attacks on Municipalities”.

KnowBe4’s report details the financial costs, reputational effects, level of public trust and other impact cyber attacks have on municipalities. The report breaks down the impact cyber attacks have into five target areas: the average financial loss from state and local governments, the denial of service to citizens due to financial loss, the frequency/types of attacks and the risk of recurring attacks, the challenge of allocating capital to prevent attacks and the decline of economic investment in municipalities.

Additionally, the new reports revealed ransomware continues to plague municipalities in all industry sectors. Business email compromise (BEC) attacks were also proven to be one of the most lucrative forms of cyber attacks in 2022, generating billions of dollars lost across all sectors and increasing across all sectors by 175%, with an 81% surge in 2022. State and local governments are particularly vulnerable to these attacks due to government transparency laws which allow cyber criminals to more easily tailor their attack to the victim.

Key findings from the report include:

Many municipality cybersecurity budgets are underfunded or do not exist at all. According to the National Association of State Chief Information Officers (NASCIO), most state cybersecurity budgets are between 0% and 3% of their overall IT budget. Additionally, only 18 states have a cybersecurity budget line-item and only 16% of states reported a budget increase of 10% or greater since 2018.

The 2022 IC3 Report reveals that in 2022, BEC attacks generated a total of $2,742,354,049 in losses across sectors, an increase of $346 million from 2021, and $875 million from 2020.

There are 1.7 million ransomware attacks every day, which means 19 ransomware attacks every second. Cybersecurity Ventures predicts that by 2031, ransomware will cost victims $265 billion annually, and it will attack a business, consumer or device every 2 seconds.

Ransomware attacks on state and local governments last an average of 7.3 days. Down time alone generates an average loss of $64,645.

In addition to state and local governments, educational institutions are also prime targets and victims of cyber attacks. In 2022, ransomware impacted nearly double the amount of universities and colleges than it did in 2021. Moody’s, which began tracking school districts in 2018, reports that the rates at which school districts are targeted has increased “exponentially”.

“Despite the many statistics and reports that detail the devastating losses caused from ransomware, business email compromise and other cyber attacks, many municipalities still find themselves underprepared for these threats,” said Stu Sjouwerman, CEO, KnowBe4. “Regardless of budget or size, the best way for all industry sectors to defend themselves against the threat of cyber attacks is to educate employees with new-school security awareness training and learn to develop a healthy skepticism of messages from even known contacts. Major municipality targets such as local and state governments and education and healthcare institutions are the backbone of civil service and society. Trained employees are essential to support IT teams, strengthen security culture and create a human firewall as the last line of defense to protect industries across the board, especially the municipality sectors we rely on everyday.”

To download The Economic Impact of Cyber Attacks on Municipalities report, visit https://www.knowbe4.com/hubfs/Economic-Impact-of-Cyber-Attacks-on-Municipalities.pdf.

To download KnowBe4’s Ransomware Hostage Rescue Manual, visit https://info.knowbe4.com/ransomware-hostage-rescue-manual-0.

About KnowBe4

KnowBe4, the provider of the world’s largest security awareness training and simulated phishing platform, is used by more than 56,000 organizations around the globe. Founded by IT and data security specialist Stu Sjouwerman, KnowBe4 helps organizations address the human element of security by raising awareness about ransomware, CEO fraud and other social engineering tactics through a new-school approach to awareness training on security. Kevin Mitnick, an internationally recognized cybersecurity specialist and KnowBe4's Chief Hacking Officer, helped design the KnowBe4 training based on his well-documented social engineering tactics. Tens of thousands of organizations rely on KnowBe4 to mobilize their end users as their last line of defense.

 

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Kathy Wattman

Public Relations

PR@KnowBe4.com

(727) 474-9950