Business Challenge

New Security Threats, Higher Protection Costs

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Very few companies have a crisis plan that enables them to react to cyber attacks, according to a study.
  • Why it matters

    Why it matters

    German spending on security measures has increased significantly amid growing terrorist and cyber attacks but studies show many businesses are underprepared.

  • Facts

    Facts

    • Under a new EU guideline airlines are required to store passenger data for several months.
    • Some German politicians have voiced concerns over the excessive storage of data as a preventive measure against cyber attacks.
    • Risk managers polled in a study by Allianz Insurance rated a cyber attack as the second most serious threat to companies today.
  • Audio

    Audio

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As the new year begins, German companies are showing heightened concern over new unrest in the Middle East and growing threats of terrorist and cyber attacks. For many of them, security is becoming an increasingly important issue.

Since the attacks of September 11, 2001, their expenditures on security measures, especially logistics costs for inspecting containers, have increased significantly, Anton F. Börner, president of the Federation of German Wholesale and Foreign Trade, said in Berlin on Tuesday. And the costs, he added, “will continue to go up.”

Mr. Börner presented a representative study of 1,200 member companies, in which 15 percent of respondents stated that terrorist attacks have made their business activities more difficult. Five percent of those surveyed stated that their business is impaired by counterterrorism measures such as border controls.

Several protective measures have been introduced in recent weeks. Among them: The controversial Data Retention Act, which came into effect in Germany in December, requires telecommunications companies to store the telephone and Internet connection data of all citizens for ten weeks. Also in late 2015, the European Union introduced a controversial new guideline, under which airlines are required to store all passenger data for several months.

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