Committee on Small Business United State

Foreign Cyber Threats Committee on Small Business United State

The information technology, or IT, revolution has provided small businesses with new tools and opportunities to compete in the global economy. However, cybersecurity experts warn about the varied cyber threats facing America's 28 million small businesses. The Office of the National Counterintelligence Executive released a report in 2011 stating that tens of billions of dollars in trade secrets, intellectual property, and technology are being stolen each year from computer systems in the Federal Government, from corporations, and from academic institutions. China and Russia were cited as the two largest participants in cyber espionage. According to a recent report by Verizon Enterprise, over 70 percent of cyber attacks occurred in businesses with fewer than 100 employees. Even one cyber attack can be devastating for small businesses, making prevention and protection absolutely critical. A 2014 survey from the National Small Business Association estimated the average cost of a cyber attack on a small business to be over $32,000, a huge hit for a small business.