Cybersecurity Risks in Digital Transformation: What the Data Says

Digital transformation is no longer a choice. Businesses are evolving faster than ever, moving their operations to the cloud, automating processes, and embracing remote work. But with innovation comes risk — especially in the form of cybersecurity threats.

1. 82% of data breaches involve a human element, such as phishing or social engineering

Humans: The Front Line and the Weakest Link

No matter how advanced your security software is, if your employees don’t know how to spot a scam, you’re still exposed. A staggering 82% of breaches trace back to human actions — most often phishing emails or trickery by social engineers.

Cybercriminals are clever. They no longer rely on brute force to break in. Instead, they manipulate people. A well-crafted email that looks like it’s from a boss, a fake invoice, or a cloned website — all are enough to trick an employee into handing over credentials or downloading malware.

Why This Matters in Digital Transformation

Digital transformation means more online systems, more users, more remote access, and often, more third-party vendors. Every new tool brings more users who can be targeted. Every employee who logs into a cloud-based dashboard from home is a potential entry point.

And guess what? Cybercriminals know this. They target digital-first companies more aggressively, knowing they’re likely to overlook training while rushing to innovate.

What You Should Do About It

• Run phishing simulations regularly. These help employees recognize real threats.
• Use two-factor authentication (2FA) for all accounts — it makes password theft far less useful.
• Create a culture where employees feel comfortable reporting suspicious emails. If they fear punishment, they’ll stay quiet — and that’s dangerous.
• Keep training short and simple. Long lectures are forgotten. Bite-sized tips work better.
• Teach employees to verify requests for sensitive info — even if it seems to come from a high-level executive.

Digital transformation must go hand-in-hand with human transformation. Make security part of your culture, not just your tech stack.

2. 60% of organizations say digital transformation has significantly increased their cybersecurity risks

Innovation Without Guardrails Is Risky

As businesses embrace digital transformation, they often forget one critical step — integrating security into the process. And that’s not just an opinion. 60% of organizations openly admit that their cybersecurity risk has grown significantly due to digital initiatives.

Why? Because transformation typically happens fast. Faster cloud adoption, more mobile tools, more automation, and more data transfers across networks. But security often lags behind.

Risk Grows as the Attack Surface Expands

Each new digital product — whether it’s an app, a tool, or a platform — expands your “attack surface.” Think of it like opening more doors and windows in your house. If you don’t install locks on all of them, you’re inviting trouble.

From misconfigured servers to unencrypted data and poor access controls, the risks multiply with speed.

What You Should Do About It

• Involve security from the beginning. Don’t wait until after deployment. Include your security team (or advisor) in every transformation meeting.
• Do regular risk assessments. Every time a new digital tool or process is introduced, assess its security risks before going live.
• Adopt a zero-trust model. Trust no user or system by default — verify everything. This is the gold standard for modern cybersecurity.
• Have a digital transformation roadmap that includes cybersecurity. Don’t treat it as an afterthought — it must be a parallel track.

Innovation is powerful — but only when it’s secure. Don’t race ahead without checking the brakes.

3. 43% of cyberattacks target small and medium-sized businesses

Size Doesn’t Matter to Hackers — Vulnerability Does

If you think your business is too small to be targeted, think again. Nearly half of all cyberattacks go after small and mid-sized businesses. Why? Because attackers know these companies often don’t have the budget, resources, or security posture of larger enterprises.

Hackers don’t always want to take down the biggest player. They want the easiest win. And many SMBs make that too easy.

What Makes SMBs Such a Big Target?

• Limited IT staff. Often, there’s no full-time security expert.
• Outdated systems. Legacy tools and software that haven’t been patched are prime targets.
• Lack of training. Employees aren’t prepared to spot threats.
• Poor backup practices. If hit by ransomware, many can’t recover.

During digital transformation, SMBs move fast. They add new tools, cloud systems, and automation — but often without a security strategy. That’s like building a beautiful house on a shaky foundation.

What You Should Do About It

• Outsource your cybersecurity if you must. Managed security providers can give you top-tier protection without the full-time cost.
• Use cloud tools with built-in security features. Many SaaS platforms offer strong protection out of the box — use them smartly.
• Start with the basics. Patch your software. Use strong passwords. Train your team. These small actions prevent most threats.
• Back up your data regularly. If you do nothing else, do this. Ransomware can’t hurt you if your data is safely backed up offsite.

No matter your size, you can be a hard target. Cybersecurity doesn’t have to be expensive — it just has to be smart.

4. 94% of malware is delivered via email

Email Is the Hacker’s Favorite Door

You’d think malware would need some complex system flaw or high-level backdoor to sneak in, right? Not really. In 94% of cases, it arrives through something we all use every single day — email.

Malware today often hides inside attachments or links that look totally legitimate. A fake invoice, a resume, a Dropbox link — just one careless click, and malware is installed. Sometimes it just spies. Other times, it steals data or opens up access for ransomware.

And during digital transformation, your organization sends and receives more emails than ever before. Remote work, faster workflows, and digital file sharing increase reliance on email — and hackers know it.

Why This Is So Dangerous During Digital Transformation

Every new digital process means more emails with links, attachments, and system-generated messages. That increases the chance of a malicious one slipping through unnoticed. Also, new hires during a tech shift may not know what a fake email looks like.

And since phishing emails look more convincing now than ever — often mimicking real vendors or internal systems — even savvy employees can be fooled.

What You Should Do About It

• Use an email filtering service. Advanced filters detect and quarantine suspicious emails before they even hit inboxes.
• Train your team to hover over links. A quick glance at the real URL can expose a fake.
• Ban risky file types. Most malware hides in .exe, .scr, or .js files. You can block these altogether.
• Create clear email protocols. For example, never approve payments or share sensitive files via email unless it’s part of a verified process.
• Enable auto-updates for email clients. Outdated software can have exploitable bugs that malware can use.

Email is useful, but it can also be dangerous. Teaching your team to treat every email with healthy suspicion is a crucial part of modern security.

5. 71% of organizations experienced a successful cyberattack on operational technology (OT) systems in the last year

OT: The New Target Hackers Love

Operational technology, or OT, refers to systems that control physical devices — think manufacturing equipment, HVAC systems, smart sensors, and even medical devices. Once isolated from the internet, many OT systems are now connected thanks to digital transformation.

But here’s the problem: these systems weren’t designed with cybersecurity in mind. And that’s why 71% of organizations were successfully attacked in just the past year.

OT environments often lack basic defenses, and once a hacker gets in, they can disrupt operations, cause physical damage, or steal sensitive data. For industries like energy, healthcare, and manufacturing, that’s a nightmare.

Why OT Risks Skyrocket With Digital Transformation

Digital initiatives often involve merging IT and OT — using data from machines to optimize operations. That’s smart, but it connects vulnerable systems to wider networks, increasing exposure.

Also, many OT systems run on old, unsupported software. Patching them is tricky because any downtime affects production — so businesses delay updates, which makes them even more vulnerable.

What You Should Do About It

• Isolate OT from IT networks where possible. Create strong firewalls and segmentation between your production systems and your admin tools.
• Use threat detection tools made for OT. They monitor strange behavior in real-time without disrupting operations.
• Don’t wait to patch. Schedule patches during off-hours or low-production windows. It’s worth the planning.
• Avoid default credentials. Many OT systems ship with common usernames and passwords — change them all.
• Train operators. Your OT team may not be security pros. Help them understand basic threats and red flags.

OT cyberattacks are no longer rare — they’re becoming the norm. Don’t assume your machines are invisible. If they’re connected, they’re vulnerable.

6. 75% of IT professionals say their security infrastructure isn’t sufficient to support digital transformation initiatives

When Your Foundation Isn’t Ready for the Load

Three out of four IT professionals admit that their current security systems just can’t handle the demands of digital transformation. That’s a major red flag.

Why? Because digital transformation doesn’t just mean a few new tools. It means rethinking how your entire business operates. More cloud use, more APIs, more remote access, more data — and your old security setup might not be able to keep up.

Why This Happens

Most security infrastructures were built for a world of on-premise systems, firewalls, and company networks. But now, your apps are in the cloud, your employees are at home, and your data is everywhere.

What once worked — antivirus, VPNs, basic firewalls — may not be enough anymore. That leads to gaps, delays, and a false sense of safety.

What You Should Do About It

• Reevaluate your security stack. Ask if your current tools are made for cloud, hybrid work, and remote access. If not, it’s time to upgrade.
• Use cloud-native security solutions. These are built to protect data in motion across multiple platforms.
• Invest in a SIEM platform. Security Information and Event Management tools help you spot and respond to threats across your entire environment.
• Adopt microsegmentation. This means breaking your network into smaller parts so a breach in one doesn’t spread to all.
• Prioritize identity and access management. With more users and devices than ever, controlling access is critical.

You can’t build a skyscraper on an old wooden foundation. If your infrastructure isn’t modernized, it’ll collapse under the pressure of transformation.

7. The average cost of a data breach in 2023 was $4.45 million

Breaches Are Expensive — And the Price Keeps Climbing

The financial damage caused by a single data breach now averages a jaw-dropping $4.45 million. That’s not just the cost of recovery — it includes legal fees, customer loss, operational downtime, regulatory fines, and reputational damage. In some industries, the cost is even higher.

It’s easy to think of cyberattacks as an IT problem. But this kind of price tag makes it clear — it’s a business problem, a boardroom problem, and a survival problem.

And during digital transformation, your risk — and potential cost — goes up. More systems means more exposure. More exposure means more opportunities for mistakes or attacks.

Why Costs Are Rising During Digital Shifts

A lot of companies are moving fast. They’re collecting more data, often without clear protection strategies. Sensitive customer or financial data may be stored on unsecured platforms. Or shared between departments without encryption. Or left exposed in test environments.

When hackers strike, the breach often goes unnoticed for weeks or even months. That allows them to do more damage. And the longer it takes to detect and contain a breach, the more expensive it becomes.

What You Should Do About It

• Know what data you collect and where it lives. You can’t protect what you can’t see. Map out your data flows.
• Limit data access. Only give access to those who truly need it. Fewer users mean fewer chances for mistakes.
• Encrypt everything. Data at rest and in motion must be encrypted — it’s one of the easiest ways to reduce risk.
• Have a breach response plan. You need to act fast if something happens. Have a playbook and test it.
• Invest in cyber insurance. It won’t prevent a breach, but it may help soften the blow.

Think of your cybersecurity budget not as a cost, but as a form of insurance against this $4.45 million risk. Because once the breach happens, it’s too late to play catch-up.

8. 45% of organizations say cloud misconfigurations are their biggest cyber risk during digital transformation

The Cloud Isn’t Insecure — Misconfigured Cloud Is

Nearly half of organizations admit that misconfigurations in their cloud systems are their biggest cybersecurity threat. That tells us something important — the cloud itself isn’t the problem. It’s how companies use it.

When a server is set up without proper permissions, when data storage is left open to the public, or when encryption is skipped — you’ve got a misconfiguration. And that’s how massive breaches happen. Not with hacking tools, but with simple mistakes.

Why It’s So Common During Transformation

Cloud services are easy to spin up — but they’re not always easy to secure. During digital transformation, teams are under pressure to move fast. New tools are launched. Files are migrated. Apps go live. And in the rush, settings get overlooked.

Many companies assume their cloud provider is fully responsible for security. But in reality, it’s a shared responsibility. The provider secures the infrastructure. You’re responsible for what you put in it.

What You Should Do About It

• Use cloud security posture management (CSPM) tools. These monitor your cloud environments for misconfigurations and alert you immediately.
• Set up least privilege access by default. Never give users or apps more access than they need.
• Enable logging and monitoring. You should know who accessed what, when, and from where — and be alerted when something looks off.
• Run audits after every deployment. Any time you make changes, double-check the settings.
• Educate your DevOps team. They may be experts in deployment, but not necessarily in security. Give them the tools and training they need.

The cloud is powerful, scalable, and efficient — but only when configured with care. A small mistake can expose everything.

9. 91% of organizations experienced at least one cloud security incident in the past year

Cloud Adoption Is Booming — So Are the Incidents

Cloud computing brings agility, flexibility, and scale. But here’s the dark side: 91% of organizations reported a cloud-related security incident in the past year. That’s nearly everyone.

These incidents range from unauthorized access and data leaks to ransomware infections and compliance failures. It shows that while companies are quick to adopt the cloud, they’re not always prepared to secure it.

Digital transformation relies heavily on the cloud. And that’s why these incidents are so common — companies are moving fast, often faster than their security policies can keep up.

Common Causes of Cloud Incidents

• Weak passwords or lack of multi-factor authentication
• Exposed APIs
• Misconfigured permissions
• Lack of visibility across cloud environments
• Insecure third-party integrations

Every one of these is preventable — but only if you’re aware of the risks and take action early.

What You Should Do About It

• Use identity and access management tools. Enforce strong authentication and track all user activity.
• Perform regular penetration testing. Simulate attacks to find weak points before hackers do.
• Limit API exposure. Only expose what’s needed and protect every endpoint with authentication.
• Consolidate your cloud environments. Using too many cloud platforms can create blind spots. Simplify where you can.
• Make incident response cloud-specific. Don’t use a generic plan. Tailor your response strategies for cloud incidents.

Cloud security isn’t optional. If 91% of companies had an issue last year, chances are you will too — unless you’re proactive.

10. Ransomware attacks increased by 13% year-over-year globally

Ransomware Isn’t Slowing Down — It’s Accelerating

Ransomware isn’t just a nuisance — it’s one of the most dangerous cyber threats businesses face today. And with a 13% increase year-over-year, the problem is only getting worse.

The tactic is simple but brutal. Hackers lock your files and demand money to release them. Sometimes they also steal the data and threaten to publish it. And during digital transformation, when your operations are in motion and systems are connected like never before, ransomware can hit hard and fast.

Why Ransomware Loves Digital Transformation

During transformation, systems are changing constantly. Backups may be incomplete. Security policies are in transition. And in many cases, legacy systems are still active — and often vulnerable.

Hackers exploit this chaos. They sneak in through phishing emails, open ports, or outdated apps. Once inside, they move laterally across your network, looking for the best leverage — customer data, proprietary code, financial files.

And because your digital tools are essential to daily operations, you’re more likely to pay just to get back to work.

What You Should Do About It

• Keep immutable backups. These are backups that can’t be changed or deleted by ransomware. Store them offsite or offline.
• Use endpoint detection and response (EDR). EDR tools spot strange behavior and shut it down fast.
• Segment your network. Don’t let ransomware spread from one system to another. Limit the blast radius.
• Patch aggressively. Many ransomware attacks exploit known vulnerabilities — and patching stops them cold.
• Practice ransomware drills. Test your response so your team isn’t frozen when it happens.

Ransomware is preventable. But only if you build defenses before it strikes. Afterward, the cost — financial and reputational — can be devastating.

11. Only 38% of organizations say their digital transformation strategies include adequate cybersecurity controls

Security Is Being Left Out of the Conversation

Less than 4 out of 10 organizations say they’re building proper cybersecurity into their digital transformation strategy. That’s alarming.

Why? Because digital transformation is like renovating your house. If you don’t reinforce the foundation as you go, the new floors and walls will eventually collapse.

Many businesses see digital transformation as an IT project. But it’s not just about tech — it’s about people, processes, and protection. When security isn’t involved from the start, it becomes an afterthought — and that leads to blind spots.

The Cost of Excluding Cybersecurity from Planning

Without built-in controls, businesses may deploy unsecured APIs, open ports without firewalls, and leave sensitive data exposed. Compliance might be overlooked. And when breaches occur, there’s no clear response plan in place.

In short, innovation speeds up, while protection lags behind — and that gap is where attackers strike.

What You Should Do About It

• Make security a pillar of every digital transformation meeting. Security isn’t a phase — it’s a thread running through every decision.
• Appoint a cybersecurity lead. Someone needs to be responsible for integrating security with each new rollout.
• Adopt secure-by-design principles. Every tool, process, and app should be built with security at the core — not added later.
• Align cybersecurity with business goals. If your transformation is about efficiency or cost reduction, show how security supports those outcomes.
• Review vendor security. Every new platform or SaaS tool should meet your security requirements. Ask for proof — don’t assume.

Cybersecurity must grow in lockstep with your digital strategy. Anything less is like racing down a highway with no brakes.

12. IoT devices are attacked within 5 minutes of being connected to the internet

The Internet of Things Is Also the Internet of Threats

Five minutes. That’s how quickly an internet-connected device can be attacked after going online. And in a world of digital transformation, more companies are connecting more devices than ever before.

From smart thermostats in offices to connected printers, industrial sensors, and medical monitors — all these devices are part of the Internet of Things (IoT). And most of them were never built with security in mind.

Hackers often scan for new devices, looking for ones that use default passwords or outdated software. Once in, they can use those devices as a way to spy, steal data, or launch larger attacks.

Why IoT Is a Major Risk During Digital Growth

IoT devices expand your network — but they often don’t get the same security attention as your servers or laptops. They may not support encryption. They may not receive firmware updates. Some don’t even log activity, so you don’t know when something goes wrong.

And because they’re “set it and forget it” devices, they’re often left unmonitored for months or years.

What You Should Do About It

• Change default credentials immediately. Many IoT devices ship with common usernames and passwords. Change them before connecting to the network.
• Isolate IoT from your core network. Put smart devices on their own segmented network so a breach doesn’t spread.
• Keep firmware updated. Set reminders to check for updates — many fixes address critical vulnerabilities.
• Monitor traffic. Use tools that can detect unusual behavior from IoT devices, like unexpected data uploads.
• Limit what you connect. Only use smart devices that are necessary and come from trusted vendors with good security reputations.

IoT can be a powerful tool for automation and efficiency — but only if it’s secure. Treat these devices like any other endpoint, not like background hardware.

13. 80% of organizations use third-party vendors, increasing supply chain vulnerabilities

Trusting Others Can Put You at Risk

Nearly 80% of organizations now work with third-party vendors to support digital initiatives. Whether it’s cloud providers, app developers, marketing platforms, or data storage services — third parties make digital transformation possible.

But here’s the problem: when you connect your systems with a vendor’s, you’re also inheriting their security risks. If their systems are vulnerable, you’re vulnerable too.

This is called supply chain risk — and it’s become one of the biggest blind spots in cybersecurity today.

Why This Risk Grows During Digital Transformation

Digital transformation is all about speed, scale, and agility. Companies turn to third parties to handle specialized tasks so they can move faster. But in doing so, they may skip vetting or security checks in the rush to onboard.

Worse, attackers know this. They now target vendors as an easy way into larger, better-defended organizations.

The SolarWinds hack? That was a supply chain attack. So was the Kaseya ransomware incident. These weren’t isolated events — they’re part of a growing trend.

What You Should Do About It

• Vet your vendors. Before you sign anything, ask about their security practices. Do they encrypt data? Have breach history? Comply with standards?
• Use vendor risk assessments. This includes questionnaires and risk ratings to evaluate how safe a third party really is.
• Monitor vendor access. Don’t give third parties unrestricted access to your systems. Limit it to what they truly need — and review regularly.
• Have a contract clause for security. Your vendor agreement should spell out who’s responsible if something goes wrong.
• Remove unused integrations. If you’ve stopped using a service, disconnect it completely — don’t let it hang around.

You can’t transform alone. But you can be selective — and cautious — about who joins your digital journey.

14. 54% of enterprises believe their digital transformation exposes them to more insider threats

The Threat Within

More than half of enterprises believe that going digital has made them more vulnerable to insider threats. These aren’t always malicious insiders — often, they’re just careless ones. But the damage can be just as severe.

When employees gain access to new tools, systems, and data during digital transformation, the risk goes up. A wrong click, a misfiled document, or even an angry staff member can lead to serious breaches.

And the more interconnected your systems are, the easier it is for mistakes to spread.

Why Insider Threats Are a Bigger Deal Now

With remote work and cloud access, employees aren’t always inside a company’s firewall anymore. They’re logging in from home, mobile devices, or even public Wi-Fi.

This gives them unprecedented access — and often, without the oversight or safeguards that would exist in a traditional office setting.

Plus, digital transformation creates change. Change brings stress. And stressed or confused employees are more likely to make mistakes or act out.

What You Should Do About It

• Implement user behavior analytics. These tools detect when someone is acting in unusual or risky ways.
• Set up data loss prevention (DLP) systems. These can prevent users from sending sensitive data outside the organization.
• Limit access by role. Not everyone needs access to everything. Use role-based controls to restrict sensitive systems.
• Provide security training tailored to new systems. If you launch a new tool, train people on how to use it safely.
• Watch for red flags. Sudden changes in access patterns or large data downloads can be early warning signs.

You trust your team — but trust should be paired with verification and controls. That’s how you keep both your people and your data safe.

15. 83% of organizations have unpatched vulnerabilities that are over a year old

Old Flaws Still Pose New Dangers

This is one of the most frustrating stats in cybersecurity: 83% of organizations have known vulnerabilities that are more than a year old. These aren’t mysterious, secret flaws. These are bugs that already have fixes — but still haven’t been patched.

Why? Often it’s because businesses don’t realize the risk. Or they worry that patching might break something. Or it just falls through the cracks.

But attackers scan for these known vulnerabilities constantly. Once they find one, getting in is easy.

Why Patching Falls Behind During Digital Transformation

When you’re in the middle of a big transformation, your focus is often on building, deploying, and integrating. Security maintenance, like patching, takes a back seat.

Also, legacy systems — which many companies still rely on — can be tricky to update. And patching may require downtime, which leaders are hesitant to schedule.

But leaving these gaps open is like keeping your windows unlocked in a storm.

What You Should Do About It

• Create a formal patch management process. Assign responsibility, set timelines, and track progress.
• Prioritize high-risk vulnerabilities. Not every patch needs immediate action, but some absolutely do. Focus on those first.
• Test patches in a staging environment. This reduces the fear that updates will break something important.
• Automate where you can. Use tools to scan for unpatched systems and deploy updates on a schedule.
• Report patch status to leadership. If execs understand the business risk of delayed patches, they’ll support the time and resources needed.

Patching isn’t flashy. But it works. And it’s one of the cheapest, most effective ways to prevent serious cyber incidents.

16. 69% of organizations cite outdated security solutions as a barrier to secure digital transformation

Old Tools Can’t Protect a New World

More than two-thirds of organizations say their existing security tools just aren’t good enough for modern digital demands. That’s a serious obstacle.

Digital transformation introduces new environments — cloud, mobile, IoT, remote work. But if you’re still relying on tools built for a static, on-premises world, you’re setting yourself up for trouble.

Outdated firewalls, basic antivirus, and legacy access controls were never designed to protect sprawling, cloud-first environments. And cybercriminals know how to get around them.

Why This Happens

Replacing old systems is expensive and complex. IT teams often inherit tools that “still work” and leadership may resist spending on upgrades.

But functioning doesn’t mean secure. Many legacy tools don’t integrate with newer systems, can’t analyze behavior in real time, and don’t scale.

As digital transformation accelerates, the gap between old defenses and new threats keeps growing.

What You Should Do About It

• Conduct a security stack audit. List all the tools you’re using. Are they cloud-ready? Do they cover all your endpoints and access points?
• Prioritize modernization. You don’t need to upgrade everything at once. Focus on replacing the most outdated or critical tools first.
• Move to unified security platforms. Many modern solutions offer SIEM, endpoint protection, identity management, and cloud visibility in one platform.
• Decommission what you don’t use. Old, unused tools still introduce risk. Remove them completely if they’re no longer needed.
• Plan for lifecycle upgrades. Security tools should have the same lifecycle planning as software or hardware. Don’t wait until they break.

The tools that protected you yesterday may not protect you tomorrow. If you’re transforming digitally, your defenses must transform too.

17. Cybercrime is expected to cost the world $10.5 trillion annually by 2025

A Trillion-Dollar Crisis

Let’s pause on this number — $10.5 trillion. That’s what cybercrime is projected to cost globally per year by 2025. That makes it more profitable than the global drug trade.

These aren’t just numbers. They represent real businesses losing revenue, jobs, data, and in some cases, their entire operations.

Why is this relevant to digital transformation? Because the faster and more connected the world becomes, the bigger the target we collectively become.

Why This Should Be a Wake-Up Call

Every connected device, cloud platform, and digital workflow expands the opportunities for criminals. And attackers don’t need to be sophisticated — they often use pre-built tools or ransomware-as-a-service kits.

Small businesses, multinational corporations, hospitals, schools — no one is off-limits. And digital transformation puts more of your assets in the line of fire.

The rising cost also includes post-breach responses, legal fees, regulatory fines, and reputational damage — things that can haunt a business for years.

What You Should Do About It

• View cybersecurity as a business strategy, not just IT’s job. Budget for it, plan for it, and report on it just like any other risk.
• Build resilience, not just defense. Prepare to recover quickly. Backups, continuity plans, and crisis communication plans matter.
• Invest in people as well as tools. Training your team reduces human error, one of the biggest causes of breaches.
• Benchmark your security against peers. Are you ahead of the curve — or behind it? Regular third-party assessments help answer that.
• Talk to leadership in business terms. Don’t just say “we need a firewall.” Explain what’s at stake in dollars, customers, and downtime.

Cybercrime is now a global economic threat. And that means cybersecurity is not a side project — it’s a business imperative.

18. 52% of enterprises are accelerating digital initiatives, but only 29% are increasing cybersecurity budgets accordingly

Speeding Up Without Reinforcement

Over half of enterprises are speeding up their digital transformation — but barely a third are increasing their cybersecurity budgets to match. That’s like buying a faster car but refusing to upgrade the brakes.

The result? Fast digital growth with outdated or insufficient security support. It’s one of the biggest disconnects in enterprise strategy today.

Transformation adds complexity. You’re adding users, tools, access points, and data streams. Without added security, you’re expanding risk faster than you’re expanding value.

Why Budgets Don’t Keep Up

Cybersecurity often doesn’t show immediate ROI. You don’t see profits from preventing an attack that didn’t happen. That makes it a harder sell during budget discussions.

Also, some leaders mistakenly believe their existing security is “good enough” — until something breaks.

The truth is: the more digital you go, the more you need layered, modern, and scalable protection.

What You Should Do About It

• Tie security to business outcomes. Instead of saying “we need more budget,” explain how a breach could impact customer trust, delivery timelines, or revenue.
• Create a cost-to-risk map. Show what areas are underfunded and what types of risk they carry.
• Use benchmarks from peers. Show what similar companies are spending on cybersecurity per employee or per app.
• Build a three-year cybersecurity roadmap. Forecast growth and the security investments that should go with it.
• Emphasize the cost of inaction. Use data from real breaches — downtime costs, recovery timelines — to make the case.

Security must scale with transformation. If it doesn’t, you’re building a digital future on shaky ground.

19. 66% of security professionals say remote work has increased security risks significantly

The Shift to Remote Work Brought New Vulnerabilities

When businesses pivoted to remote work, many moved quickly — too quickly, in some cases. And two-thirds of security professionals now agree: remote work has made cybersecurity more difficult.

Employees working from home connect through personal Wi-Fi, use unmanaged devices, and rely heavily on cloud-based apps. This environment removes the traditional perimeter of office-based security, leaving organizations exposed to a wider range of threats.

Add in the blurred lines between personal and professional devices, and you have a perfect storm.

Why Remote Work Changes the Risk Landscape

At home, employees may not have updated antivirus or firewalls. They may reuse weak passwords or fall for phishing scams when no one is around to help them verify suspicious requests.

And with team members logging in from multiple time zones and devices, IT teams have less visibility and control.

Digital transformation has helped make remote work seamless — but without proper security layers, that convenience can come at a steep cost.

What You Should Do About It

• Implement zero trust. Don’t automatically trust users just because they log in. Always verify identity and device health.
• Deploy mobile device management (MDM). This lets you enforce security policies on employee devices.
• Require multi-factor authentication (MFA). This alone blocks most unauthorized access attempts.
• Encrypt all remote connections. Whether through a secure VPN or SSL-enforced cloud apps, ensure data stays safe.
• Offer training focused on home-based threats. Teach employees how to spot phishing, secure their home networks, and protect company data.

Remote work is here to stay. So security has to evolve — not just patch old systems, but rethink the entire approach.

20. Over 50% of breaches are cloud-related due to poor access controls and identity management

It’s Not the Cloud That’s Insecure — It’s How You Manage It

Cloud platforms are secure — when configured and used correctly. But more than half of all breaches are cloud-related, and the top culprits are weak access controls and identity mismanagement.

That means the breach didn’t happen because someone hacked the cloud. It happened because someone got in using legitimate (or stolen) credentials — or because access was granted too broadly.

As organizations rush into digital transformation and migrate everything to the cloud, this problem gets worse.

Why Access and Identity Are So Critical

Think about how many people, apps, and services now access your cloud data: employees, contractors, automated systems, and third-party tools. Without strict controls, it’s easy for someone to gain access to things they shouldn’t.

Some systems are still left with default permissions, and admin rights are given too freely. Identity and access management is not just about convenience — it’s about closing the front door.

What You Should Do About It

• Use role-based access control (RBAC). Assign permissions based on roles, not individuals. Review roles often.
• Enable identity federation. Use a single sign-on (SSO) solution that links user identities across systems securely.
• Audit access regularly. Remove accounts or permissions that are no longer needed.
• Use just-in-time access for sensitive operations. Only allow temporary elevated access when absolutely necessary.
• Monitor login activity. Be on the lookout for unusual patterns — like logins from new locations or devices.

When it comes to cloud security, access is everything. The wrong access for the wrong person is all it takes to open the door to a breach.

21. 92% of executives agree cybersecurity is integral to digital trust, yet only 36% say their organizations excel at it

Trust Is the Currency of the Digital Age

Nearly all executives understand that strong cybersecurity builds trust — with customers, partners, and investors. But only about a third believe their organizations are actually doing it well.

That gap between recognition and execution is dangerous.

In a digital world, trust isn’t just about doing good work. It’s about protecting data, ensuring uptime, and delivering safe digital experiences. If users can’t trust your systems, they won’t use them — no matter how advanced they are.

Why Digital Trust Matters More Than Ever

Consumers are getting smarter. They want to know how their data is stored and used. One breach, and you could lose their loyalty — sometimes permanently.

And in B2B industries, cybersecurity is becoming part of procurement decisions. Companies are asked to prove their defenses before deals are signed.

Digital transformation amplifies this. The more you digitize, the more opportunities you have to gain — or lose — trust.

What You Should Do About It

• Make cybersecurity part of your brand. Show customers that you take it seriously. Share certifications, security updates, and commitments publicly.
• Align security with business outcomes. Don’t treat it as a side function. Bring it into the boardroom.
• Invest in transparency. If an incident happens, communicate clearly. Honesty builds more trust than silence.
• Measure trust indicators. Track uptime, incident response times, and user confidence.
• Close the skill gap. If your organization isn’t strong at cybersecurity, invest in hiring, training, and partnerships.

Digital trust is earned — and once lost, it’s hard to rebuild. Building it starts with treating cybersecurity as a strategic asset, not a technical checkbox.

22. 70% of organizations say legacy systems are a major risk during digital transitions

Old Systems Are a Hidden Threat

As much as digital transformation is about the future, many businesses are still stuck in the past — relying on outdated, legacy systems to power core functions. And 70% of organizations say these old systems are a serious security concern during transformation.

Why? Because legacy systems weren’t built for today’s threats. They often lack encryption, monitoring capabilities, or even basic update mechanisms. Worse, many of them are no longer supported by vendors, meaning no patches — ever.

Why Legacy Systems Create Gaps

When new, modern systems are layered on top of outdated tech, integration becomes tricky. You get “Frankenstein” IT — pieces stitched together that don’t communicate well and don’t share security protocols.

This leads to blind spots. Legacy apps may store sensitive data but lack proper logging or access controls. And when attackers get in through newer systems, they often move laterally into legacy infrastructure because it’s easier to exploit.

What You Should Do About It

• Inventory your legacy systems. Know exactly which platforms and processes are running on old tech and what data they handle.
• Isolate them. If you can’t replace them yet, at least segment them off from the rest of your network.
• Use wrappers. Add modern security layers — like API gateways, proxies, or encryption — to help protect older apps.
• Schedule phased replacements. Start building timelines and budgets to retire old systems gradually.
• Monitor them closely. Just because a system is old doesn’t mean it should be forgotten. Make sure you’re watching it like a hawk.

Legacy systems don’t have to derail your transformation — but ignoring them will. Secure them now, replace them as soon as you can.

23. 63% of businesses lack a fully deployed zero trust architecture

Trust No One — That’s the New Security Model

Zero trust is one of the most powerful security strategies available today. And yet, 63% of businesses still haven’t fully implemented it.

Traditional security models work like a castle with a moat: once you’re inside the network, you’re trusted. Zero trust flips this — it assumes no user, device, or application should be trusted automatically, even if they’re inside the network.

In a world of remote work, cloud applications, and BYOD (bring your own device), that old castle-and-moat model just doesn’t cut it anymore.

Why Zero Trust Matters During Transformation

When your users, apps, and data are everywhere, trust needs to be built per request, per transaction. Without a zero trust framework, attackers who breach one part of your network can move freely.

Zero trust isn’t a single product — it’s a mindset and strategy. It involves authentication, encryption, segmentation, and real-time monitoring across your digital environment.

What You Should Do About It

• Start with identity and access. Require strong authentication and role-based access controls. Verify every login.
• Implement microsegmentation. Break your network into zones so that a breach in one area can’t spread easily.
• Use context-aware access. Make access decisions based on device, location, and behavior — not just a password.
• Encrypt data everywhere. At rest, in motion, and especially between systems.
• Continuously monitor behavior. Just because someone logged in doesn’t mean their behavior is safe. Watch for anomalies.

You don’t need to implement zero trust overnight. But you do need to start. Every layer adds resilience and reduces the impact of a breach.

24. 59% of organizations do not have visibility into all digital assets in transformation projects

You Can’t Protect What You Can’t See

Here’s a troubling reality: nearly 60% of businesses don’t know where all their digital assets are. That includes data, devices, systems, APIs, and cloud resources.

During transformation, companies launch new tools fast — but they don’t always track them. Shadow IT (tools set up without central approval), forgotten test environments, and unmonitored cloud services create blind spots.

And those blind spots are prime targets for attackers.

Why Visibility Is Non-Negotiable

Attackers don’t need your entire network to be weak. They only need one forgotten device, one unpatched server, or one exposed database. And if you don’t know it exists, you won’t secure it.

Poor visibility also leads to compliance issues, wasteful spending, and incident response delays. When something goes wrong, you need to know where to look — immediately.

What You Should Do About It

• Create a real-time asset inventory. Use automated discovery tools to track systems, apps, users, and data.
• Integrate asset management into DevOps. Every time something new is created or launched, it must be registered and tagged.
• Centralize cloud visibility. Use cloud security platforms that give you dashboards across multiple providers and regions.
• Scan for shadow IT. Use network monitoring to find devices or tools that IT didn’t authorize.
• Assign ownership. Every digital asset should have a team or person responsible for its maintenance and security.

Visibility is the foundation of control. If you don’t know what’s in your environment, you’re flying blind — and that’s no way to lead a digital transformation.

25. 67% of cyber incidents are detected by external parties rather than internal systems

If Someone Else Finds It First, It’s Already Too Late

Imagine finding out you’ve been hacked — not because your systems caught it, but because someone else did. Maybe a partner flagged unusual activity. Maybe law enforcement contacted you. Or maybe your customers started receiving spam from your servers.

That’s the reality for 67% of organizations: someone outside their walls spotted the breach before they did.

This stat reveals a hard truth — most businesses don’t have adequate internal monitoring, alerting, or incident detection capabilities. In a digital transformation environment, where data and users are everywhere, that’s a massive liability.

Why Detection Often Fails Internally

Organizations tend to focus heavily on prevention: firewalls, encryption, patching. Those are important, but when prevention fails — and it will at some point — detection becomes your last line of defense.

Without real-time monitoring, behavioral analytics, and alert systems in place, attackers can linger in your systems for weeks or even months without being noticed.

The longer they stay, the more damage they do — and the more it costs you to recover.

What You Should Do About It

• Deploy Security Information and Event Management (SIEM) tools. These platforms collect and analyze logs across your environment to detect suspicious activity.
• Use threat detection systems. Solutions like EDR (Endpoint Detection and Response) or NDR (Network Detection and Response) provide layered visibility.
• Monitor privileged accounts. Admin users are prime targets. Watch their access patterns closely.
• Set up automated alerts. Real-time notifications for unusual logins, data transfers, or changes to key files can give you a critical head start.
• Conduct regular threat hunting. Don’t wait for alerts — proactively look for indicators of compromise.

If someone else is the first to spot your breach, you’re reacting too late. Build detection into your digital foundation — and act the moment something feels off.

26. The average ransomware payout in 2023 was over $850,000

Paying the Price — Literally

Ransomware attackers aren’t asking for lunch money anymore. The average payout in 2023 crossed the $850,000 mark — and that’s just the money paid to criminals.

It doesn’t include downtime, lost customers, legal fees, or reputation damage. In total, many ransomware incidents cost millions. And the worst part? Paying doesn’t guarantee you get your data back.

During digital transformation, your business relies more heavily on data than ever before. That’s exactly why ransomware works — it holds your most valuable asset hostage.

Why Ransomware Works So Well

Attackers often spend time inside your systems before triggering ransomware. They learn your environment, find your backups, and disable them. Then they launch the encryption.

By the time you see the ransom note, recovery is nearly impossible without a decryption key — which you might get if you pay, or you might not.

Digital transformation often introduces new systems that aren’t backed up properly or don’t follow the same security standards. That inconsistency is dangerous.

What You Should Do About It

• Back up your data in multiple locations. Use both cloud and offline backups. Make sure they’re isolated from your main network.
• Test your backups regularly. It’s not enough to have them — you need to be sure they’ll work when it matters.
• Train employees on ransomware tactics. Many attacks start with a simple phishing email.
• Disable macros and scripts in email attachments. These are common delivery methods for ransomware.
• Have an incident response plan. Include ransomware-specific steps: isolation, communication, containment, and legal reporting.

Don’t bank on luck. Don’t assume you’re too small. Prepare like it’s going to happen — because the cost of being wrong is over $850,000.

27. 55% of companies hit by ransomware lose access to critical data permanently

Sometimes, There Is No Recovery

More than half of businesses that suffer a ransomware attack never recover some or all of their data. That’s the kind of loss that can cripple operations, derail client relationships, and in some cases, shut a business down.

It’s not just about encrypted files. Sometimes attackers destroy data even after payment. Other times, recovery tools fail. Or backups weren’t configured correctly. Or data corruption makes restoration impossible.

In the fast-moving world of digital transformation, data is king. Losing it — permanently — can undo years of progress in a single attack.

Why Data Loss Happens After Ransomware

Many companies don’t realize their backups are incomplete until they need them. Others don’t test their recovery process. And some discover too late that their backups were connected to the same network and got encrypted too.

Even when decryption keys are received, they don’t always work perfectly. Files can be damaged, systems fail to boot, or proprietary formats can’t be recovered.

That’s why prevention and planning matter so much.

What You Should Do About It

• Adopt the 3-2-1 backup rule. Keep three copies of your data, on two types of media, with one stored offline or offsite.
• Use immutable backups. These can’t be changed or deleted by ransomware once written.
• Test full restoration monthly. Not just file-level restore, but entire system recovery — so you know it works.
• Limit file access. Fewer users with write access = fewer paths for ransomware to encrypt your data.
• Log everything. In case of an attack, you’ll need clear records of what happened, when, and how.

Data is your most precious digital asset. Treat its protection like a mission-critical business function — because that’s exactly what it is.

28. Only 24% of digital transformation projects undergo formal cybersecurity risk assessments

Skipping Risk Assessment Is Like Building Blindfolded

Only about one in four digital transformation projects include a formal cybersecurity risk assessment. That means the vast majority of initiatives launch without a clear understanding of their weaknesses.

It’s not that teams don’t care. It’s often that they’re rushing to meet deadlines, launch features, or go to market. But without assessing risk early, projects may ship with vulnerabilities built in — and those are always more expensive to fix later.

Risk assessments are your safety net. They let you ask: What could go wrong? What would it cost? And how do we stop it?

Why Most Projects Skip This Step

Cybersecurity is still seen as a technical checklist — not a strategic layer in business projects. Many teams assume their IT department will handle it later, or believe cloud tools are “secure by default.” Neither is safe thinking.

When departments operate in silos, security doesn’t get invited to the planning table. And by the time they’re looped in, the project is already live — or nearly so.

What You Should Do About It

• Make risk assessments a required project step. Before any tool is rolled out or any workflow goes live, document and assess the security impact.
• Assign a security lead to every major project. This person ensures that risks are flagged, communicated, and addressed early.
• Use a risk scoring system. Quantify the potential impact and likelihood of different scenarios — it helps stakeholders prioritize.
• Involve business units. Risk isn’t just a tech problem — finance, HR, and ops should help assess what’s at stake.
• Reassess often. Threats change over time. Your risk model should too.

Risk assessments don’t slow you down — they help you move forward with confidence. Skipping them is like launching a ship without checking for holes.

29. 90% of security professionals report a shortage of skilled cybersecurity staff

The Talent Gap Is Real — And It’s Hurting Defense

Almost all cybersecurity teams are feeling the pressure of a skills shortage. There simply aren’t enough trained professionals to fill the roles needed in today’s digital world.

With digital transformation increasing the complexity of systems, organizations need specialists in cloud security, identity management, threat intelligence, and incident response. But finding and keeping that talent is a growing challenge.

This gap creates delayed responses, overworked teams, misconfigurations, and missed red flags.

Why Talent Shortage Is So Risky During Transformation

Transformation doesn’t pause while you staff up. As new systems go live, someone has to secure them. When teams are stretched too thin, shortcuts happen. Monitoring gets skipped. Audits get delayed. Alerts go unanswered.

And when cyber incidents hit — which they will — having the right people makes all the difference.

What You Should Do About It

• Invest in training. Upskill your existing IT and security staff. Certifications in cloud security or zero trust go a long way.
• Use managed security service providers (MSSPs). If you can’t hire, rent expertise through a trusted provider.
• Automate what you can. AI-based tools can handle some of the detection and alerting burden.
• Partner with universities. Help shape programs, offer internships, and create a pipeline of new talent.
• Cross-train IT teams. Even if they’re not full-time security pros, they should understand the basics of secure architecture.

Cybersecurity isn’t just about tools — it’s about people. Make sure your transformation is backed by a team that knows how to protect it.

30. 65% of data breaches could have been prevented with up-to-date security patches and configurations

The Fix Was Already There — It Just Wasn’t Applied

This is one of the most painful facts in cybersecurity: two-thirds of data breaches could have been prevented with basic steps like applying patches and proper system configurations.

These aren’t advanced threats. They’re simple oversights — missed updates, unused accounts left active, databases exposed by default.

And during digital transformation, these small mistakes multiply. New apps, cloud tools, and environments often launch without standardized security reviews, leaving open doors for attackers.

Why Patching and Configuration Get Overlooked

It’s often a time issue. Teams are focused on building, scaling, and launching. Patching feels like maintenance — and maintenance feels like a luxury in a fast-paced environment.

But speed without discipline leads to risk. All it takes is one missed patch, one open port, or one misconfigured database for a breach to happen.

What You Should Do About It

• Create a patching schedule. Automate it where possible, but always test before going live.
• Standardize configurations. Use templates and infrastructure-as-code to apply secure settings from the start.
• Remove unused services. If something isn’t being used — an old FTP service, test environment, or admin account — shut it down.
• Audit regularly. Use tools that scan for outdated software or insecure settings across your environment.
• Make configuration part of your CI/CD pipeline. Bake security into your deployment process so every build ships hardened.

The solution to many breaches already exists. Your job is to make sure it’s in place before someone finds the gap.

Conclusion

Digital transformation can’t succeed without strong cybersecurity. The stats don’t lie — the risks are real, growing, and often preventable. But only if you act early, act smart, and act consistently.

Here’s the good news: security doesn’t have to slow you down. When baked into your strategy, it helps you move faster — with more trust, more stability, and less disruption.