Cyber security has become a pressing concern for many states across the US, and Alabama is no exception. With an ever-evolving landscape of cyber threats, the state faces significant risks that can have detrimental effects on its economic well-being, but how serious are these risks?

A recent article published early in November from VPNPro.com aimed to reveal which states have lost the most money per-victim due to online scams over the last year – with Alabama shoppers named ranked largest victims. Their claim for this ranking stems from Alabama’s #1 rank when it comes to “amount lost per victim,” with $50,670 lost per victim from 4,893 cases. This was substantially higher than New York at #2 with $30,945 lost per victim in 25,000 cases.

These numbers seem astounding and worrying, especially for Huntsville citizens heading into one of the busiest online shopping times of the year. According to CNN.com, more than $200 billion was spent last year on online transactions during the holiday season alone, and this year’s numbers do not indicate this trend will stop any time soon. So, do Huntsville shoppers have a reason to be worried about cyber security and financial loss?

The Huntsville Business Journal reached out to various experts in the field in order to determine what this really means.

In a recent interview, Karen Williams, a cyber security engineer and owner of Cyber Brews in Huntsville, shed light on the data used in the report and the factors contributing to Alabama’s vulnerability along with the need for greater awareness and action to protect against cyber dangers.

Williams argued that the alarming message sent by such incomplete reports only serves to benefit those who profit from heightened cyber security concerns. VPNPro is certainly one who does benefit as the website does make money from the sale of VPN and Antivirus software via affiliate links throughout the website.

She noted that without considering variables like population density and economic value, these rankings paint an overly simplistic and distorted picture of cybercrime vulnerability. Williams also stressed the need for a more comprehensive and transparent approach towards representing cybercrime statistics to ensure accuracy and fairness.

For example, the report fails to mention that the government and manufacturing sectors made up the vast majority of the victims in the state when it talks about how commonplace “phishing” is and how “shoppers will need to be careful when shopping online this Black Friday.”

Despite the flaws in the ranking system, Williams made it clear that Alabama does face significant cyber threats. Business email hacking and phishing attacks are particularly pervasive, posing a considerable risk to the state’s economy. Smaller businesses within the supply chain are especially vulnerable to these attacks, which can have far-reaching consequences.

Targeting Key Industries: Manufacturing, Finance, and Government

Williams also highlighted the heightened risk of cyber attacks targeting key industries in Alabama, such as manufacturing, finance, and government. She emphasized that no organization is safe from cyber threats, regardless of their size or level of sophistication.

The interconnectedness of these industries makes them attractive targets for cybercriminals, who seek to exploit vulnerabilities and gain unauthorized access to sensitive information and systems.

Education and Awareness: Addressing Vulnerabilities in Tech-savvy Age Groups

Contrary to popular belief, Williams debunked the assumption that elderly individuals are more vulnerable to cyber threats. Instead, she emphasized the need for increased education and awareness within tech-savvy age groups, particularly those aged 30-39. This demographic often exhibits overconfidence in their ability to protect against cyber threats, making them susceptible to social engineering tactics and other sophisticated attacks.

CEO of PhishFirewall, Joshua Crumbaugh, who is an Ethical Hacker and Social Engineering expert, echoed this sentiment.

“The thing that stood out to me about this report is that Alabamians aged between 30 and 39 years old lost $187.4 million dollars,” he explained. “This means that most of them are young professionals, likely small business owners taking the majority of the hit. This tells me that we need to do a better job as a state educating people about the dangers of cyber attacks and the different tactics the bad guys use to trick people. Typically we see the oldest and youngest groups being the most at risk, but in this case we see this group representing over 75% of the total losses. We need to start training people about security awareness in grade school and we need to do more to help small business owners get ahead of cyber threats.”

Investment Fraud: Mitigating Risks and Making Informed Decisions

Another area of concern raised by Williams is investment fraud. She urged individuals to approach investment opportunities with caution, recognizing the volatile nature of markets and the potential for cyber attacks to disrupt financial systems. Informed decision-making and proactive risk management are crucial in mitigating the potential impacts of such attacks and safeguarding personal and business investments.

In conclusion, both Williams and Crumbaugh called for continuous education and action to foster a secure cyber ecosystem within Alabama.

The state must recognize the significant threat posed by cyber attacks and take the necessary steps to protect against them. This includes investing in robust cyber security measures, promoting awareness and education among individuals and organizations, and prioritizing proactive risk management. Failure to do so could have damaging implications for the overall economic health of the state.

However, conversations with professionals, like Williams and Crumbaugh, illustrate how statistics do not always paint the full picture.