Cyberattacks Cost Small Businesses, While Prevention Attracts Customers

Rhea-AI Summary

Consolidated Communications (NASDAQ: CNSL) emphasizes the importance of data privacy protections for small businesses, which are significantly prone to data breaches. The Small Business Association states that these businesses are three times more likely to experience cyberattacks, costing an average of $9.44 million in damages as per an IBM study in 2022. Consolidated urges businesses to invest in cybersecurity resources, highlighting that transparency in data protection can enhance customer loyalty and offer a competitive edge. Notably, 79% of U.S. adults are concerned about their data usage, while 82% are willing to act to protect it.

Positive

• Highlighting the need for data privacy can strengthen Consolidated's market position.
• Promoting cybersecurity resources may enhance customer loyalty.
• Emphasizing data protection could provide a competitive edge to small businesses.

Negative

• Small businesses face significant threats from cyberattacks, which may affect their partnership with Consolidated.
• High costs of breaches ($9.44 million) may deter small businesses from engaging with Consolidated's services.

Consolidated Communications urges small businesses to safeguard themselves and their customers with data privacy protections

MATTOON, Ill.--(BUSINESS WIRE)-- Consolidated Communications (NASDAQ: CNSL), a leading broadband and business communications provider, is sharing resources and tips for small businesses to enhance data privacy, as small businesses are proven to be especially vulnerable to costly data breaches.

The Small Business Association reports that small businesses are three times more likely to fall victim to cyberattacks, which an IBM study found to cost U.S. organizations an average of $9.44 million in 2022. Small businesses are more likely victims of attacks, often as a result of a lack of resources and knowledge in regard to prevention measures. While large organizations may have more financial resources, there are ways for all businesses to increase protection over their data.

“Investing time to learn about cybersecurity resources to protect customer information should be a priority for any organization,” said Aaron Reason, senior director of Network Security for Consolidated. “It starts with reviewing what information is being collected, uncovering gaps that may exist, and taking the necessary measures to better data protection.”

“At Consolidated, we work to educate our employees and customers about steps they too can take to protect personal information.”

In addition to cost-saving benefits, businesses can gain an edge on the competition by showing customers how they are protecting data. Pew Research found that 79% of U.S. adults are concerned about how their data is being used. With this in mind, conveying how customer data is being secured can lead to increased customer loyalty. 82% of consumers say they are willing to act to protect data, saying they would spend time and money to protect their information. Contrarily, 76% say they would not buy from a company which they did not trust. This shows that when competing for customers, it is those businesses which prioritize data security and communicate protection measures that have a considerable advantage over those that do not.

For more information and resources on how small businesses and organizations can stay safe online and protect data, visit consolidated.com/StaySafeOnline.

About Consolidated Communications

Consolidated Communications Holdings, Inc. (NASDAQ: CNSL) is dedicated to moving people, businesses and communities forward by delivering the most reliable fiber communications solutions. Consumers, businesses and wireless and wireline carriers depend on Consolidated for a wide range of high-speed internet, data, phone, security, cloud and wholesale carrier solutions. With a network spanning more than 57,500 fiber route miles, Consolidated is a top 10 U.S. fiber provider, turning technology into solutions that are backed by exceptional customer support. Learn more at consolidated.com. Connect with us on social media.

About Data Privacy Week

Data Privacy Week began as Data Privacy Day in the United States and Canada in January 2008 as an extension of the Data Protection Day celebration in Europe. Data Protection Day commemorates the January 28, 1981, signing of Convention 108, the first legally binding international treaty dealing with privacy and data protection. NCA, the nation's leading nonprofit, public-private partnership promoting cybersecurity and privacy education and awareness, leads the effort in North America each year. For more information, visit https://staysafeonline.org/data-privacy-week/.

About the National Cybersecurity Alliance

The National Cybersecurity Alliance is a non-profit organization on a mission to create a more secure, interconnected world. We advocate for the safe use of all technology and educate everyone on how best to protect ourselves, our families, and our organizations from cybercrime. We create strong partnerships between governments and corporations to amplify our message and to foster a greater “digital” good. For more information, please visit https://staysafeonline.org.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230127005392/en/

Nicole Elton, Consolidated Communications

Nicole.Elton@Consolidated.com, 510-316-1430

Kyle Thweatt, Consolidated Communications

kyle.thweatt@consolidated.com, 802-651-0154

Source: Consolidated Communications

FAQ

What is the focus of the recent press release by Consolidated Communications (CNSL)?

The press release emphasizes the importance of data privacy protections for small businesses.

How likely are small businesses to experience cyberattacks according to the Small Business Association?

Small businesses are reported to be three times more likely to fall victim to cyberattacks.

What average cost do data breaches incur for U.S. organizations as mentioned in the press release?

Data breaches cost U.S. organizations an average of $9.44 million in 2022, according to IBM.

What percentage of U.S. adults are concerned about data privacy?

79% of U.S. adults are concerned about how their data is being used.

How can data protection impact customer loyalty for businesses?

Effective data protection can lead to increased customer loyalty as consumers favor businesses that prioritize security.