In the Philippines, there were almost 1.19 million data breach occurrences in 2022, which is a considerable decrease from the record-high amount of incidents reported in 2020. The number of data breach events in the nation has increased due to increased digital adaptability. With novel technologies being developed each day, it becomes more vital for businesses to be keen against data breaches in the Philippines.
What is Data Breach in the Philippines?
When hackers take the contents of a company’s database without the owner or administrator’s consent, this is referred to as a data breach. Incidents involving data occur frequently across all industries and business sizes. Data corruption or theft might result in permanent injury and financial hardship.
What is the Difference Between a Cyberattack and a Data Breach in the Philippines?
Although “cyberattack” and “data breach” are sometimes used synonymously, not all cyberattacks are data breaches, and vice versa. Only security lapses that jeopardize the privacy of information are considered data breaches. Any technological occurrence where unauthorized parties obtain sensitive or private information—such as Social Security numbers, credit card numbers, or proprietary knowledge is referred to as a data breach.
Why does Data Breach Occur?
The majority of these unlawful attacks are driven by money. In order to take money from actual individuals and businesses, perpetrators may obtain bank account details, card information, and other banking information.
Through the underground internet, cybercriminals might also sell compromised credentials or sensitive data to other online criminals, who might then use it for additional illicit activities.
Common Types of Data Breaches in the Philippines
- Ransomware and Destructive Crimes: In this case, records are either being destroyed or being held ransom.
- Malicious Attacks: Weak passwords, third-party software flaws, and cloud malfunctions or holes can all lead to this. Usually, data that has been hacked or disclosed is the target of these attacks, which hackers resell on the dark web.
Challenges in Philippine Cybersecurity
The Philippines has one of the largest levels of online usage in Asia, and its citizens have been using it for social media and other recreational sites. Filipino internet users have also embraced digital methods of payment and eCommerce purchases in the past few years, especially during the peak of the worldwide pandemic, for both needed and non-critical requirements.
Threats to Philippine Cybersecurity
The majority of services are now more digitally based, which increases the possibility of falling prey to cyber threats like phishing, online fraud, data theft, and malware on mobile devices. These kinds of occurrences were particularly common among users who didn’t practice good cyber hygiene or who didn’t know how to safeguard their personal data when making purchases online.
Overview of the Cybersecurity Market in the Philippines
In contrast to other nations, the Philippines’ cybersecurity sector is still small despite the country’s elevated danger of online threats. Specifically, the Philippines’ cybersecurity industry ranked 12th out of 14 nations in the Asia-Pacific region and was expected to reach approximately 344 million U.S. dollars by 2028, according to Statista.
Usual Targets of Data Breach in the Philippines
While an unintentional error may result in a data breach, genuine harm may occur if an unauthorized individual takes and sells personally identifiable information (PII) or company intellectual property in order to profit financially or hurt others.
Cybercriminals typically adhere to a fundamental pattern: organizing a breach requires advance forethought. They investigate their targets to identify any weak points, like outdated or non-functioning software and staff members’ vulnerability to phishing scams.
Third-party Access
Independent companies may be the pathway via which attackers get access to your IT infrastructure.
Card Fraud
Every time a card is swiped, card skimmers that are attached to petrol stations or ATMs capture data.
Weak Credentials
Hackers can gain access to your computer system if they know your login and password combinations.
Stolen Credentials
Phishing-related security breaches are a serious problem since they allow hackers to obtain confidential data, which they can then use to gain access to websites and financial accounts, among various other activities.
Damages of Data Breach in the Philippines
Government Organizations
Foreign parties may be exposed to extremely sensitive information due to compromised data. Information about crucial national infrastructure, political deals, and combat activities can all be extremely dangerous for a country and its people.
Individual Consumers
A serious risk to victims of data breaches is identity theft. Anything from social security numbers to financial details might be discovered through breaches of privacy. Once a criminal obtains this information, they can use your identity to commit any kind of crime. Identity theft may be very challenging to stop, damage your credit, and put you in legal hot water.
Businesses
The reputation and financial health of a business can be severely damaged by a data breach.
Phases of Data Breach in the Philippines
Phase 1: Phishing Attack
An email purporting to be a crucial communication from a reliable source is delivered to the target in the first phase of the assault. Infected links in these emails point to phony websites intended to steal login credentials from networks.
Phase 2: Account Compromisation
In the second step, the other party carries out the planned action of the hacking attack. This could entail opening an unsafe file that gives hackers unauthorized access to the victim’s machine or opening an address that takes users to an internet page that steals information.
Phase 3: Lateral Movement
Additional system locations are then entered using recently stolen credentials until they’re prepared for use determined by these insights. At this point, cybercriminals are also looking for highly sensitive information to compromise in order to gain entry to extremely private data repositories.
Phase 4: Privilege Escalation
Hackers are able to enter higher-risk system areas that are restricted to privileged accounts once they have located and compromised privileged access.
Phase 5: Data Exfiltration
Hackers use trojan malware to create hidden attack links to their computer systems, also called management and control servers, once they have found critical information assets. From there, they can start secretly transmitting confidential information off of the victim’s system.
Costs of Data Breach in the Philippines
- Credit tracking, card replacement, and identity theft recovery: A company may frequently be required to cover the expense of releasing debit and credit cards to clients whose confidential data was stolen.
- Forensic Investigations: The financial companies and acquirers need to enlist the help of a forensic investigator, considering their own policies and requirements.
- Notification Costs: Creating client contact lists, mail and email protocols for communication, postage charges, consultancy fees, and other expenses are all included in this.
Mitigating and Preventing Data Breaches in the Philippines
Monitoring Financial Accounts
Use the highest-quality fraud prevention services to effortlessly or manually check your finances and account activity.
Monitor Credit
You can personally manage your finances at your banking institution or use smart monitoring of credit technology.
Antivirus Software
Malware and viruses are detected by anti-virus applications by analyzing the equipment you use for unusual actions that might contribute to the theft of information.
Credentials Hygiene
All of your web-based accounts ought to include an identification code that is substantial, difficult, and distinctive.
Software Updates
When you neglect to upgrade software promptly as improvements become obtainable, your system becomes subject to compromises.
VPNs
This improves your online security by protecting your internet connections and IP addresses, making it more difficult for hackers to access any of your internet usage.
The phenomenon is now a widespread issue that corporations launch marketing efforts to persuade customers that it is safe to conduct business digitally. However, restoring public trust after it has been lost might take years. Buyers may feel more comfortable purchasing from you if they notice that your organization is doing everything possible to safeguard against cyber theft.
Data breaches in the Philippines may be expensive and may leave a long-lasting mark on your business’s image. If you work strategically and supervise your team correctly, you have the best possibility of eliminating many data breaches – and preparing for an improved response if one occurs.
