Cybersecurity & Asia

Each week, Weber Shandwick’s APAC Intelligence Bulletin shares the key developments shaping business sectors and markets throughout the Asia Pacific region.

• In the wake of the widespread digitalisation of the pandemic, markets and businesses in Asia have been confronting cyberattacks of escalating severity and frequency throughout the region
• With the impacts of cybercrime growing more tangible and widespread, stakeholders are adopting major strategies to foster greater security on several fronts
• One of the biggest obstacles for the region is a lack of trained cybersecurity professionals, which is significantly increasing cyberattack risks throughout Asia
• However, the greatest challenge may be scope; cybercrime encompassing such a range of criminal behaviour as to require multiple diverse solutions of almost unprecedented complexity

Authorities in Malaysia estimate cybercrime has increased by 50% in the last two years. A leading cybersecurity multinational reports that Southeast Asia is currently subject to approximately 260,000 remote access desktop cyberattacks per day. In India, a thinktank has been formed to try and secure the country’s powergrids against attack.

Beyond cyberspace

While cybercrime has been a growing concern in Asia (and worldwide) since 2020, recent events have represented a substantial shift in the scope of losses associated with the trend. In one of the most tragic examples, it’s estimated 300 Indian citizens are currently being held against their will in criminal-controlled Myanmar territory after being lured and captured with fraudulent job postings.

Sadly, such campaigns are not unusual. Cambodian authorities recently rescued over 400 workers of varying nationalities (including Malaysian) from cybercrime compounds where, after falling prey to fraud and kidnapping, they were forced to assist in commiting additional cyberattacks. The rescue was the result of a series of raids throughout Cambodia; more trafficked workers were discovered at other compounds.

Beyond fundamental impacts on human lives, financial costs have also risen higher. Experts estimate that a recent data breach at a Singapore-owned Australian mobile provider could ultimately cost the company a quarter of its net worth. A recent global report from a leading technology multinational found the average cost of a single data breach in 2022 has grown to US$4.35 million.

Taking action

Accordingly, stakeholders are implementing a wide array of initiatives to combat cybercrime and build greater infrastructure resilience. India and Australia have substantially boosted law enforcement recruitment and training around cybersecurity. The Australian intelligence service reports having 700 recruits in training and India’s Deputy Chief Minister has asked police to fast-track 20,000 recruits.

Multiple markets are hoping to bolster cybersecurity through international partnership. China and Malaysia, Singapore and Vietnam, and member states of the Quadrilateral Security Dialogue (India, Japan, Australia, United States of America) have all newly affirmed commitments to joint cybersecurity alliances. In the private sector, global firms have made substantial investments in cybersecurity firms in Singapore and India.

The talent question

One of the major obstacles facing the region is a lack of trained cybersecurity experts. It’s estimated that Malaysia will need 20,000 cybersecurity experts by 2025. In Thailand, a recent survey found 91% of businesses struggled to recruit and retain cybersecurity professionals. An industry survey of Southeast Asian firms attributed 71% of recent data breaches to the region’s cybersecurity skills gap.

Governments and businesses are attempting to support cybersecurity knowledge sharing in the region. The Australian government’s chief scientific body has launched a free ten-week course to help small-to-medium businesses develop new cybersecurity solutions. Singapore’s Cybersecurity Agency has launched an Internet Hygiene hub to help businesses assess and manage their digital vulnerabilities.

Many problems, many solutions

However, the greatest challenge facing stakeholders in Asia may be the diversity of cybercrime activity. The governments of China, Japan, and India, for example, have all expressed concern over cyberattacks from foreign governments. Meanwhile, Australian farmers are facing substantial losses due to fraudulent farm equipment and supply sales websites. In Indonesia, a dozen politicians have been targeted with spyware.

Understandably, governments and businesses are struggling to develop solutions that address the wide scope of victims and methodologies. Australia, India, and Indonesia’s governments have all faced criticism for proposing cybersecurity requirements that small businesses may be unable to meet. A global survey of cybersecurity professionals found 62% felt they were struggling to keep up with the pace of cyberattacks.

Further reading 

Vaccination in Asia Pacific
Public Health & APAC
Pharmaceuticals in APAC

This briefing was prepared by Weber Shandwick’s Insight & Intelligence team in Singapore.

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