In early November, VTech Holdings, became one of the latest victims of a large-scale data loss, after a hacker stole client data. There was an especially troubling component to this loss. However, as the data stolen included information on customer’s children.
VTech Holdings offers connected educational toys, along with business and personal phones. The educational toys are able to connect to the company’s Learning Lodge, where new programs can be downloaded. The theft of data was tied to the Learning Lodge’s users, and included email accounts, IP addresses, and mailing addresses of parents, along with the age and gender of children associated with the account.
A security breach of any sort, and especially one involving children, can lead to dire consequences for a firm. VTech discovered its theft of data 10 days after it was stolen, and immediately announced the breach. Not surprisingly, shortly after, the company’s stock, which had already been in decline, as much of the Asian market has fallen recently, took an even steeper fall.
Recently, the average total cost of a data breach rose to $3.5M USD, according to the Ponemon Institute’s 2014 Cost of Breach Study. The report also found that a strong security program not only substantially reduced the likelihood of a breach, but also the cost, if one occurred. Chief among considerations in a security program is the insider threat, as losses of this nature are among the most damaging, both in actual cost and image.
Asia Pacific is especially susceptible to insider breaches. In most regions, insider threat ranks sixth among security events. However, in the Asia Pacific, losses from insider threats ranks as number two. As such, firms in this region need to be especially attuned to and vigilant against the insider threat.
Insider Threat Intelligent is the solution. With this technology, employee behavior is monitored for unusual access of apps and data. Both internal staff and contractors can be analyzed and managed using the Insider Threat Solution, providing insight and access control necessary for a strong, proactive defense against the insider threat.
VTech’s recent loss will certainly not be the last. Don’t let your firm’s loss be the next. The Asia Pacific leader in Insider Threat Intelligent Solutions, Apvera, can help.