"A Multi-Party Data Breach Creates 26x the Financial Damage of Single-Party Breach"
New research by Cyentia Institute and RiskRecon explores how a multi-party data breach affects many organizations. The study delved into 897 multi-party breaches that involved three or more interrelated companies. According to the study, 897 multi-party breach incidents, also called ripple events, have been observed since 2008. The data set showed that 108 ripple events occurred in the last three years. A medium ripple event is said to cause 10 times more the financial damage of a single-party breach. The worst multi-party breaches cause 26 times the financial damage of the worst single-party breach. The increasingly interconnected digital world has led to an increasing number of security exposures that cause a ripple effect across multiple organizations. For example, the breach of a technology service provider could expose the records of hundreds of businesses. This article continues to discuss the study on the impact of multi-party data breaches.