Rajesh is a Principle Analyst covering Cyber Security, Network Services and Digital Transformation. His work entails engaging with global vendors, service providers and end users, and providing valuable strategic advise on these given markets. His particular interests include next generation converged/digitised eco-systems, encompassing IoT, Blockchain, big data and AI, and the role security plays within that. Rajesh is a seasoned professional with over 28 years experience working in Strategy within the IT and Telecoms sector.
• Cybersecurity providers must differentiate and be relevant by assisting enterprise customers during the recession, with a business outcome led security approach that includes portfolio business cases.
• Commercial deals should include innovative pricing, offering better commercial initiatives and discounts between 10-20%.
The Global Telecom Sector in the Current Economy
A number of telecom operators have reported a decline in B2B revenue of up to 10% compared to the previous year. To add complexity, the majority of providers are simplifying their portfolios, digitalizing their operations and customer interfaces to reduce OpEx and improve customer experiences in a digital enterprise setting. Within this backdrop, recent announcements on the economy going further in the red will create turmoil in the telecom sector in the next two years, and result in companies failing to meet their projected forecasts.
• Telecom operators need to focus upstream on the network by strengthening their ‘know your customer’ (KYC) processes, focusing on incident reduction, and reducing illegal network entry.
• Network heads need to devise innovative measures utilizing fraud analytics on call data and fraud scenarios and implementing third-party tools with automation and machine learning.
The Impact of Telecom Fraud on Operator Revenues In terms of figures, organizations like the Communications Fraud Control Association (CFCA) have estimated total global telecom revenues to be in the $1.8 trillion region in 2021, with telecom revenue loss due to fraud to be estimated at 2.22%, resulting in $39.89 billion losses. With this in mind, telecom fraud is a major issue for telecom operators.
• Security heads continue to be challenged in implementing effective cybersecurity strategies and continue to want positive and measurable business outcomes with their cybersecurity investments.
• To stay relevant and drive growth, providers will have to reposition sales and marketing efforts in front of customers, emphasizing value-based selling addressing business challenges.
The Challenged Chief Information Security Officer (CISO), and Vendors Riding on the Current Cybersecurity Growth Wave It is clear that cybersecurity is high on the agenda for businesses of all sizes ranging from small-to-medium enterprises to multinational corporates and government establishments. In recent years, the public has seen exponential growth in cyberattacks across a range of verticals covering finance, government, and utilities to name a few. On the one hand, this has resulted in healthy revenue growth in the cybersecurity segment, with stock valuations and revenues on the rise alongside advances in technology.
The UK government’s strategic announcement on its public services cybersecurity strategy is a positive, as there is a real need to address cyber threats in the public sector.
For the new cybersecurity strategy to succeed, key departments responsible for implementing the strategy within authorities and the public sector require operational transformation and greater agility.
Threat Level Across UK Public Sector
The UK Cabinet Office and Chancellor of the Duchy of Lancaster Steve Barclay announced on January 25 that the government will launch what it calls the “first ever government cybersecurity strategy” to counter increased cyberattacks on IT systems and associated services within public services. The government’s strategic initiative aims to address the sheer volume of cyberattacks on the UK public sector. Figures taken from the National Cyber Security Centre between September 2020 and August 2021 suggest that approximately 40% of cyberattacks were aimed at the public sector. Some of the authorities believed to have been compromised include the Redcar & Cleveland, Wealden District, Gloucester City, and Hackney Councils. Additionally, it’s believed that councils across the UK reported more than 700 data breaches in 2020 to the Information Commissioner’s Office (ICO). This, in the context of future increased digitization of public services encompassing technologies like Internet of Things and smart cities, could be a future catalyst in the exponential increase of cyberattacks in the public sector at a local and regional level. Continue reading “For the UK Government to Be Successful with Its New Cybersecurity Initiative, the Public Sector Needs to Change”→
Telefónica delivers a strong commitment and makes its cybersecurity solutions and professional services capabilities available through partnerships to assist third-party service providers and capture new revenue streams.
Telefónica’s differentiated value proposition includes empowering third-party service providers with limited security capabilities to deliver bespoke security solutions in less than 12 months.
The Challenged Enterprise in the New Norm
Telefónica (Telefónica Global Solutions), together with GlobalData, delivered a webinar in October 2021 highlighting the impact of cybersecurity attacks on both small and medium-sized enterprises (SMEs) and global corporates. To put this into context: in 2020, businesses made ransomware payments of more than $400 million in cryptocurrency, a 300% increase compared to 2019. However, the average cost to a business in terms of financial impact, downtime, and lost opportunity is far greater, with some enterprises in the private healthcare sector, for example, highlighting post-cyberattack revenue losses in the millions and damage to brand and shareholder value. Continue reading “Telefónica Empowers Service Providers to Deliver Tailored Security Solutions to Enterprises”→
Industry estimates indicate there are around 3 million cybersecurity professionals worldwide and over 60% more are required to address the global needs of businesses and governments.
There are no easy short-term fixes in solving the recruitment problem in the cybersecurity sector. A concentrated effort across a number of entities, including government, industry, and education, will be required.
Exponential Rise in Cyber-Attacks as the Globe Reaches 2020 Year-End
Exponential increases in cybersecurity attacks are nothing new. In fact, if you cast your eyes back to 2017-2019, attacks like malware in mobile increased by over 50%, over 40% of commercially available IoT devices had some form of security breach, and applications like cryptocurrency coin mining quadrupled in cyber-attacks. Cybersecurity spending in countries like the U.S. also increased over $14 billion in 2019. With this in mind, as we approach 2020 year-end, the worry of going into some form of lockdown as a result of increased spikes in COVID-19 puts further fuel on increased cyber-attacks. Just in the past two months, we have seen attacks on organizations like NATO (i.e., phishing) and the International Maritime Organization (IMO), the U.N.’s shipping agency (i.e., a sophisticated cyber-attack that disabled its website and intranet). Continue reading “The Cybersecurity Industry Continues to Struggle with Skill Shortages”→
Palo Alto Networks’ acquisition of The Crypsis Group will enable the company to successfully build and strengthen detection and prevention capability in its Cortex XDR platform and drive market growth.
Palo Alto will acquire a highly experienced team consisting of 150 security consultants with strong capabilities in incident response and risk mitigation.
Palo Alto Networks continues with its investment strategy with the latest acquisition of The Crypsis Group, an incident response, risk management, and digital forensics company, for $265 million. With this acquisition, Palo Alto Networks plans to strengthen its Cortex XDR platform to successfully eliminate and address cyber threats. In particular, Palo Alto will enhance functionality in its Cortex XDR platform in collecting rich security telemetry data, managing breaches, and initiating rapid response actions. The platform already has strong detection and response capabilities that natively integrate network, endpoint, and cloud data to stop sophisticated cyberattacks. It does this by continually identifying evasive threats with increased accuracy and by profiling user and endpoint behavior with analytics capabilities. The Cortex XDR also has strong machine learning (ML) capabilities to analyze data from Palo Alto’s networks as well as third parties to identify highly engineered threats targeting devices and systems. Building further enhancements on its Cortex XDR offering around prediction, prevention, and mitigation of cyberattacks – and at speed – will enable Palo Alto to differentiate in the marketplace as it moves forward with a highly effective detection and response platform that integrates endpoint, network, and cloud data. Continue reading “Palo Alto Networks Completes Acquisition of The Crypsis Group to Strengthen Its Cortex XDR Offering”→
• The majority of network traffic in future digitalized enterprise environments will be outside the enterprise data center.
• Network and security will converge, with central orchestration and policy controls through the ‘as a Service’ delivery model.
The last ten years have seen CIOs proactively prepare their businesses in the modern era by embracing technology. Digitalization continues to make head way as businesses rework their business models and create new services in innovative ways. These include enabling mobile devices to support new services, digitalizing processes, and making use of remote intelligent devices (with data being pushed closer to the edge device) in sectors like manufacturing. In terms of technology maturity, modern digital environments will increase the use of cloud architectures running vendor applications like Salesforce, Zoom, and Office365, enabling big data and artificial intelligence (AI) in centrally configured data centers that now sit outside the enterprise environment. In addition, the growth of any place/any device/any setting, private networks (including 5G), and edge computing, is driving data away from the enterprise data center and closer to the user/device in a distributed manner. Subsequently, from a network and security perspective traditional network and security architectures fall short. Additionally, due to the uptake of cloud applications, the majority of data traffic terminates at public cloud services and branch offices rather than in enterprise private data centers.
• The telecom wholesale market will remain stable in 2020, with declining roaming international revenues, and expansion of FTTx and international backbone infrastructure.
• Wholesale providers with large international foot prints, and providers offering differentiated digitized wholesale solutions will show early success in 2020.
Impact of COVID-19 on the Telecom Provider Market
Overall, telecom providers have experienced pressures on profits as a result of the COVID-19 pandemic. However, unlike other segments the telecom provider market has maintained stability due to strong voice and network connectivity demand, both at a consumer and business level as a result of the lockdown and large percentage of the workforce moving to remote working.