Study: Global cybercrime costs $114 billion per year

MOUNTAIN VIEW, CALIFORNIA (BNO NEWS) — Around $114 billion dollars in losses are attributed to global cybercrime on an annual basis, according to a new report released by Symantec’s Norton on Wednesday.

The Norton Cybercrime Report 2011 also noted that these incidents also cost victims valuable time due to their cybercrime experiences. Considering the value of the time lost, the survey indicated that an additional $274 billion was lost.

With 431 million adult victims globally in the past year and at an annual price of $388 billion globally based on financial losses and time lost, cybercrime costs the world significantly more than the illegal market in marijuana, cocaine and heroin combined, which is calculated at $288 billion.

According to the report, 69 percent, that is, more than two thirds of online adults have been a victim of cybercrime in their lifetime. In addition, every second, 14 adults become a victim of cybercrime, resulting in more than one million cybercrime victims every day.

With smartphones and online navigations becoming more frequent through mobil phones, the report also revealed that 10 percent of adults have experienced cybercrime through these devices, with four of every five males, aged between 18 and 31, having experienced such crimes.

In addition to threats on mobile devices, increased social networking and a lack of protection are likely to be some of the main culprits behind the growing number of cybercrime victims.

The most common – and also most preventable – type of cybercrime is computer viruses and malware (54 percent). Viruses are followed by online scams (11 percent) and phishing messages (10 percent).

Despite 74 percent of respondents saying they are always aware of cybercrime, several of them do not take any precautions, such as having adequate security software in their systems.

In addition, 47 percent review credit card statements regularly for fraud, and 61 percent do not use complex passwords or change them regularly. Among those who access the Internet via their mobile phone, only 16 percent install new mobile security.

The survey was conducted between February 6 and March 14, interviewing 19,636 people, including 12,704 adults, aged 18 and over, 4,553 children aged 8-17 years, and 2,379 grade 1-11 teachers from 24 countries.