The headlines are worrisome and increasingly frequent: Enterprising cyber profiteers hack into a company’s IT system and hold hostage sensitive proprietary information, usually for profit. And the list of targets is getting longer—Target, FedEx, Merck, to name a few—all falling victim due to inadequate or out-of-date safeguards.
Louisiana’s industrial corridor should be particularly concerned, 10/12 Industry Report writes in a cover story for its third quarter issue.
Cyber experts recently issued a dire warning to petrochemical and oil and gas companies that their IT and operational technology systems are increasingly vulnerable to an attack, especially as the industrial sector becomes increasingly digital.
It’s not a question of whether an attack will come, but when. Since May, hackers have targeted nuclear power plants, energy facilities and manufacturing operations in the U.S., according to a joint report from the FBI and Homeland Security. The hackers also reportedly infiltrated a company that makes control systems for equipment used in the energy industry.
“In 2017, the likelihood of a breach [in the oil and gas and industrial marketplace] is unfortunately approaching 100%,” says Eitan Goldstein, senior manager of global cyber strategy and product development at Siemens in Washington, D.C. “There’s an increasing sophistication of bad actors. They’re better financed and have better tools at their disposal.”
And yet, the industrial market remains grossly unprepared. A survey of U.S. oil and gas cybersecurity risk managers indicates that the deployment of cybersecurity measures in the industry isn’t keeping pace with the growth of digitization in oil and gas operations.
“Petrochemical and oil and gas people need to be cognizant of the fact that the malware now being written can target OT systems in the energy sector,” says Jeff Moulton, director of the LSU Transformational Technology and Cyber Research Center. “These malware attacks are specifically targeting industrial control systems, and that could be catastrophic. That could cause regional catastrophes.”
Read the full story, and check out the third quarter issue of 10/12 Industry Report below. Be sure to sign up for a free subscription of the quarterly publication. Send your feedback, story ideas and company news to editor@1012industryreport.com.
