In today’s digital world, data is the most critical enterprise asset. Data is required to run software, drive business intelligence, and deliver new functionality. Consequently, companies have tried to hoard as much data as possible. In fact, data has become known as “the new oil,” among many. This sentiment, however, is misleading. Data is not the new oil; it is the new uranium. While data is used for a variety of initiatives, it needs to be managed carefully. A cybersecurity risk is equivalent to a nuclear fallout, which can lead to a meltdown or result in extraordinary costs to contain the damage. Given the increase in enforcement from regulators for europe rcs data various data privacy laws, it’s critical for organizations to exercise more caution in their handling of data.
The Importance of Handling Data with Care
It’s not so much that organizations look at data as being limitless. Instead, it’s a matter of companies wanting to stockpile data and monetize it in as many ways as possible to maximize the organization’s financial benefit from it.
This can lead to too much data storage within a single source and creates situations where data frequently changes hands, resulting in more unwanted usage. Or, companies sometimes hoard too much data and venture into the business of selling it. These circumstances can lead to large-scale data breaches and data thefts. For example, Capital One experienced a data breach in 2023 that saw “troves of sensitive financial information leaked,” impacting more than 494,000 individuals. In 2022, Facebook owner Meta ultimately paid $725 million to settle legal action linked to political consultancy Cambridge Analytica’s use of millions of Facebook users’ data.