Cybersecurity for startups is one of the top tech trends to look out for in 2024 as online threats multiply in Southeast Asia. The region’s embrace of digital transformation policies has opened access to the citizenry for nefarious individuals looking to steal data, identities, and money on the internet. Worse still, others plan to destroy businesses and prevent or slow daily operations.

According to the Palo Alto State of Cybersecurity in ASEAN (Association of Southeast Asian Nations) Study 2022, 92% of the businesses surveyed believed online security should be the primary priority for leaders. The research covered finance, retail, telecommunications, and government/public sector industries in Malaysia, Singapore, Thailand, Indonesia, and the Philippines.

The evolution and importance of identity verification in cybersecurity

Over two-thirds of the respondents planned to increase their digital safety budgets, optimise operations, and tackle existing gaps.

Here are five emerging cybersecurity threats for companies in Southeast Asia to deal with: 

Ransomware attacks

One of the most widespread cyber attacks is the use of ransomware. It involves a criminal finding vulnerabilities in a victim’s device, encrypting the data, and demanding payment to unlock it. They can gain access by sending the target malicious links via email and taking over the device once someone clicks the link. 

By encrypting or locking critical business data, the cybercriminal forces the target to incur significant financial losses to pay for a decryption key. The employees will be unproductive as they need access to their work info. Furthermore, when a company falls victim, it must deal with trust concerns and reputational damage from losing customer details.

Phishing and social engineering scams

Anyone using email or social media has encountered phishing scams. These are online tactics used to get individuals to share sensitive information like passwords or install malicious software (malware) on their devices. Cybercriminals also use social engineering techniques—psychologically manipulating and deceiving people—to gain access. 

They:

  • spend time gathering background info on their targets, 
  • use those details to start a conversation,
  • convince the victim to take actions that endanger their organisation unknowingly

Once criminals breach the network, they can steal data and identities, obtain financial details, destroy company information, or install ransomware and ask for payment.

Business email compromise

A business email compromise involves a spoofing attack—successfully adopting a false identity as an employee to convince C-suite staff to divulge vital company data. Criminals can convince senior officials via email to transfer funds or provide access to the business network.

Moreover, other spoofing attacks include faking a website domain and getting users to input their personal information when signing in. Another tactic involves hackers intercepting data instead of allowing it to reach the intended recipient.

Supply chain attack

Since large organisations have more robust security systems, cybercriminals look for vulnerabilities elsewhere. Some areas to exploit would be the third-party vendors, suppliers, and partners, which may lack high protection levels, making them an easy target for hackers.

If a partner offers software that is part of the supply chain, cybercriminals can introduce malicious code into the app, giving them access to the users.

Cyberattack on Internet of Things (IoT) devices

Finally, the development of the Internet of Things (IoT)—interconnected devices exchanging data and performing certain functions—has created a new vulnerability for hackers to exploit. Too many appliances are often connected at any given moment, sharing information in real-time. 

Some problems with IoT include a need for more privacy, inadequate data encryption, possible identity theft, weak user account authentication, and more.

With 5G technology reaching ASEAN, IoT devices will be able to connect faster and seamlessly. However, criminals can also access this technology more quickly to steal user data.

Essential steps for ensuring digital security 

Integrating cyber security for startups is essential across all aspects of the business, especially for remote workers. IT security experts must ensure that online safety tools are always up-to-date to patch vulnerabilities. Plus, departments must collaborate to provide comprehensive protection for the workforce and their devices.

Every company partner must use updated, state-of-the-art cybersecurity solutions to protect shared data. They must also have a corporate plan for dealing with cyber criminals and steps to take if an attack is successful. The strategy should also include the periodic backing up of data to prevent total loss. 

Alternatively, they could use blockchain technology to protect data and records, but it is paramount to offset the possible carbon emissions produced every time.

With companies collecting people’s data at a high rate, cybersecurity threats have become an inherent evil for companies. Technology is advancing at a fast rate, and bosses must test their systems often to ensure they are ready to guard against an unexpected attack. 

Furthermore, governments should provide more support and funding to ensure emerging startups can cope with the risks developing due to digital transformation if they wish for their economies to grow.