What Are The Security Risks Posed By Companies Who Do Not Admit When They Have Been Hacked?

Back in the day, a hacker would search out a company on the Internet and try to cause a little bit of mischief on said company’s server.

Most of the time it was some kind of cyber prank or maybe even a political protest.

Whatever it was, the issue would be resolved and the problem would never be heard from again.

This was the beginning of most company’s policies of keeping cyber attacks private.

should you keep quiet if youve been hacked?

Then later on hackers found out that they could make money instead of making mischief.

What was once innocent pranks would turn into major security breaches that would affect the customers of that company as well.

Once these types of attack began, that was the end of the public taking computer crimes lightly.

Welcome To The Republic Of Hack

These days these kind of attacks still happen but now the attackers are organized groups of hackers, some even sponsored by world governments.

Even though these attacks have gotten more advanced and more brazen, the companies that are being attacked still tend to have the same policy of not admitting when their security has been compromised.

When a hacker is able to get past the several million dollar security system that a private corporation set up, then it is looked at as an embarrassment.

It is an embarrassment not only to the person that is in charge of security but to the company as a whole.

This is for good reason.

Reputation Is Everything

If a company has a reputation of being victimized be cyber attackers then customers feel that their money or private data is not well protected.

Even though a company may think that they have a good reason not to report to their customers that they have been attacked, it is actually bad corporate policy.

Being dishonest is only the beginning of why it is not a good ideal.

If a person trusts a company with private information and the company knows that they may have issues with their web site security, then the company can be held liable.

Once enough customers have been affected by this lack of security then there is sure to be a class action lawsuit that will be coming soon.

Even if a company wins the lawsuit, their image in the public eye will be severely tarnished.

The best way a company can deal with an attack on their infrastructure is to admit the problem to their customers.

This gives the customer a chance to make a decision on whether to keep using their services or not.

If a company’s service is excellent they will consider giving them another chance.

About Lee Munson

Lee's non-technical background allows him to write about internet security in a clear way that is understandable to both IT professionals and people just like you who need simple answers to your security questions.


  1. […] lie. Come clean and apologise or lose your customers' trustWhile some companies might say that not admitting that they were hacked is not lying, it really is. They look at it as omitting certain parts of the story. While that […]

  2. […] Most of the time a business will be quiet about this type of information because they do not want their customers to know that there is a problem with their security systems. […]

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