Wednesday, May 18, 2011

Weighing the Risks and Benefits of Broadband for your Business

Risks of broadband? There's a risk to having your office, store, or home connected to high-speed internet? That's what Peter Radizeski tells us in his take on the FCC's recent comments. Citing a Symantec stat [or, propaganda, depending on who you ask] Radizeski reminds readers that "The average cost of each cyber attack to small and medium sized businesses is nearly $200,000." Does this give you pause? Should it? Let's consider.

First, I must admit that it's somewhat refreshing to hear a counter-argument for broadband. With all the dialogue these days, it can be assumed that the need for broadband is a foregone conclusion in business, leaving the only problem left unsolved how to get it. Radizeski reminds us to consider the pro's and con's.

Nonetheless, I'm not inclined to think that this Symantec statistic should deter a business owner from investing in broadband, nor the government form encouraging broadband delivery as a means to economic development. Here's why:

The statistic itself needs to be scrutinized. Is the average cost of a cyber-attack really $200,000? What does that entail? How much of that figure is comprised of conjecture over the lost-time, lost-data, etc. that could all be skewed grossly?
What's the probability of a cyber attack of this scale? Symantec also stated that 74% of small businesses suffer cyber attacks. If that's true, and the $200,000 figure is to be accepted, that would translate to a contention that small businesses spend ON AVERAGE $148,000 against cyber attacks. Is that annually, or over the course of a business' lifetime?
Finally... and most importantly... Is this a false-correlation? Are having broadband-speed internet connection and being subject to cyber attack mutually exclusive? Not at all! If my computer screeches and beeps while a modem dials up at 56k, I run the exact same risk of getting a virus or being hacked.

Ultimately, my conclusion remains that broadband is a phenomenal investment for economic development. Admittedly, I put the FCC's statement that "A recent study found that having a broadband connection makes a $200,000 a year difference in median annual revenues for businesses, by helping them reach new markets and increasing productivity" under less scrutiny than I have Symantec's, but I do find it far more believable and useful. As our nation's economy continues to rebound, we cannot let the fear of success and progress hinder our efforts.

Labels: Broadband, cyber attack, Economy