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As firms adopt AI, the cyberattack risks remain great as ever

“Trust is the new currency of the digital age.” - Marc Benioff, CEO, Salesforce The rising cost of digital vulnerability A recent cyberatt...

“Trust is the new currency of the digital age.” - Marc Benioff, CEO, Salesforce

The rising cost of digital vulnerability

A recent cyberattack on Jaguar Land Rover (JLR) has underscored the urgent need for cyber resilience at the board level. The breach halted production, idled 33,000 employees, and disrupted Tata Motors’ global supply chain, with losses estimated at £2 billion, a stark reminder that digital risks now rival physical threats.

Ignoring cyber risk is a governance failure

Many Indian companies still treat cyber threats as operational issues rather than board-level concerns. Yet such attacks can paralyze factories, disrupt financial systems, and trigger penalties that threaten solvency. For directors, ignoring cyber risk is equivalent to neglecting any other foreseeable fiduciary responsibility.

The expanding regulatory landscape

India’s regulators are tightening cyber governance frameworks. The Reserve Bank and the Securities and Exchange Board of India are enforcing stronger reporting norms, while the Digital Personal Data Protection Act introduces steep penalties for breaches. Companies that fail to demonstrate resilience may face investor activism and valuation discounts.

Insurance and preparedness as essentials

Boards must insist on adequate cyber insurance and incident response plans. Uninsured breaches can destroy brand equity, invite lawsuits, and shake investor confidence. Cyber resilience, much like liquidity or solvency, is now integral to a firm’s survival.

Shifting focus from AI to assurance

While AI adoption promises efficiency, resilience ensures continuity. A company that cannot safeguard its digital backbone cannot claim to be future-ready. Cybersecurity, not AI, defines real digital maturity.

Summary

Cyber resilience has emerged as a fundamental governance responsibility. Indian companies, while chasing AI transformation, must secure their digital infrastructure first. Ignoring cyber risk can cripple operations, erode trust, and undermine investor confidence.

Food for thought

Can an organisation truly be “intelligent” if it cannot protect its own digital core?

AI concept to learn: Cyber resilience

Cyber resilience is an organisation’s ability to anticipate, withstand, recover from, and adapt to cyberattacks or disruptions. It integrates cybersecurity, business continuity, and risk management into a single strategic framework.

AI and cyberattacks

[The Billion Hopes Research Team shares the latest AI updates for learning and awareness. This is not a professional, financial, personal or medical advice. Please consult domain experts before making decisions. Feedback welcome!]

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