U.S. Department of Justice Office of Justice Programs Bureau of Justice Statistics ------------------------------------------------------------- Cybercrime against Businesses, 2005 September 2008, NCJ 221943 ------------------------------------------------------------- This file is text only without graphics and many of the tables. A Zip archive of the tables in this report in spreadsheet format (.csv) and the full report including tables and graphics in .pdf format are available from: http://www.ojp.usdoj.gov/bjs/abstract/cb05.htm This report is one in a series. More recent editions may be available. To view a list of all in the series go to http://www.ojp.usdoj.gov/bjs/pubalp2.htm#cyber ------------------------------------------------------------- By Ramona R. Rantala BJS Statistician ------------------------------------------------------------- Among 7,818 businesses that responded to the National Computer Security Survey, 67% detected at least one cybercrime in 2005 (table 1). Nearly 60% detected one or more types of cyber attack, 11% detected cyber theft, and 24% of the businesses detected other computer security incidents. Respondents, representing 36 economic industries, said they detected more than 22 million incidents of cybercrime in 2005. The vast majority of cybercrimes (20 million incidents) were other computer security incidents, primarily spyware, adware, phishing, and spoofing. There were nearly 1.5 million computer virus infections and 126,000 cyber fraud incidents. The effects of these crimes were measured in terms of monetary loss and system downtime. Ninety-one percent of the businesses providing information sustained one or both types of loss. The monetary loss for these businesses totaled $867 million in 2005. Cyber theft accounted for more than half of the loss ($450 million). Cyber attacks cost businesses $314 million. System downtime caused by cyber attacks and other computer security incidents totaled 323,900 hours. Computer viruses accounted for 193,000 hours and other computer security incidents resulted in more than 100,000 hours of system downtime. Of the businesses responding to the survey, telecommunications businesses (82% of these businesses), computer system design businesses (79%), and manufacturers of durable goods (75%) had the highest prevalence of cybercrime in 2005. Utilities, computer system design businesses, manufacturers of durable goods, and internet service providers detected the highest number of incidents, with a total of more than 10.5 million incidents. Administrative support, finance, and food service businesses incurred the highest monetary loss with a combined total of $325 million, more than a third of the total for all businesses. Forestry, fishing, and hunting (44% of businesses) and agriculture (51%) had the lowest prevalence of cybercrime in 2005. Agriculture, rental services, and business and technical schools incurred the least monetary loss ($3 million). Insiders (i.e., employees, contractors, or vendors working for the business) were responsible for the cyber thefts against nearly 75% of businesses victimized by cyber theft. Conversely, more than 70% of businesses victimized by cyber attacks or other computer security incidents said the suspected offenders were outsiders (i.e., hackers, competitors, and other non-employees). Overall, few businesses that detected an incident (15%) reported cybercrimes to official law enforcement agencies. More than 50% of victimized businesses reported cyber thefts to police, while cyber attacks and other computer security incidents were reported to authorities by 6% and 12% of victimized businesses, respectively. The National Computer Security Survey provides the nation's first large-scale measure of cybercrime The President's National Strategy to Secure Cyberspace directs the Department of Justice to develop better data about the nature and prevalence of cybercrime and electronic intrusions.***1The National Strategy to Secure Cyberspace, February 2003;Recommendation A/R 2-1***. Other data collections address cybercrime, but no large-scale (or nationally representative) survey collects sufficient information to accurately measure cybercrime and its consequences or to develop risk factors. The National Computer Security Survey (NCSS) was developed by the U.S. Department of Justice (DOJ), Office of Justice Programs, Bureau of Justice Statistics in partnership with the U.S. Department of Homeland Security, National Cyber Security Division. The DOJ Computer Crime and Intellectual Property Section and the Computer Intrusion Section of the Federal Bureau of Investigation Cyber Division and the U.S. Secret Service also collaborated on the project. The survey was also supported by a wide variety of trade associations and industry groups. (A complete list is available online at .) The NCSS documents the nature, prevalence, and impact of cyber intrusions against businesses in the United States. This report examines three general types of cybercrime: * Cyber attacks are crimes in which the computer system is the target. Cyber attacks consist of computer viruses (including worms and Trojan horses), denial of service attacks, and electronic vandalism or sabotage. * Cyber theft comprises crimes in which a computer is used to steal money or other things of value. Cyber theft includes embezzlement, fraud, theft of intellectual property, and theft of personal or financial data. * Other computer security incidents encompass spyware, adware, hacking, phishing, spoofing, pinging, port scanning, and theft of other information, regardless of whether the breach was successful or damage or losses were sustained as a result. More than 8,000 businesses participated in the survey The National Computer Security Survey sample was a stratified, random sample of businesses designed to produce national and industry-level estimates. The sample was stratified by industry, risk level, and size of business. Thirty-six industries, as defined by the North American Industrial Classification System (NAICS), were within the scope of the survey. (See appendix table 1 for a complete list and definitions of industries, Methodology for a detailed description of the sample design, and page 11 for a glossary.) To produce national and industry-level estimates a sample of nearly 36,000 businesses was selected (table 2). Responses were received from more than 8,000 businesses, giving an overall response rate of 23%. Response rates varied by business size, with larger businesses responding at a higher rate. Response rates also varied by industry. Response rates were highest for utility businesses (37%). Telecommunications (16%) had one of the lowest response rates. (See appendix table 2 for response rates for all industries). Though response rates were not sufficient to support national or industry-level estimates, they were the highest of any survey of this kind. Computer virus infections were the most prevalent cybercrime among businesses in 2005 Of the 8,000 respondent businesses representing 36 economic industries, more than 7,800 used some type of computer system. Two-thirds of the businesses that used computers detected at least one computer security incident (5,081 businesses) in 2005 (table 3). Nearly three-fifths detected one or more types of cyber attack. A tenth detected a cyber theft. A quarter of the businesses detected other computer security incidents, such as spyware or phishing. Computer virus infection was the most prevalent type of cyber attack, detected by 52% of responding businesses. Nearly 90% of respondents reported that they were able to stop a virus before it caused an infection (not shown in a table). Of those businesses able to intercept viruses, 40% said they were successful in preventing all virus infections. Cyber fraud was the most common type of cyber theft, having been detected by 5% of the businesses responding to the survey (table 3). Of the businesses detecting theft of intellectual property, 70% indicated at least one incident involving the theft of trade secrets (table 4). For victims of theft of personal or financial data, names and dates of birth were taken from 60% of businesses. More than 75% of the businesses detecting other computer security incidents indicated that some type of malware (primarily adware) was installed, and 58% of victims discovered spyware or keystroke logging applications. Slightly more than 50% of the businesses detecting other computer security incidents were victims of corporate identity theft in the form of phishing or spoofing. Prevalence of cybercrime varied by industry and risk level. In 2005, telecommunications businesses (82% of these businesses), computer system design businesses (79%), and manufacturers of durable goods (75%) had the highest prevalence of cybercrime (appendix table 3.) These three industries also showed the highest prevalence of cyber attacks. Finance (33% of businesses) and Internet service providers (21%) had the highest proportion of businesses detecting cyber theft. About a third of responding telecommunications businesses, manufacturers of durable goods, and architecture and engineering businesses detected other computer security incidents. Forestry, fishing, and hunting (44% of businesses) and agriculture (51%) had the lowest prevalence of cybercrime in 2005. Forestry, fishing, and hunting also had the lowest proportion of businesses detecting cyber theft (3%), followed by warehousing (4%) and social services (5%). 86% of victimized businesses detected multiple incidents The majority of victimized businesses (86%) detected multiple incidents, with half of these (43%) detecting 10 or more incidents during the year (table 5). However, the percentage of businesses detecting multiple incidents varied by type of incident. For victims of computer viruses, denial of service attacks, fraud, and other computer security incidents, the majority of victims detected multiple incidents. Conversely, fewer than half of the victims of vandalism or sabotage, embezzlement, theft of intellectual property, or theft of personal or financial data detected multiple incidents. 91% of businesses detecting cybercrime incurred losses The effects of cybercrime were measured in terms of monetary loss and system downtime. During testing of the survey instrument, many businesses indicated that they had no reliable way to estimate the costs associated with system downtime. The businesses cited various reasons for difficulty in estimating the cost: employees were able to work offline, customers could return after systems were restored, and there was no method for measuring lost sales. For these reasons, the NCSS asked only for duration of downtime rather than a dollar loss equivalent. Ninety-one percent of the businesses that detected incidents and answered questions on loss sustained one or both types of loss. Forty-one percent of businesses sustained both monetary loss and system downtime. Type of loss Percent of businesses* ------------------------------------------------------------------------------ No loss 9 % Any loss 91 % Monetary loss only 38 Downtime only 12 Both 41 ------------------------------------------------------------------------------ *Based on 4,083 businesses answering at least one question on monetary loss or downtime. Of the 3,591 businesses that detected incidents and responded to monetary loss questions, 3,247 (90%) incurred monetary loss from the computer security incidents (table 6). The amount of monetary loss depended on the type of incident. Approximately 68% of the victims of cyber theft sustained monetary loss of $10,000 or more. By comparison, 34% of the businesses detecting cyber attacks and 31% of businesses detecting other computer security incidents lost more than $10,000. The other computer security incidents category had the highest proportion of businesses experiencing some form of cybercrime but incurring no monetary loss (20%). There was no downtime for a tenth of the businesses detecting cyber attacks or other computer security incidents (table 7). System downtime lasted between 1 and 24 hours for half of the businesses and more than 24 hours for a third of businesses detecting these types of incidents. The duration of system downtime varied by type of incident. Denial of service attacks noticeably affected the computer systems of 92% of victims. By comparison, incidents of vandalism or sabotage shut systems down for 73% of businesses, and other computer security incidents caused system downtime for 68% of victimized businesses. Cybercrime resulted in monetary loss of $867 million among businesses responding to the survey Nearly 4,500 businesses provided information on 22 million cybercrime incidents in 2005 (table 8). The 3,247 businesses that incurred monetary loss from cybercrime lost a total of $867 million. About 2,000 businesses said their business networks, PCs, or web sites (or combinations of the three) were down for a total of 324,000 hours. Cyber attacks accounted for nearly 1.6 million incidents, more than $300 million in loss, and 220,000 hours of system downtime. Computer viruses accounted for about 90% each of: cyber attack incidents (1.5 million incidents), monetary loss ($281 million), and system downtime (193,000 hours). Cyber theft accounted for less than 1% of all incidents but more than 50% of the total monetary loss ($450 million). Theft of intellectual property had the fewest number of incidents (607), and the greatest amount of monetary loss of all types of cyber theft (nearly $160 million). Embezzlement also cost businesses nearly $160 million. System downtime data were not collected for cyber theft. Although 24% of businesses detected other computer security incidents, these other incidents accounted for 92% of the total number of incidents, or 20 million incidents. Other computer security incidents accounted for 12% of all monetary loss ($103 million) and 32% of system downtime (104,000 hours). Two-thirds of computer security incidents were targeted against critical infrastructure businesses The number of incidents varied by risk level and industry. Ninety-five percent of victimized scientific research and development businesses detected multiple incidents (appendix table 4). By comparison, fewer than 80% of victimized businesses operating in management of companies; forestry, fishing, and hunting; or other services detected more than one incident. Critical infrastructure businesses detected 13 million incidents (nearly two-thirds of the total). High risk industries detected more than 4 million incidents (a fifth of the total). Risk level Number of incidents ---------------------------------------------------------------------- All businesses 22,138,250 Critical infrastructure 13,039,900 High risk 4,133,800 Moderate risk 1,979,400 Low risk 2,985,100 ------------------------------------------------------------------------ Utilities, computer system design businesses, durable goods manufacturers, and internet service providers detected the most incidents. Businesses in these four industries detected more than 10.5 million incidents in 2005 (not shown in a table). Forestry, fishing, and hunting; food service; and rental service businesses detected the lowest number of incidents. Combined, these 3 industries detected fewer than 10,000 incidents. Computer system design businesses (98%) incurred monetary loss more frequently than any other industry (appendix table 5). In 2005 computer security incidents resulted in losses of $10,000 or greater for more than half of the finance businesses, manufacturers of durable goods, insurance businesses, and mining businesses. Critical infrastructure ($288 million) and low-risk businesses ($298 million) sustained the greatest monetary loss from cybercrime in 2005. Risk level Monetary loss (in thousands) ---------------------------------------------------- All businesses $866,600 Critical infrastructure $287,600 High risk 205,100 Moderate risk 76,100 Low risk 297,800 ------------------------------------------------------- Specifically, administrative support, finance, and food service businesses incurred the greatest monetary loss with a combined total of $325 million, more than a third of the total for all businesses (not shown in a table). Agriculture businesses, rental services, and business and technical schools incurred the least monetary loss with a combined loss of $3 million. More than half of the manufacturers of durable goods (56%) sustained system downtime of 25 hours or longer (appendix table 6). By comparison, more than a third of legal services and accounting businesses had a total of 1 to 4 hours of system downtime. Critical infrastructure industries suffered 152,200 hours of system downtime (nearly half of the total). Health care businesses reported the greatest duration of system downtime (34,800 hours). Accounting; forestry, fishing, and hunting; and warehousing had the least downtime--a total of 2,500 hours, with fewer than 1,000 hours each. Insiders were involved in cyber theft for 74% of businesses in 2005 A third of the victimized businesses indicated that they were unable to determine what affiliation any computer security offenders had with the business (table 9). The type of incident for which businesses had the least information about the offender was denial of service (50% of businesses). Conversely, some offender information was known by the majority of victims of theft of intellectual property, (94% of businesses) and embezzlement (93%). In 2005 someone from outside the business, such as a hacker or competitor, was responsible for at least one computer security incident against 71% of the businesses that were able to make a determination about the suspected offender (table 10). For cyber attacks and other computer security incidents, nearly 75% of businesses said the suspected offender was an outsider. By comparison, the majority of businesses detecting cyber theft reported that the suspected offender was an insider (employee, contractor, or vendor working for the business). For embezzelment, more than 90% of businesses said the suspected offender was an insider, which is to be expected due to the nature of the crime. For thefts of intellectual property, nearly 85% of businesses said an insider was involved. Motion picture and sound recording businesses (87% of victimized businesses) had the highest percentage of outside offenders (see appendix table 7). By comparison, arts and entertainment businesses had the lowest (55%). Retail (54%), finance (50%), and utility businesses (50%) showed the highest percentage of inside offenders. Petroleum businesses (24%), architecture and engineering businesses (25), and business and technical schools (26%) had the lowest. Computer system design businesses had the second highest prevalence of outside offenders (84% of victimized businesses) and one of the lowest prevalence rates of inside offenders (29%). Most businesses did not report cyber attacks to law enforcement authorities When a computer security incident was detected, businesses responded in a variety of ways. The majority of businesses (87%) reported the incident to some person or organization (table 11). Eighty percent of responding businesses reported incidents to someone within their business. Fifteen percent of respondents reported incidents to another organization, such as their computer security contractor or internet service provider. Fifteen percent of victimized businesses reported incidents to law enforcement. Law enforcement includes federal, state and local law enforcement agencies, and official organizations affiliated with law enforcement such as InfraGard (an organization that works with the Federal Bureau of Investigation) and CERT CC (an organization that works with the Department of Homeland Security). Reporting of incidents to law enforcement authorities varied by the type of incident. The majority of businesses reported embezzlement (72%), fraud (63%), and theft of personal or financial data (60%). Few businesses reported theft of intellectual property (27%), any type of cyber attack (6%), or other computer security incidents (12%) to law enforcement officials. Among businesses not reporting incidents to law enforcement authorities, the majority (86%) indicated that incidents were reported elsewhere (within the business or to an organization such as their security contractor) rather than to law enforcement (table 12). Half of the businesses responded that they thought there was nothing to be gained by reporting an incident to law enforcement. Other businesses said they did not think to report the incident (22%), did not know who to contact (11%), or thought the incident was outside the jurisdiction of law enforcement authorities (7%). Few businesses (3%) indicated that their decision not to report an incident to law enforcement was based on the possibility of negative publicity or decreased confidence in the business. Three-fifths of the businesses detecting cyber attacks reported that the Internet was involved One critical aspect of computer security is determining which networks were accessed in an incident. (Accessed networks include networks that were breached, used to get into another part of the computer system, or affected by the incident--for instance, networks vandalized or on which malware was surreptitiously installed.) NCSS data identify which systems tended to be targeted. Nearly 1,600 businesses that detected incidents also provided information on the systems the business used and which ones were accessed during an incident. A majority of the businesses detected at least one incident involving the Internet and/or a local area network (LAN) (table 13). The Internet was the most prevalent vehicle or target of cyber attacks (64% of businesses), while cyber thieves tended to access a business's LAN (57% of businesses). For victims of other computer security incidents, half of the businesses reported the Internet, half reported their LAN, and more than a quarter said their wide area network (WAN) was accessed. Other networks were accessed to a lesser extent. Intranet or Extranet connections were accessed during computer breaches for 17% of respondents, stand-alone workstations (15%), other networks such as virtual private networks (12%) and wireless connections (8%) were also accessed (not shown in a table). Another critical aspect of computer security is determining whether laptops not owned by the business posed more of a security threat than business-owned laptops. Nearly a third of the businesses said a business-owned laptop was involved in at least one computer security incident. Business-owned laptops were cited less frequently as having been used in cyber attacks (10% of businesses) or cyber thefts (20%) than in other computer security incidents (38%). In comparison, 8% of the businesses reported non-business laptops were used in a cyber attack, 7% in a cyber theft, and 16% in an other computer security incident (not shown in a table). Of the 4,000 businesses detecting a virus infection, 51% provided information on how viruses were introduced into their computer systems. E-mail attachments were the most commonly cited vehicle (77% of businesses) for introducing computer virus infections (table 14). Small businesses (83%) were somewhat more vulnerable to virus-laden e-mails than large businesses (72%). Conversely, large businesses (37%) were more vulnerable to portable media such as CDs or thumb drives as a source of virus infections, compared to small businesses (14%). This difference might be explained by a greater tendency of larger businesses to use portable media. Internet downloads were the second most prevalent source of computer virus infections. Sixty-one percent of businesses detected virus infections from Internet downloads. This percent did not vary by business size. Insufficient anti-virus software was the most prevalent vulnerability Overall, 62% of the businesses using anti-virus software said the software was inadequate in preventing incidents (table 15). Nearly half of the businesses using anti-spyware or anti-adware said the software did not prevent an incident. Internal controls (31% of businesses), e-mail logs and filters (27%), and firewalls (26%) were also commonly cited as insufficient. Security insufficiencies differed depending on the type of incident. The most prevalent security deficiencies were anti-virus software for cyber attacks (66% of businesses), misuse of authorized access for cyber theft (46%), and anti-spyware and anti-adware for other computer security incidents (62%). Other security measures appeared to be more successful in preventing incidents. Biometrics (5% of businesses), digital certificates (5%), password generators (6%), and encryption (7%) were least frequently cited as the mechanisms that were inadequate to prevent incidents (not shown in a table). Businesses that outsourced all or part of their computer security had a greater prevalence of incidents Businesses that outsourced all or part of their computer security had a higher prevalence of cybercrime compared to businesses that performed all security in-house. Sixty-four percent of businesses that outsourced at least one security measure detected one or more cyber attacks in 2005 (table 16). By comparison, 55% of businesses that kept all security functions in-house detected a cyber attack that same year. The security measure that showed the greatest difference in prevalence of attacks between outsourcing and in-house was physical security. Businesses that outsourced physical security had the highest prevalence of cyber attacks (73%), compared to businesses that managed their own physical security (60%). Several security measures showed little or no difference between the businesses that outsourced computer security and those that kept it in-house. These include business continuity plans and formal audit standards. Two security measures showed a slightly lower prevalence of cyber attacks when outsourced: network watch centers and configuration management. Methodology Sample design The National Computer Security Survey sample was a stratified, random sample of businesses designed to produce national and industry-level estimates. The sample was stratified by industry, risk level, and size of business. Thirty-six industries, as determined by the North American Industrial Classification System (NAICS), were within the scope of the survey. (See appendix table 1 for a complete list and definition of industries.) Risk level comprised four groups: critical infrastructure, high risk, moderate risk, and low risk. Critical infrastructure consisted of businesses operating in the industries with which the Department of Homeland Security formed Information Sharing and Analysis Centers (ISACs). Each of the remaining businesses was designated as high, moderate, or low risk depending on its industry of operation's risk of incidents, loss, and downtime. Business size was determined by the number of employees and was divided into nine size categories. The sampling frame, Dunn and Bradstreet, contained records for nearly 7.3 million in-scope businesses. Businesses without employees on their payroll such as family owned and operated businesses--were out of scope. Sampling was done at the enterprise level, except in cases of businesses with large subsidiaries operating in different economic sectors. To preserve the ability to provide industry-level findings, these businesses were sampled at the highest level of subsidiary with distinct lines of business. A sample of 35,596 businesses was drawn to produce national and industry-level estimates and to track changes of more than 2.5% over time. (See appendix table 2 for a summary of the sample by risk level and industry.) Businesses with more than 5,000 employees and Fortune 500 businesses were drawn with certainty to ensure the representation of all industries. Because some industries typically do not have large businesses, the largest 50 businesses were also included with certainty. Due to the particular importance of the nation's critical infrastructure, businesses in these strata were over-sampled. High risk industries such as manufacturing, retail, and wholesale were also over-sampled. Tables Denominators reflect the number of businesses that responded to the questions relevant to a given table. For example, in table 5 the denominator represents the number of businesses that responded to questions on networks used by the business, whether computer security incidents were detected, and networks that were affected in those incidents (if any). Unless otherwise noted, missing items or responses of "don't know" have been omitted. Totals and medians are based on positive responses and exclude zeroes. Incident percentages are based on 7,636 businesses that had a computer and responded to at least 1 incident question; 7,626 businesses responded to at least 1 question on cyber attacks, 7,561 to at least 1 question on cyber theft, and 7,492 to at least 1 question on other computer security incidents. For theft of intellectual property, 29% of 198 businesses provided multiple types; for personal or financial data, 60% of 235 businesses specified more than 1 type; and for other computer security incidents, 59% of 1,762 businesses identified multiple types. Missing and excluded data Of the 8,079 businesses providing information on whether or not they had computer systems, 14 businesses reported contradictory information. Because the responses from these 14 businesses could not be reconciled, they were excluded from all analyses. Each table underwent a detailed disclosure analysis to ensure the confidentiality of responses given by individual businesses. As a result, some responses were excluded from totals and medians. Table 8 and appendix table 6 were affected. Six responses were excluded from the number of computer security incidents; six responses were excluded from monetary loss; and three responses were excluded from system downtime. The disclosure analysis also resulted in the suppression of values for some cells in table 10, appendix table 6, and appendix table 7. Definitions of computer security incidents Computer virus--a hidden fragment of computer code which propagates by inserting itself into or modifying other programs. Includes viruses, worms, and Trojan horses. Excludes spyware, adware, and other malware. Denial of service--the disruption, degradation, or exhaustion of an Internet connection or e-mail service that results in an interruption of the normal flow of information. Denial of service is usually caused by ping attacks, port scanning probes, or excessive amounts of incoming data. Electronic vandalism or sabotage--the deliberate or malicious damage, defacement, destruction or other alteration of electronic files, data, web pages, or programs. Embezzlement--the unlawful misappropriation of money or other things of value, by the person to whom the property was entrusted (typically an employee), for his or her own purpose. Includes instances in which a computer was used to wrongfully transfer, counterfeit, forge or gain access to money, property, financial documents, insurance policies, deeds, use of rental cars, or various services by the person to whom they were entrusted. Fraud--the intentional misrepresentation of information or identity to deceive others, the unlawful use of a credit or debit card or ATM, or the use of electronic means to transmit deceptive information, in order to obtain money or other things of value. Fraud may be committed by someone inside or outside the business. Includes instances in which a computer was used to defraud the business of money, property, financial documents, insurance policies, deeds, use of rental cars, or various services by forgery, misrepresented identity, credit card or wire fraud. Excludes incidents of embezzlement. Theft of intellectual property--the illegal obtaining of copyrighted or patented material, trade secrets, or trademarks (including designs, plans, blueprints, codes, computer programs, software, formulas, recipes, graphics) usually by electronic copying. Excludes theft of personal or financial data such as credit card or social security numbers, names and dates of birth, financial account information, or any other type of information. Theft of personal or financial data--the illegal obtaining of information that potentially allows someone to use or create accounts under another name (individual, business, or some other entity). Personal information includes names, dates of birth, social security numbers, or other personal information. Financial information includes credit, debit, or ATM card account or PIN numbers. Excludes theft of intellectual property such as copyrights, patents, trade secrets, and trademarks. Excludes theft of any other type of information. Other computer security incidents--Incidents that do not fit within the definitions of the specific types of cyber attacks and cyber theft. Encompasses spyware, adware, hacking, phishing, spoofing, pinging, port scanning, sniffing, and theft of other information, regardless of whether damage or losses were sustained as a result. Definitions of other terms Business--a company, service or membership organization consisting of one or more establishments under common ownership or control. For this survey, major subsidiaries were treated as separate businesses. CERT C.C--an organization that works with the U.S. Computer Emergency Readiness Team (CERT) and the private sector. CERT C.C. studies computer and network security in order to provide incident response services to victims of attacks, publish alerts concerning vulnerabilities and threats, and offer information to help improve computer and network security. DHS National Cyber Security Division (NCSD)--works cooperatively with public, private, and international entities to secure cyberspace and America's cyber assets. Its strategic objectives are to build and maintain an effective national cyberspace response system and to implement a cyber-risk management program for protection of critical infrastructure. DOJ Computer Crime and Intellectual Property Section (CCIPS)--is responsible for implementing the Department's national strategies in combating computer and intellectual property crimes worldwide. The Computer Crime Initiative is a comprehensive program designed to combat electronic penetrations, data thefts, and cyber attacks on critical information systems. FBI Cyber Division, Computer Intrusion Section--addresses computer intrusions, which often have international facets and national economic implications. The Cyber Division as a whole simultaneously supports FBI priorities across program lines, assisting counterterrorism, counterintelligence and other criminal investigations when aggressive technological investigative assistance is required. Information Sharing and Analysis Centers (ISACs)--organizations that work with the U.S. Government, law enforcement agencies, technology providers, and security associations such as U.S. CERT. ISACs maintain secure databases, analytic tools and information gathering and distribution facilities designed to allow authorized individuals to submit reports about information security threats, vulnerabilities, incidents and solutions. InfraGard--an information sharing and analysis effort serving the interests and combining the knowledge base of a wide range of members. At its most basic level, InfraGard is a partnership between the Federal Bureau of Investigation and the private sector. Subsidiary--a company in which another business has more than 50% ownership or the power to direct or cause the direction of management and policies. U.S. CERT--The United States Computer Emergency Readiness Team is a partnership between the Department of Homeland Security and the public and private sectors. Established in 2003 to protect the nation's Internet infrastructure, U.S. CERT coordinates defense against and responses to cyber attacks across the nation. United States Secret Service (USSS)--Originally founded to suppress the counterfeiting of U.S. currency, the USSS now investigates many financial crimes. The USSS has established working partnerships in both the law enforcement and business communities to address such cybercrime issues as protecting the critical infrastructure, Internet intrusions, and associated fraud. These partnerships include the Electronic Crimes Task Forces and the Cyber Investigative Section. The Bureau of Justice Statistics is the statistical agency of the U.S. Department of Justice. Jeffrey L. Sedgwick is director. This Special Report was written by Ramona R. Rantala, BJS Statistician. Mark Motivans verified the statistical information. Elizabeth Billheimer and Bethany Allen assisted with verification. Ramona R. Rantala was project manager for the National Computer Security Survey. RAND Corporation staff, under a cooperative agreement and in collaboration with BJS, designed the sample, updated the questionnaire, and collected the data: Lois M. Davis, Principal Investigator; Daniela Golinelli, Statistician; Robin Beckman, Research Programmer; Sarah Cotton, Survey Director; Robert Anderson, Co-Principal Investigator; Anil Bamezai, Policy Researcher; Christopher Corey, Survey Technical Support Manager; Megan Zander-Cotugno, Survey Coordinator; and John Adams, Senior Statistician. Joseph Garrett, Senior Vice President, and Julie Young, Research Director of Marketing Research, Inc., designed and monitored the web-based data collection instrument. Catherine Bird and Tina L. Dorsey edited and produced the report. Jayne E. Robinson prepared the report for final printing. September 2008, NCJ 221943 ------------------------------------------------------------------------------ ----- This report in portable document format and in ASCII and its related statistical data and tables are available at the BJS World Wide Web Internet site: ------------------------------------------------------------------------------ --------- Office of Justice Programs Innovation Partnerships Safer Neighborhoods http://www.ojp.usdoj.gov ------------------------------------------------------------------------- 12/11/2008/ TLD