Data privacy faces budget cuts despite being a customer favorite>
CSO Online – Shweta Sharma
The data privacy landscape in 2023 reflected a compelling narrative of trust as organizations strategically sought to align with privacy laws and regulations.
Independent surveys by Cisco and ISACA indicated a surge in demand for privacy roles despite anticipated budget cuts.
Notably, the majority of respondents expressed a strong correlation between data privacy and customer trust, with 94% of Cisco participants affirming that customers would not engage with them if their data protection measures were inadequate.
This sentiment was echoed by 80% of respondents asserting that global privacy legislation positively impacted their businesses, with 95% highlighting that privacy benefits outweighed compliance costs, illustrating a 1\)6x average return on privacy investments.
However, the privacy sector encountered challenges, particularly in areas such as transparency, AI readiness, and budget constraints.
Concerns about the application and implications of AI emerged, with 62% of consumers expressing apprehension, leading to a decline in trust over AI practices.
Respondents also emphasized the need for greater transparency in handling customer data for AI purposes.
Additionally, the use of generative AI (GenAI) raised specific apprehensions, including the potential risks to legal and intellectual property rights and the authenticity of data generated by these tools.
Moreover, despite the critical role of privacy, 63% of ISACA respondents highlighted fears of diminishing privacy budgets in the upcoming year, signifying a growing concern about underfunding.
The reduction in privacy investment was viewed as surprising and indicative of both economic apprehensions and overreliance on AI-based tools.
In summary, the surveys highlight an evolving landscape characterized by a growing appreciation for the importance of data privacy and the increasing complexities and challenges related to the use of AI technologies in privacy practices.
Link: https://www.csoonline.com/article/1298532/data-privacy-faces-budget-cuts-despite-being-customer-favorite.html