Disruption in business is inevitable. The most successful organisations today adapt to system stressors and bounce back quickly because they invest in a solid foundation of digital resilience. And yet, unplanned downtime continues to test that resilience and, in many cases, exacts a significant toll.
The true financial impact and nature of downtime are hard to pin down. Researchers often focus only on downtime caused by traditional IT issues, overlooking incidents brought on by cybersecurity failures, while also leaving secondary economic ramifications out of the equation. We weren’t satisfied with an incomplete picture.
In partnership with Oxford Economics, a global research institute, Splunk quantified the total cost of downtime for the Global 2000 to be $400 billion annually. These companies lose $200 million on average each year because their digital environments fail unexpectedly.
It turns out, there is also much more beneath the surface. We uncovered considerable hidden costs — like billion dollar impacts to market cap — that may deal an even larger economic blow to companies. The data also confirmed what we’ve long suspected: Cybersecurity and infrastructure or application issues are both sources of downtime.
The Hidden Costs of Downtime, a first-of-its-kind report that examines the direct and historically overlooked costs of unplanned downtime, reveals its most common causes, and uncovers how the most resilient organisations predict and prevent its repercussions.
The findings are clear: The financial impact of downtime should have every board and every technology leader making digital resilience a priority. It’s imperative that executives understand the effects of downtime on their organisations and take the necessary steps toward resilience across their entire digital footprint.
Disruption in business is inevitable. The most successful organisations today adapt to system stressors and bounce back quickly because they invest in a solid foundation of digital resilience. And yet, unplanned downtime continues to test that resilience and, in many cases, exacts a significant toll.
The true financial impact and nature of downtime are hard to pin down. Researchers often focus only on downtime caused by traditional IT issues, overlooking incidents brought on by cybersecurity failures, while also leaving secondary economic ramifications out of the equation. We weren’t satisfied with an incomplete picture.
In partnership with Oxford Economics, a global research institute, Splunk quantified the total cost of downtime for the Global 2000 to be $400 billion annually. These companies lose $200 million on average each year because their digital environments fail unexpectedly.
It turns out, there is also much more beneath the surface. We uncovered considerable hidden costs — like billion dollar impacts to market cap — that may deal an even larger economic blow to companies. The data also confirmed what we’ve long suspected: Cybersecurity and infrastructure or application issues are both sources of downtime.
The Hidden Costs of Downtime, a first-of-its-kind report that examines the direct and historically overlooked costs of unplanned downtime, reveals its most common causes, and uncovers how the most resilient organisations predict and prevent its repercussions.
The findings are clear: The financial impact of downtime should have every board and every technology leader making digital resilience a priority. It’s imperative that executives understand the effects of downtime on their organisations and take the necessary steps toward resilience across their entire digital footprint.
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