2017 Technology Industry Risks
Technology companies reported greater concerns about cyber-related risks, the ability to protect their IP and broad economic uncertainty than businesses overall.
Cyber, computer and technology risks top the list of business concerns for technology companies again this year (63%). Other concerns include their ability to protect their intellectual property, a risk factor core to their business that concerns 55% of technology companies, compared with 31% of businesses overall.
Only a quarter of technology companies report buying separate cyber coverage, with 44% reporting a belief that they are covered by other insurance policies. One in five (21%) report not needing cyber coverage because of other preventive measures they take. Only 23% of technology companies report having created a cyber/data breach incident response plan.
Supply chain concerns include getting materials from suppliers, getting product to customers or end users, and global instability affecting their ability to get goods or services from abroad.
Looking to the future, technology companies envision the changing workforce, empowered consumers and social media as the three biggest emerging threats over the next three to five years. More than half (57%) report concern over retaining experienced/skilled employees in a competitive labor market. The cost and time involved in training new workers also concerns technology companies.