Nearly 60% of manufacturers say cyber incidents can cause losses exceeding $1 millionLast updated: August 11, 2026 | 20:022 MIN READAs factories become more connected and dependent on digital systems, cyberattacks are increasingly becoming a direct business risk for manufacturers, with disruptions capable of stopping production for hours and causing losses of more than $1 million.A new report by Kaspersky and VDC Strategy found that 60% of industrial companies expect to become fully digital within the next two years, compared with just 9% that describe themselves as fully digital today.Get updated faster and for FREE: Download the Gulf News app now - simply click here.The report, titled “Cyber Resilience, Built for Manufacturing”, highlights how the rapid move towards digitalisation is changing both factory operations and the risks manufacturers face.Why are factories going digital?
According to the report, 24% of manufacturers said improving production volumes or operational efficiency was the main reason behind their digital transformation.Another 15% cited reducing operating or production costs, while 14% pointed to creating new strategic opportunities. Around 13% said improving cyber resilience was a key driver.Factories are increasingly connecting production equipment with digital systems such as Manufacturing Execution Systems (MES), Supervisory Control and Data Acquisition (SCADA) systems, sensors and automated equipment.While these technologies can improve efficiency, they also mean that a cyber incident can move beyond computers and directly affect factory operations.Cyber incidents can cost over $1 million
