What is Industry 4.0?
And how did it make manufacturing the most targeted sector for Cyber Crime in 2024?
Industry 4.0—also called the Fourth Industrial Revolution or 4IR—refers to the integration of digital technologies into manufacturing and industrial processes to enhance the efficiency and productivity of the sector.
Key technologies include the Internet of Things (IoT), artificial intelligence (AI), big data analytics, cloud computing, and robotics. These technologies enable smart manufacturing, and intelligent factories, among other advancements.
However, they also make manufacturing the most targeted sector for Cyber attacks in 2024 – with the trend expected to continue into 2025
Why Is Manufacturing such a High Value Target?
Manufacturing's prominence as a target in 2024 can be attributed to several factors:
- Critical Economic Role: Manufacturing is vital to the global economy, and disruptions can have widespread impacts on many areas of industry, particularly things like pharmaceuticals.
- Complex Digital Environments: The sector's adoption of Industry 4.0 technologies, including IoT devices and cloud-based platforms, has expanded its digital footprint, introducing new attack surfaces and the challenge of securing them.
- Low Tolerance for Downtime: Manufacturers often have low tolerance for downtime, making them susceptible to ransomware attacks that demand high ransoms to restore operations.
Outlook for 2025
Given the manufacturing sector's critical role in the global economy and its evolving digital landscape, it remains a prime target for cyberattacks. The trend of increased targeting is expected to persist into 2025, necessitating enhanced cybersecurity measures to mitigate potential risks.
- Increased Cybercrime Activity: A 15% annual increase in global cybercrime is projected, with many new players in the RaaS space, and the introduction of Data Exfiltration Extortion (DXF). Manufacturing is predicted to remain a top target for these groups.
- Exploitation of Vulnerabilities: Cybercriminals are increasingly exploiting vulnerabilities in manufacturing infrastructure, user behaviour, and digital supply chains, with over 3,500 critical vulnerabilities identified in 2024.
- Emerging Threats: The rise of AI-driven attacks and the convergence of IT and OT systems are introducing new risks, making manufacturers more susceptible to cyber threats.
So How Do Manufacturing Organisations Protect Their Networks?
Manufacturers should take a “defence-in-depth” approach to cybersecurity measures, meaning a layered approach to security – including OT and IoT infrastructure.
Here's a breakdown of some key actions they should take:
1. Segment IT and OT Networks
- Why it matters: Manufacturing environments often blend Operational Technology (OT) with Information Technology (IT). OT systems (like SCADA, PLCs) weren't designed with cybersecurity in mind.
- Action: Use network segmentation (e.g., firewalls, VLANs, DMZs) to isolate critical OT systems from IT networks and the internet.
2. Implement Zero Trust Architecture
- Why it matters:Trust no one—inside or outside the network—without verification.
- Action: Enforce identity verification, limit lateral movement, and apply least-privilege access policies.
3. Patch and Update Systems Regularly
- Why it matters: Unpatched software is one of the biggest vulnerabilities exploited in manufacturing attacks.
- Action: Create a formal patch management process for both IT and OT environments. For legacy OT systems that can't be patched, use compensating controls like virtual patching or intrusion prevention systems.
4. Train Employees
- Why it matters: Phishing and social engineering attacks remain leading threats.
- Action: Run regular cybersecurity awareness training and phishing simulations for all staff, especially those on the factory floor and in supply chain roles.
5. Monitor and Detect Threats in Real-Time Using a Threat Detection and response solution
- Why it matters: Early detection and remediation or response, can stop a breach before damage is done.
- Action: Invest in a good Detection and Response Solution - and partner with a managed service provider to monitor your systems 24x7.
6. Secure the Supply Chain
- Why it matters: Attackers often infiltrate through third-party vendors.
- Action: Assess vendor cybersecurity posture, use secure file transfers, and limit third-party access to only what's necessary.
7. Backups and Disaster Recovery
- Why it matters: Ransomware can halt production—backups are your safety net.
- Action: Regularly back up data and configurations (both IT and OT), store them offline (immutable copies), and test recovery procedures.
8. Incident Response Plan
- Why it matters: A swift, structured response minimises damage and makes the time to restoration shorter, reducing the impact of a breach significantly.
- Action: Develop, document, and rehearse your cyber incident response plan bi-annually.
9. Perform Regular Security Assessments
- Why it matters: You can’t fix what you don’t know is broken!
- Action: Conduct penetration testing, vulnerability assessments, and OT risk assessments bi-annually – or monthly if possible.
10. Invest in Cyber Insurance
- Why it matters: It won't prevent attacks, but it can offset financial loss and cover incident response.
- Action: Evaluate policies that specifically cover OT disruptions, ransomware, and business interruption.