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Tech Law Briefing, August 2020

Liability Risks for Companies due to Cyber Attacks

The number of companies that are relying on new technological achievements based on Big Data, Industry 4.0 or the Internet
of Things is increasing continuously. Companies which digitalise their business processes are very often not only more competitive
on the market nowadays but also more vulnerable for cyber attacks. Those attacks are not a random phenomenon anymore:
already two thirds of industrial companies in Germany have been a victim of data theft, corporate espionage or sabotage within a
two years period.1 The prior targets have been the company's IT system and communication infrastructure. In one case, the attackers used the spear-phishing method2 to gain access to the office network of a German steel mill company.3 Through this, they entered the production network and manipulated the blast furnace, so the employees were not able to shut it down before the company's facilities got damaged.4


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