Growing risks: One in five companies feels the impact of hybrid threats

One in five companies in Germany says it has already felt the effects of what the Institute of the German Economy calls hybrid threats from abroad. The category includes cyberattacks, disinformation, espionage and sabotage.

The institute surveyed 1,041 companies. Larger businesses with more than 250 employees reported the greatest exposure. By sector, information and communications companies perceived the highest risks, followed by energy and water suppliers and waste-management firms.

Hybrid attacks combine military, economic, intelligence and propaganda tools. They can also include cyberattacks and disinformation campaigns designed to influence public opinion before elections. Companies responding to such incidents have improved site security or faced restrictions on their day-to-day operations.

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This requires a new readiness to defend ourselves.

Siemens Energy chief executive Christian Bruch recently told the German Press Agency that the threat level had risen significantly over the previous 12 to 18 months. He called for a civilian operations plan to respond to crises and protect electricity and water infrastructure, as well as food supplies.

The IW said many companies had increased spending on IT security and digital infrastructure. Only a small share, however, had strengthened their energy supplies or prepared emergency plans for failures affecting critical infrastructure. The institute also cited weak coordination with security authorities, ineffective site protection and unclear procedures. It said a law introduced in March to improve protection for critical infrastructure still fell short, warning that inadequate preparation could destabilize the functioning of the economy and society, raise costs and uncertainty, and cause production stoppages.

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The lack of preparation has a destabilizing effect on the functioning of the economy and society.