What happened
Edge computing specialist Fastly (FSLY -0.47%) had an excellent day on the stock market Wednesday, with its share price closing nearly 10% higher. On a generally fine trading session for tech titles, Fastly's rise was also due to internal research indicating significant under-spending by businesses into modern IT services.
So what
Fastly's research indicates that although the vast majority of enterprises around the world are increasing their spending on cybersecurity, they are not doing so wisely.
All told, according to the company's data, while 73% of businesses surveyed are boosting their budgets for these solutions, a mere 61% of their cybersecurity tools are either fully active or deployed for use. Overlap is also a problem, with more than one such tool performing the same function.
Meanwhile, hackers are using ever-more sophisticated methods to breach corporate systems in order to wreak havoc, and that trend is sure to continue.
In its report, Fastly quoted Chief Product Architect Sean Leach as saying that
Businesses are well aware of the dire repercussions of cybersecurity failure and, as a result, are looking to increase their security budgets. However, this increased spend is rarely driven by a key strategic goal.
Now what
Fastly isn't necessarily associated with cybersecurity, but since it's an edge computing solutions provider, it is nevertheless deeply involved with this category. Its assessment on the state of cybersecurity clearly found an audience on Wednesday, as it should serve as a wake-up call for many businesses that have been lax in implementing and/or deploying such measures.
