Digitalization and globalization are shifting paradigms and bringing new opportunities. Billions of devices are connected by the Internet of Things, interacting on an entirely new level. These technologies are changing the way we live, communicate and work. They are enabling new applications and business models across all industrial sectors and verticals.

Fundamentally, these advances are a great sign of progress. But while they improve our lives and economies, they also increase our risk of exposure to malicious cyberattacks. According to the Center for Strategic and International Studies, threats to cybersecurity in 2018 caused 500 billion euros in losses worldwide. More and more, critical infrastructures such as financial institutions, government agencies, healthcare systems and utilities are becoming targets.

The message is clear. Failing to protect the systems that connect and control our homes, hospitals, factories, power grids and infrastructures could have devastating consequences. The digital world needs baseline security, to match the commonly accepted safety measures we take for granted in the non-digital world.

Cybersecurity determines how people and organizations embrace new digital technologies. Trust in it, therefore, is the basis for any growth and progress in the digital economy.

Current cybersecurity efforts are strong – but don’t go far enough

Companies and governments must take decisive action to keep pace with rapid technology advances, as well as with growing cyber threats. Digital players including IBM, Microsoft, Google and Amazon are working hard to achieve high levels of security and protect their reputation. The same applies in the industrial world, which is becoming increasingly digitalized. For example, Siemens has adopted a “defense in depth” comprehensive security approach that combines physical security, network security and system and software security.

Governments are also taking action. The EU Cybersecurity Act, which came into effect in June this year, establishes a strong agency for cybersecurity and EU-wide rules on cybersecurity certification. Many countries around the world are committed to facilitating more extensive and effective regulations.

While these efforts are helpful, businesses and governments must take joint ownership and responsibility for cybersecurity throughout the entire digital value chain. Every stakeholder should be part of a cybersecurity network that collaborates in fighting cybercrime and that shares common and reliable standards.

It is clear that no single entity can implement all the measures necessary. That is why Siemens initiated the “Charter of Trust” initiative, which calls for binding rules and standards to build trust in cybersecurity.

Since it was launched in February 2018, the charter has grown from nine to 16 members. In addition to Siemens and the Munich Security Conference, the signatories include AES, Airbus, Allianz, Atos, Cisco, Daimler, Dell Technologies, Deutsche Telekom, IBM, NXP, Mitsubishi Heavy Industries, SGS, Total and TÜV Süd. The Charter, which cooperates with government representatives and universities, also includes associate members: the BSI German Federal Office for Information Security, the CCN National Cryptologic Center of Spain, and Graz University of Technology in Austria.

One of the Charter’s initial focus areas has been to strengthen cybersecurity across supply chains. Third party risks in supply chains are becoming a prevalent issue and are the source of 60 percent of cyberattacks, according to Accenture Strategy. Charter of Trust member companies have developed baseline requirements to make digital supply chains more secure. Other focus areas include “Cybersecurity by Default" and "Education" – meaning predictive cybersecurity settings embedded in products and other environments, and continuing global training efforts both inside and outside companies.

Information, product and solution security must be an integral part of our digital world. Businesses and countries that want to play leading roles in the global digital markets will have to engage jointly in cybersecurity in order to sustain the trust of societies, customers and business partners.