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Top 10 Application Security Trends for CIOs in E-commerce

Top 10 Application Security Trends for CIOs in E-commerce

Effective application security testing plays is pivotal in safeguarding companies’ application code across the globe, consequently mitigating overall business risk. As the pace of the software development life cycle accelerates and new threats continue to emerge, the technologies employed to automate testing and aid in vulnerability remediation undergo constant adaptation for heightened accuracy and efficiency. In e-commerce, where digital transformation is paramount, understanding these current trends is indispensable. It’s vital for crafting strategies that save costs and reduce risk, positioning your company as a leader in digital commerce.

Application security has become a central pillar of software development, and a clear necessity for companies that want to reduce business risk in a digital economy. – HCL Application Security Testing Trends Report

In e-commerce, the storage of customer data is paramount, encompassing sensitive information like credit card details, bank account numbers, and personally identifiable information (PII) such as home addresses, emails, and phone numbers. This data presents a ripe target for fraud and identity theft.

Unlike physical stores, online retail platforms face heightened vulnerability to fraudulent activities, owing to the lower risk of detection for fraudsters. Moreover, the convenience and accessibility inherent in e-commerce operations also render them appealing targets for cyber attackers, who can exploit factors like round-the-clock accessibility and remote access.

Why Application Security in E-commerce?

In the e-commerce sector, data security is a critical concern, underscored by its status as the most targeted sector for cyber attacks, as highlighted in the 2020 Trustwave Global Security Report. The exponential rise in data breaches, exemplified by a staggering 284% increase in exposed data records in 2019, underscores the urgency for merchants to prioritize robust security measures, especially for on-premise or cloud-hosted e-commerce platforms.

Today’s e-commerce applications, often deployed across diverse networks and integrated with cloud services, present an expanded attack surface susceptible to security threats and breaches. As hackers increasingly target applications in their attacks, there’s a growing imperative to fortify security not only at the network level but also within the applications themselves.

Application security assumes paramount importance in safeguarding e-commerce platforms against evolving threats. By conducting rigorous application security testing, vulnerabilities at the application level can be identified and addressed proactively, thwarting potential attacks and safeguarding sensitive customer data. Thus, prioritizing application security is indispensable for e-commerce businesses to mitigate risks, uphold customer trust, and ensure long-term success in an increasingly digitized marketplace.

Also Read: Top 5 Application Security Trends for CIOs in Finance and Banking

Application Security Trends for CIOs in E-commerce

#1 Streamlining Security Operations: Simplifying Incident Detection and Response

With an average of approximately 10,000 security alerts flooding in daily, many SOC teams struggle to effectively prioritize, investigate, and mitigate potential threats. Consequently, genuine security risks often get lost amidst the deluge of false positive detections.

A significant contributor to this alert fatigue is the fragmented nature of many organizations’ security infrastructure. Spanning diverse environments including on-premise setups, cloud deployments, remote sites, and a plethora of mobile and Internet of Things (IoT) devices, the modern corporate network is a labyrinth of disparate security solutions tailored to address specific threats in specific contexts. This complexity hampers effective monitoring and management of security operations.

Amidst efforts to modernize IT infrastructure, e-commerce companies are increasingly inclined towards consolidating and simplifying their security architectures. By opting for comprehensive security solutions from a single vendor, capable of addressing security needs across the entirety of their IT landscape, companies can streamline security operations. This consolidation not only enhances the feasibility of monitoring and managing security infrastructure but also empowers SOC teams to efficiently detect and respond to potential incidents with greater agility and efficacy.

#2 Bot-as-a-Service Providers

The proliferation of Bot-as-a-Service providers signifies a notable trend impacting e-commerce security landscapes. Bots, programmed to interact with websites or web APIs, have traditionally been utilized to automate cyberattacks, from Distributed Denial of Service (DDoS) assaults to credential stuffing and fraudulent activities like credit card fraud.

Previously, developing such bots necessitated a certain level of cybersecurity expertise and programming proficiency, limiting their usage to a select group of attackers. However, with the advent of Bot-as-a-Service providers, these malicious tools have become readily available to a broader spectrum of individuals, effectively lowering the entry barrier for perpetrating cyber threats.

In response to this evolving threat landscape, e-commerce companies are increasingly prioritizing measures to safeguard against malicious bots. Bot management solutions are emerging as integral components of application security strategies, to fortify defenses against bot-driven attacks on web-facing applications and APIs. By deploying robust bot management solutions, organizations can thwart unauthorized access attempts and preserve resources, ensuring the uninterrupted flow of legitimate requests and bolstering overall security posture in the dynamic e-commerce domain.

#3 Elevating Open-Source Security Measures

Countless data breaches have left hackers with an advantage, rendering open-source libraries susceptible to manipulation through tactics like typo-squatting and hidden code insertions. However, as we progress into 2023, the landscape is poised for transformative initiatives that fortify open-source security. Anticipate a surge in demand for enhanced controls, encompassing measures such as open-source validation, authenticity checks, reputation assessments, and regular vulnerability scanning. Expect open-source repositories to impose stricter standards for uploaded software to bolster overall security.

Furthermore, third-party stakeholders will increasingly advocate for the adoption of Software Bill of Materials (SBOM) practices, facilitating validation processes before consumption. These advancements signify a pivotal shift towards tighter open-source security protocols, essential for safeguarding e-commerce platforms against evolving cyber threats and ensuring the integrity of digital operations.

#4 Expanding Attack Surface in the Code Factory

In e-commerce, the code factory’s attack surface is rapidly expanding, with cyberattacks targeting developers, codebases, and build systems witnessing an annual growth of 460% to 660%. Recent high-profile incidents, including the theft of source code from OKTA and the Toyota breach, emphasize the severity of the issue. The modern Software Development Life Cycle (SDLC), characterized by distributed workforces and diverse systems, remains a prime target for attackers. At Legit Security, our firsthand experiences during Proof-of-Value (PoV) projects reveal a multitude of vulnerabilities, including rogue build servers and exposed sensitive source code and passwords.

The pre-production development environment is becoming increasingly vulnerable and attractive to cyber adversaries. We anticipate a rise in software supply chain exploits in 2023, from code theft to the exposure of sensitive data, necessitating e-commerce CIOs’ proactive adoption of robust security measures to mitigate risks and safeguard digital infrastructure in the code factory.

#5 Improving Supply Chain Security

The software supply chain has emerged as a significant vulnerability in application security. Third-party components and dependencies pose potential risks, providing malicious actors with avenues for exploitation. Recognizing the critical importance of mitigating third-party risks, organizations are increasingly prioritizing the assessment and management of these vulnerabilities. Anticipate heightened scrutiny of software vendors and a concerted effort towards fostering transparency and accountability within the software supply chain as key trends in 2024 and beyond.

#6 Dominance of Infrastructure as Code (IaC) Security

The adoption of Infrastructure as Code (IaC) technology is gaining momentum due to its facilitation of rapid provisioning and cloud deployment of environments. However, improper security practices with IaC can lead to the automated deployment of insecure production environments, resulting in compliance violations and system breaches.

To address these challenges, integrating static and dynamic testing into the Continuous Integration/Continuous Deployment (CI/CD) pipeline can offer organizations a comprehensive view of IaC risk. Additionally, implementing guardrails is essential to steer developers toward secure practices when leveraging IaC technology. As e-commerce CIOs navigate this trend, prioritizing robust IaC security measures becomes imperative to safeguard against potential vulnerabilities and ensure the integrity of digital infrastructure.

#7 Harnessing AI-driven Automated Security Solutions

In the e-commerce domain, Security Operations Center (SOC) teams confront myriad challenges in safeguarding organizations against cyber threats. These challenges include:

  • Expanding Corporate Infrastructure: The rapid expansion of corporate networks to encompass cloud deployments, remote sites, and mobile devices complicates monitoring and securing the network.
  • Accelerating Threat Landscape: The proliferation of cyber threats, coupled with increasingly automated cyberattacks, necessitates swift response measures to mitigate the impact of potential breaches.
  • Growing Compliance Requirements: Evolving data protection laws, such as the GDPR, mandate stringent protection measures for a broad spectrum of data used by applications, demanding robust security protocols to prevent unauthorized access and compromise.
  • Limited Resources and Personnel: The cybersecurity industry grapples with a significant skills shortage, resulting in understaffed security teams struggling to attract and retain personnel with requisite skill sets.

Highlighting these challenges, SOC teams are tasked with expanding responsibilities amid resource constraints, leading to delayed threat detection and response, escalating the cost and impact of security incidents. Consequently, many companies are exploring security automation powered by artificial intelligence (AI) as a viable solution. AI-driven automation streamlines data gathering, threat identification, and incident response, enabling organizations to optimize limited security resources for maximum organizational benefit.

#8 Developing API Security

Historically, application security efforts predominantly targeted web applications, with initiatives such as the Open Web Application Security Project (OWASP) focusing on web application vulnerabilities and the deployment of web application firewalls (WAFs) to safeguard Internet-facing assets.

However, the corporate web attack surface has evolved. It has transformed from solely web applications to a combination of web applications and web APIs. According to Forrester, over half of company applications are now exposed to the Internet or third-party services through APIs.

While web APIs share many potential vulnerabilities with web apps, they also encounter distinct security challenges. Recognizing this, OWASP has introduced a top ten list specifically addressing API security challenges. This shift has spurred the development of Web Application and API Protection (WAAP) solutions, aimed at replacing legacy WAF technology. Navigating this trend, prioritizing robust API security measures becomes imperative for e-commerce companies to safeguard against emerging threats and ensure the integrity of digital operations.

#9 Adoption of Comprehensive Vulnerability Aggregation

In the e-commerce sector, there’s a growing imperative to aggregate vulnerability information comprehensively. Organizations recognize the necessity of obtaining a holistic view of their vulnerability landscape by consolidating information from various tools deployed across their infrastructure. This aggregation enables better prioritization of security measures and facilitates the demonstration of compliance adherence. The rising demand for tools capable of providing such functionality is exerting pressure on application security tool manufacturers to integrate native support for enterprise-scale vulnerability aggregation.

#10 Integration of AppSec and CloudSec

In the e-commerce sector, a notable trend is the convergence of Application Security (AppSec) and Cloud Security (CloudSec). While historically, these functions operated independently, the complexity of modern cloud environments necessitates a cohesive approach to security. Cloud security encompasses measures aimed at safeguarding cloud-based infrastructure, applications, and data, ensuring authentication, access control, and data privacy.

By integrating AppSec and CloudSec, organizations gain a comprehensive understanding of their attack surface and overall security posture. This holistic view involves examining both application code vulnerabilities and cloud service misconfigurations. By understanding how application code interacts with the cloud service provider, organizations can identify critical vulnerabilities and prioritize tasks accordingly.

Converging AppSec and CloudSec enables better context for remediation efforts, allowing organizations to efficiently address security issues at their root cause. This integration enhances the effectiveness of security measures, ultimately bolstering the resilience of e-commerce platforms against evolving cyber threats. Prioritizing the integration of AppSec and CloudSec becomes crucial for e-commerce enterprises to maintain robust security in the digital marketplace.

Also Read: Top AppSec Program Trends And Recommendations for 2024

Final Note

As the e-commerce sector evolves, application security stands as a paramount concern. With an expanding attack surface and escalating cyber threats, organizations must adopt stringent security practices to safeguard their applications. Recognizing this imperative, e-commerce CIOs are urged to embrace the emerging application security trends delineated in this article.

By implementing these trends, e-commerce entities can fortify their digital infrastructure, protect sensitive customer data, and foster trust among their user base. Furthermore, the benefits of these initiatives extend beyond individual organizations to the broader e-commerce sector. By bolstering application security measures, organizations contribute to a safer and more resilient digital marketplace.

Increased investment in security initiatives, coupled with a deeper understanding of best practices, enables organizations to proactively mitigate risks and avoid potential breaches. Prioritizing measures including, shifting security left, tightening controls, and establishing clear remediation strategies, e-commerce entities protect their operations and uphold their reputation.

FAQs

1. What are the common security threats faced by e-commerce applications?

E-commerce applications encounter various security threats, including SQL injection, cross-site scripting (XSS), credential stuffing, and distributed denial of service (DDoS) attacks. These threats aim to exploit vulnerabilities in the application code or infrastructure to gain unauthorized access, steal sensitive data, or disrupt services.

2. How can e-commerce businesses protect against data breaches and cyber-attacks?

E-commerce businesses can mitigate the risk of data breaches and cyber attacks by implementing robust security measures. This includes regularly updating software and systems, using encryption to protect sensitive data, implementing multi-factor authentication for user accounts, conducting regular security audits and vulnerability assessments, and educating employees and customers about security best practices.

3. What role does penetration testing play in e-commerce application security?

Penetration testing, also known as pen testing, is a crucial component of e-commerce application security. It involves simulating real-world cyber attacks to identify vulnerabilities and weaknesses in the application and infrastructure. By conducting regular penetration tests, e-commerce businesses can proactively identify and address security issues before they are exploited by malicious actors.

4. How can e-commerce businesses ensure compliance with data protection regulations?

E-commerce businesses must adhere to data protection regulations such as the General Data Protection Regulation (GDPR) and the Payment Card Industry Data Security Standard (PCI DSS). To ensure compliance, businesses should implement security measures such as encryption, access controls, data retention policies, and regular security audits. Additionally, they should stay informed about changes to regulations and update their policies and procedures accordingly.

5. What are the benefits of implementing a Web Application Firewall (WAF) for e-commerce applications?

Implementing a Web Application Firewall (WAF) can help e-commerce businesses protect against common security threats such as SQL injection, cross-site scripting, and DDoS attacks. A WAF acts as a barrier between the application and the internet, monitoring and filtering incoming traffic to block malicious requests and prevent unauthorized access to sensitive data. By deploying a WAF, e-commerce businesses can enhance the security of their applications and mitigate the risk of cyber attacks.

[To share your insights with us as part of editorial or sponsored content, please write to sghosh@martechseries.com]

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