The role of the Telco industry in Cyber Security: Luis Lepe at the Texas-EU Business Summit

Luis Lepe, our Country Manager for Telefónica Tech USA, spoke at the Texas-EU Business Summit, an event which brings together business, political, and academic leaders from Texas and the European Union to promote economic and commercial cooperation.

Throughout his speech, Lepe emphasized the importance of the private sector, and specifically the telco sector, as a source of Cyber Security and defense against cyber threats.

The tech revolution and Cyber Security's role

Lepe holds an extensive background in telecommunications and has held numerous executive roles. In his view, "we are witnessing the greatest technological revolution in history", with innovations reaching “millions of people in only days.”

In addition, Lepe cautioned that “these innovations may be used by malicious actors as well”, highlighting the importance of Cyber Security.

As a measure of cybercrime's global scale, Lepe cited estimates projecting that global cybercrime costs will reach $10.5 trillion by 2025 (8 times Spain's GDP), equivalent to $11.5 million per minute.

And these numbers are rising. According to the World Economic Forum (WEF), security breaches increased by 2.6 times in the second quarter (2023Q2) compared to the first quarter (2023Q1).

Telco industry's contribution to Cyber Security

In this context, Lepe emphasized the importance of private telco companies. These companies and organizations are responsible for telecommunications infrastructures, “the arteries that drive the digital economy and the world.”

"To make the world a more human place by connecting people", Lepe said, Telefónica has invested €55 billion in infrastructure in recent years. Data traffic in these infrastructures increases by 40% a year, requiring extra effort and modernization investment.

As Lepe stressed, "digitalization cannot be achieved without networks and connectivity." Therefore, telco companies are responsible for protecting information. Telecommunications networks are also considered critical infrastructures, requiring strong Cyber Security skills and promoting collaboration with governments and other stakeholders.

Collaboration as key message

The key message Lepe conveyed was the need for cooperation between the public and private sectors as well as between the EU and the US, since they share similar values. Collaboration on Cyber Security policies, certification schemes, processes, or the sharing of knowledge about cyber threats and intelligence would help "make us more resilient today and prepare us for tomorrow's challenges".

Lepe mentioned two collaboration initiatives in which we actively participated:

• International Counter Ransomware Initiative that seeks to improve international cooperation against ransomware, involving the EU, the US, and other countries. Among its goals are disrupting ransomware operations, pursuing responsible actors, fighting illegal financing that supports ransomware, and promoting international cooperation.
• CyberThreat Alliance, an independent nonprofit organization founded in 2017 to share cyber threat data, research findings, and intelligence for the purpose of improving their services and better protecting customers.

He also mentioned other initiatives in which we are involved, such as the Open Gateway project led by GSMA, currently chaired by José María Álvarez-Pallete, which aims to transform telecommunications networks into platforms.

Addressing future challenges

Lepe concluded by noting that cyberattacks are continually increasing and becoming more sophisticated with AI. As such, he considers essential public-private collaboration as well as collaboration between regions with similar values and visions.

To create a more resilient society, dialogue and cooperation are more imperative than ever. Because in Cybersecurity, “the limits are not set by geographical distance, language, or governments, but by technology and values."