Businesses can face hefty fines for violating data protection laws like GDPR, HIPAA, or PCI-DSS, especially if required security measures aren’t in place. They must notify regulators and affected individuals promptly, or risk further penalties.
Lawsuits from victims and fines under statutes like the U.S. CFAA are also possible. Beyond fines, breaches can cause operational disruption and reputational damage.