Cybersecurity Funding & U.S. Strategy Shifts | 2024 Trends

Rochester, New York – February 12, 2026 – A surge in cybersecurity concerns across the U.S. underscored the escalating digital threats facing both public infrastructure and the private sector today, with a local water authority receiving a substantial funding boost and private equity firms bracing for potentially devastating financial impacts.

Water Authority Gets $1.1 Million for Cyber Defense

Federal funds will upgrade Monroe County’s drinking water infrastructure against evolving digital risks.

• Monroe County Water Authority will receive $1.1 million in federal funding for cybersecurity upgrades.
• The funding aims to protect the region’s drinking water infrastructure from cyberattacks.
• Private equity firms face increasing financial risks from cyber incidents, averaging $2.1 million per incident.
• A new Zero Trust World event will offer hands-on cybersecurity training and certification.

The Monroe County Water Authority in New York is set to receive nearly $1.1 million in federal funding to bolster its cybersecurity defenses. The investment, part of a recently signed federal appropriations bill, was secured by Senators Chuck Schumer and Kirsten Gillibrand, alongside Representative Joe Morelle, and will focus on protecting the region’s drinking water supply. This proactive measure highlights a growing awareness that safeguarding essential services is paramount in an increasingly interconnected world.

What are the biggest cybersecurity threats to water supplies? Cybercriminals are increasingly targeting critical infrastructure like water treatment facilities, seeking to disrupt essential services and potentially cause widespread harm. The Monroe County Water Authority plans to use the funds to secure data storage servers, upgrade critical infrastructure, implement new backup systems, and deploy advanced threat detection software.

Senator Schumer emphasized the importance of the investment, stating the funding plays a vital role in “ensuring Rochester-Finger Lakes residents have access to clean drinking water.” Representative Morelle echoed this sentiment, noting, “This is exactly how the federal government is supposed to function, by providing direct support to companies, organizations, and local communities.”

Private Equity Firms Face Rising Cyber Risks

Meanwhile, the financial sector is grappling with its own cybersecurity challenges. A report released today by Kroll, a leading risk and financial advisory firm, warns that cyber incidents are now a “material transaction risk” for private equity (PE) firms, potentially causing significant value destruction throughout the deal lifecycle.

Based on a survey of 325 PE firm executives, the average financial impact of a cyber incident is a staggering $2.1 million. However, Dave Burg, Kroll’s global group head of cyber and data resilience, cautioned that this figure is “just the tip of the iceberg,” as the true costs often emerge later through regulatory investigations, deal delays, and governance issues.

Kroll’s analysis revealed a 53% probability of losses exceeding $500,000 per attack, and a 13% chance of losses surpassing $5 million. A substantial 94% of respondents reported experiencing some form of financial impact due to cybersecurity risks, ranging from reduced valuations to increased compliance costs.

Quick fact: 80% of PE firms experienced disruption due to cyberattacks during the portfolio hold period.

The report highlighted that the period when PE firms actively manage their investments—the “hold period”—is a prime target for attackers. Nearly 80% of PE firms experienced disruption during this phase, with almost a third facing outright business disruption or downtime. Attackers are increasingly synchronizing their strikes with periods of integration and transformation, leveraging generative AI to amplify their impact, Burg observed, noting this is “not a coincidence.”

A Gap in Cyber Readiness

The Kroll report also revealed a significant disparity in cyber readiness between large and mid-market PE firms. Larger firms (with over $25 billion in assets under management) are far more likely to have formal cybersecurity mandates, conduct standardized due diligence, and utilize dedicated risk management platforms. For example, 55% of large firms govern cyber risk through formal mandates (compared to 12% of smaller firms), and 81% include cybersecurity due diligence as standard (versus 29% of smaller firms).

Eric Hasty, managing director of cyber and data resilience at Kroll, cautioned that “cybersecurity incidents could have significant impacts on PE portfolios of all sizes.” He added that firms implementing required cybersecurity controls, using dedicated platforms, and establishing clear accountability are “far more effective at protecting value against cyber exposure in a cost-efficient way.”

Hands-On Training at Zero Trust World 2026

As organizations race to strengthen their defenses, practical education is becoming increasingly valuable. In Orlando, Florida, ThreatLocker—a global leader in Zero Trust cybersecurity—announced the speaker lineup and session highlights for its Zero Trust World (ZTW) 2026 event, scheduled for March 4-6.

The event will feature presentations from Adam Savage (host of Tested and former co-host of MythBusters), Jason Silva (host of Brain Games on National Geographic), Linus Sebastian and Luke Lafreniere of Linus Tech Tips, and world-renowned hacker Jakoby. Attendees can participate in hands-on hacking labs, including dark web tours, Active Directory hacking demonstrations, and sessions on AI-powered malware generation.

A daily Cyber Hero certification exam will allow qualified attendees to demonstrate their Zero Trust skills, with a full refund offered for successful completion. The live hacking competition, CTRL+ALT+PWN: Hack the PC. Win the PC., will challenge participants to compromise a custom-built $5,000 PC.

“Zero Trust World is built for people who want to move beyond theory and actually understand how attacks happen and how to stop them,” said Danny Jenkins, CEO and co-founder of ThreatLocker. Sami Jenkins, COO and co-founder, added, “These labs and activities are intentionally immersive. They allow attendees to see firsthand how modern attacks work and, more importantly, how Zero Trust principles can be applied in real environments without disrupting the business.”

From bolstering local water supplies to safeguarding high-stakes financial deals, the message is clear: robust cybersecurity strategies are no longer optional. Whether through federal investment, industry reforms, or hands-on education, organizations are in a continuous race to stay ahead of increasingly sophisticated attackers.