Staying Ahead of the Game: Ransomware Predictions for 2023
The year 2022 was a turning point for the cybersecurity industry, as ransomware attacks continued to wreak havoc on organizations around the world. This trend is expected to escalate in 2023, making it even more critical for IT professionals, IT managers, and decision-makers in organizations to stay ahead of the game and protect their systems from ransomware attacks. The financial impact of these attacks has become particularly pronounced in recent years, affecting not only individuals but entire supply chains and causing widespread damage. In this article, we will explore the latest ransomware predictions for 2023, the primary trends affecting the cybersecurity landscape, and what organizations can do to stay protected.
Ransomware attacks have affected people's ability to access essential services, such as healthcare, fuel, and groceries. These attacks have also put a strain on businesses' bottom lines and impacted supply chains, causing more widespread damage than an attack against a single target. In this article, we'll delve into the key trends for ransomware in recent years, including supply chain attacks, double extortion, ransomware as a service, attacking unpatched systems, and phishing. We will also touch on predictions from leading cybersecurity experts, including Gartner and Trend Micro, to provide a comprehensive understanding of the threat landscape in 2023.
The primary goal of this article is to educate and inform IT professionals, IT managers, and decision-makers in organizations on the latest ransomware predictions and trends. The information contained in this article is intended to be both informative and persuasive, providing organizations with the knowledge they need to make informed decisions about their cybersecurity posture in 2023. By staying ahead of the game and understanding the threat landscape, organizations can protect themselves from the damaging effects of ransomware attacks.
Ransomware Trends & Statistics
The world of ransomware is constantly evolving and it's important to stay up to date on the latest trends and statistics. In order to better understand where ransomware is headed in the future, let's take a closer look at the data from the past year. This will give us a solid foundation and help us stay ahead of the game in 2023. So buckle up, because we're diving into the world of ransomware statistics!
Is Ransomware Still Growing?
When it comes to ransomware attacks, they are becoming more and more frequent. The FBI's Internet Crime Complaint Center received a whopping 3,729 complaints about ransomware attacks in 2021 alone. These attacks caused financial losses of an equally staggering $49.2 million. As the number of attacks increase, so does the amount of ransom demanded by the attackers. By the end of Q4 in 2022, the average ransom amount was $408,644, with a median ransom amount of $185,972. It's no surprise that threat actors are starting to move up the market in an attempt to justify these larger demands and secure even bigger ransom payments. Out of all the cyber insurance claims made in the first half of 2022, 34% were related to ransomware. And, of those claims, the average ransom paid out by insurance companies was a hefty $255,000. This just goes to show how much of an impact ransomware is having on organizations and their finances.
The Cost of Ransomware: How Much Are Attackers Demanding?
The trend of ransom amounts continuing to climb each quarter is a scary thought. By the end of 2022, the average ransom amount was a whopping $408,644 and the median ransom amount was $185,972. Threat actors are now targeting slightly bigger fish in order to justify these larger demands and increase the likelihood of large ransom payments. It's not just the ransoms that are on the rise, but ransomware-related cyber insurance claims are also increasing. In the first half of 2022, 34% of all cyber insurance claims were ransomware-related and the average ransom paid out by cyber insurance companies was $255,000. It's important to note that these numbers only continue to grow, making it more important for organizations to take the necessary precautions to protect their critical data.
The Evolving Landscape of Ransomware Attacks: Who's at Risk?
When it comes to the size of companies affected by ransomware, the statistics show that smaller organizations are more susceptible. In 2022, 80.5% of the organizations that reported ransomware incidents had fewer than 1000 employees. This is a worrying trend, as smaller organizations often have fewer resources and less mature cybersecurity programs, making them an easier target for malicious actors. It's important for all organizations to understand the threat of ransomware and take steps to protect themselves, regardless of size.
How is Ransomware Being Distributed Today?
Well, the bad news is that hackers are getting smarter about how they spread ransomware. In 2022, phishing became the number one way that ransomware was distributed. That means that these hackers are sending emails that look like they're coming from a trusted source, and they're trying to trick you into downloading malware or giving up sensitive information. And, unfortunately, phishing is becoming more sophisticated and harder to detect, so it's crucial that you and your team stay vigilant. Another growing trend is Ransomware as a Service (RaaS), which is when hackers rent out their ransomware to others who want to launch attacks. This has made it easier for inexperienced hackers to cause havoc, and has made the ransomware problem even more widespread.
What is the Impact of Ransomware on Organizations Today?
The impact of ransomware on organizations is substantial and long-lasting. In 2022, the average downtime for organizations that reported a ransomware attack was about 25 days. This is a lot of time for any business to be offline, and the damage done can be permanent. Additionally, 80.5% of the organizations that reported a ransomware attack had fewer than 1000 employees, which highlights how small businesses are especially vulnerable to these attacks. The cost of a ransomware attack goes beyond just the ransom payment itself. Businesses have to pay for IT investigations, downtime, data recovery, and potentially legal fees. The numbers are staggering - according to the first half of 2022, 34% of all cyber insurance claims were ransomware-related, with the average ransom paid out being $255,000. These statistics should serve as a wake-up call for all organizations to take ransomware seriously and to be proactive in their efforts to protect themselves from these attacks.
Ransomware Predictions for 2023
As we move forward into 2023, it's important to stay ahead of the game and be prepared for the latest trends and threats in the world of ransomware. At Enterprotect, we've been keeping an eye on the latest developments in this rapidly evolving field. From increasing ransom amounts to new techniques for evading detection, there are a lot of things that IT professionals need to be know in order to protect their organizations. In this section, we're going to take a deep dive into the latest ransomware predictions for 2023 so that you can be fully prepared and stay ahead of the game.
Ransomware Will Continue to Grow in 2023
Ransomware attacks have been on the rise in recent years, with a 78% increase in attacks from 2020 to 2021. According to the 2022 "Verizon Data Breach Investigations Report," ransomware attacks surged dramatically in 2022. This trend is expected to continue, making it more important than ever for IT professionals, IT managers, and IT decision-makers to stay ahead of the game. The threat of ransomware attacks will likely continue to impact organizations of all sizes and industries. As the digital world becomes increasingly interconnected, the opportunities for attackers to exploit vulnerabilities in systems will continue to grow. Businesses must be proactive in their approach to cybersecurity in order to stay ahead of the evolving threat of ransomware attacks in 2023.
Ransom Amounts Will Continue to Rise
One of the most concerning trends in the world of ransomware is the increase in ransom amounts. In the fourth quarter of 2022, the average ransom amount was a staggering $408,644, with the median ransom amount being $185,972. This trend is expected to continue, with threat actors looking to justify larger initial demands in the hopes of receiving large ransom payments.
The majority of ransomware victims are smaller companies, with 80.5% of organizations that reported ransomware incidents in 2022 having fewer than 1000 employees. However, larger companies are not immune to these attacks. The median ransomware victim size grew by 10% to 275 employees in 2022, according to the 2022 "Verizon Data Breach Investigations Report".
It's also worth noting that ransomware attacks often result in significant financial losses. In 2021, the FBI's Internet Crime Complaint Center received 3,729 complaints about ransomware attacks, which accounted for financial losses of $49.2 million.
We Will See New Ransomware Attacks Against Cloud Resources
Ransomware attacks against cloud resources are becoming a growing concern as more organizations are moving their critical data assets to the cloud. Cloud-aware ransomware has been discovered, capable of targeting these cloud resources, leading to potentially devastating consequences for affected organizations. This highlights the importance of properly securing cloud resources, implementing strong access controls and utilizing encryption to protect sensitive data. Additionally, it's crucial to have backup solutions in place, both in the cloud and on-premises, that are properly secured and regularly tested. In the event of a ransomware attack, these backup solutions can help organizations quickly recover and minimize downtime.
Ransomware Attacks Will Continue Targeting Backup Repositories
One of the most dangerous developments in the world of ransomware is the growing trend of attackers targeting backup repositories. According to a report from VEEAM, 95% of all ransomware attacks attempted to infect backup repositories in 2022. This highlights the critical importance of having properly segregated off-site backups in place to protect against ransomware threats.
Many organizations rely on their backup repositories as a last line of defense against data loss. However, if the backups themselves are compromised, organizations can find themselves in a precarious position, with no way to restore their data. This makes it essential for IT professionals to ensure that their backup repositories are properly secured and protected from attack.
New Ransomware Variants Will Emerge Using the Intermittent Encryption Technique
Intermittent encryption is a new technique used by ransomware attackers to encrypt parts of files, making them appear as corrupted data. This method can evade detection from many traditional ransomware protection and detection methods. Intermittent encryption is yet another example of how ransomware attacks are constantly evolving and becoming more sophisticated, making it increasingly challenging for IT professionals to keep their data safe.
Phishing Will Continue to be the Main Distribution Method
Ransomware is often distributed through email phishing scams. The attackers will send an email that appears to be from a legitimate source, such as a bank, government agency, or well-known company. The email will contain a link or attachment that when clicked, downloads the ransomware onto the recipient's computer. In 2022, phishing took the lead as the number one method for distributing ransomware. Due to its low cost, simplicity and effectiveness it is the favourite method amongst Ransomware-as-a-Service (RaaS) groups.
Increase in Re-extortion
Re-extortion has become an increasingly common tactic in ransomware attacks. This involves the threat actor making a second demand for more money after an initial ransom is paid. The goal is to maximize the amount of money they can extract from their victims. This tactic is especially dangerous because organizations that have already paid a ransom are more likely to pay again, hoping to get their data back or prevent further damage. In 2021, re-extortion incidents accounted for a significant portion of the total ransomware attacks reported. These types of attacks not only cause financial losses, but also damage to an organization's reputation and disrupt normal business operations.
Double Extortion Will Becoming Increasingly Common
Double extortion has become a growing concern for organizations, as attackers are now utilizing a new tactic that involves not only encrypting the target's data, but also exfiltrating it to a separate location. This puts organizations at risk not only of losing access to their sensitive information, but also having it leaked to the public if a ransom payment is not made. In double extortion attacks, the threat actors have leverage to make the ransom demand more compelling, as they have the capability to cause further damage to the target's reputation if the ransom is not paid.
Growth in Ransomware-as-a-Service (RaaS)
In 2023, the trend of ransomware attacks will not show any signs of slowing down. One of the factors contributing to this is the rise of Ransomware as a Service (RaaS). With RaaS, individuals with limited technical skills are now able to participate in the distribution of ransomware. This makes it easier for threat actors to spread malware and increases the likelihood of successful attacks. RaaS also provides a new revenue stream for the developers of ransomware and their affiliates, further incentivizing them to continue to develop and spread these types of attacks.
An Increase in Supply Chain Attacks
Supply chain attacks are a growing concern for organizations. Instead of targeting a single victim, these attacks aim to infect a larger number of organizations through a common supplier. In this scenario, an attacker gains access to a supplier’s network and uses it to distribute ransomware to the supplier’s customers. This not only increases the attack surface but also extends the impact of the attack, potentially affecting a large number of organizations. A prime example of a supply chain attack is the 2021 Kaseya attack, where at least 1,500 of its managed service provider customers were impacted. This demonstrates the importance of companies considering their exposure to supply chain risks and ensuring their suppliers have robust cybersecurity measures in place.
Protecting Your Organization from Ransomware Attacks
It's no secret that ransomware attacks are on the rise and they're only getting more sophisticated. But don't worry, there are steps you can take to protect your organization from these attacks. Download our free ransomware prevention ebook now to understand the strategies you need to put in place to keep your organization safe and secure.
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Conclusion
Now that you've read about the latest ransomware trends, and our ransomware predictions for 2023, it's time to take action. The stakes are high, but with the right tools, you can protect your organization from falling victim to these devastating attacks. Enterprotect 360 is a comprehensive cybersecurity solution that provides powerful protection against ransomware and other threats. With Enterprotect 360's Ransomware Protection capabilities, you can rest easy knowing that our security experts are monitoring your endpoints, network, and cloud 24/7. The platform uses artificial intelligence to detect the latest ransomware threats and autonomously respond to ransomware, restoring your computer to its pre-attack state. And if automatic remediation fails, our Security Operations Center is alerted and isolates the infected machine to prevent the ransomware from spreading. If you're looking for a solution to keep your organization safe, try Enterprotect 360 for free by signing up for our free trial. With Enterprotect 360, you'll have the peace of mind knowing that you're staying ahead of the game when it comes to ransomware protection.