Why Ransomware Attacks Are on the Rise updated
Technology

Why Ransomware Attacks Are on the Rise

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Ransomware attacks are on the rise, and organizations everywhere need a game plan to protect themselves. Learn how to protect yourself from the next attack.

The disruptive cyber breach of Colonial Gas underscores a harsh reality: ransomware attacks are on the rise, and organizations everywhere need a game plan to protect themselves. 

What Is a Ransomware Attack? 

Ransomware is a type of cyberattack in which someone encrypts a victim’s files through malware. The attacker then demands a ransom from the victim to restore access to the data upon payment. Ransomware can happen to both businesses and individuals. In either case, ransomware attacks can disable information technology completely until the ransom is paid. Unfortunately, those disruptions can lead to the loss of human life 

What Happened to Colonial Gas? 

A malicious party (identified as a group known as DarkSide) hacked into Colonial Gas’s computer systems and threatened to publish data unless Colonial Gas paid a ransom. Colonial Gas took parts of its IT offline to contain the threat, which meant that the company needed to shut down major portions of its 5,500-mile fuel pipeline, halting 2.5 million barrels per day of fuel shipments. The action triggered a gas-buying panic across the Southeast United States and a spike in retail gasoline prices. Eventually Colonial Gas paid a $5 million ransom via a difficult-to-trace cryptocurrency (the FBI “does not support paying a ransom in response to a ransomware attack”). After enduring several days of disruption, Colonial Gas resumed service on May 12

How Common Are Ransomware Attacks? 

Ransomware attacks are becoming more common partly because malicious parties are capitalizing on companies being distracted by the massive disruption caused by the COVID-19 pandemic. According to Microsoft, hackers began campaigns centered around the virus immediately after the World Health Organization declared a global health crisis in February 2020. Microsoft saw related attacks spike eleven-fold. Between April and May 2020, attacks leveled out at 20,000 to 30,000 per day in the U.S. alone. 

The spike in ransomware attacks is part of an even bigger attack on corporate security. According to the FBI, since the COVID-19 pandemic hit, malicious actors have exponentially increased their activity, causing a 300-percent increase in cybercrimes over the same time period last year. In 2021, ransomware attacks against businesses will occur every 11 second, according to SafeAtLast. Organizations will pay an average ransom of $233,217, costing business globally exceed $20 billion. 

Some recent examples include: 

  • Cognizant said it expects to lose between $50 million and $70 million following a ransomware attack. 

  • Software AG is still recovering from an October attack in which cyber criminals demanded more than $20 million ransom. 

  • Toymaker Mattel disclosed that it was hit by a ransomware attack that disrupted its operations. 

  • In Germany, a patient was said to be the first fatality of a ransomware attack when University Hospital Düsseldorf was forced to turn away emergency patients while the facility’s computer systems crashed. A woman suffering from a life-threatening emergency was re-routed to a different hospital and died from treatment delays. 

In addition, ransomware attacks are menacing the U.S. healthcare system at a time when hospitals are most vulnerable. According to a bulletin issued by the FBI, Department of Homeland Security, and the Department of Health and Human Services, the three agencies “have credible information of an increased and imminent cybercrime threat to U.S. hospitals and healthcare providers.” The bulletin provides a detailed description of the threat and how to safeguard against a ransomware attack.  

What Can Businesses Do About Ransomware Attacks? 

Businesses can learn a lot from this surge in ransomware attacks: 

  • Cyberattacks are increasing because the pandemic is making organizations more vulnerable. Malicious parties responsible for these malicious actions are taking advantage of the fact that businesses are distracted during the pandemic. They’re letting their guards down. 

  • Malicious parties who commit cyberattacks are seriously committed to getting what they want. 

  • Cyberattacks such as ransomware are crippling and potentially life-threatening (in the case of healthcare). 

  • Cyberattacks can be thwarted with proper measures. But all organizations need to be vigilant and take proactive steps to protect themselves. 

Our recently published guide, How to Protect Your Website during COVID-19 Security Threats, discusses in more detail how hackers are taking advantage of the pandemic to threaten businesses in all industries. We also discuss some steps businesses should take to protect themselves. Because we’ve been helping businesses manage against these threats for years, we’re well prepared to protect our clients during the surge of cybersecurity attacks occurring during the pandemic. Download your copy here

About Connect.ID and Investis Digital 

The Investis Digital on-demand hosting platform is built from the ground up with security and data protection by design. We provide a managed service with 24/7 support. Our cyber threat prevention system offers complete DDoS protection and malicious traffic analysis and prevention and underpins every website we build. Combined with the atomized modular architecture of the Connect.ID CMS platform, we can deploy beautifully designed and highly performant websites with as little as two weeks from ideation to build.  

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