Sophos foundation report underlines strong surge in ransomware payments, recovery costs

(MENAFN) In its annual report on "The State of Ransomware 2024," the Sophos Foundation has revealed alarming statistics indicating a substantial surge in the average ransom value paid by organizations impacted by cyberattacks. According to the findings, the average ransom payment has soared by a staggering 500 percent over the past year, with organizations reporting payments averaging USD2 million per incident. This marks a significant escalation from the USD400,000 reported in 2023. However, the financial toll of ransomware attacks extends beyond ransom payments alone.

The survey further unveiled that the average recovery cost, excluding the ransom amount, has also witnessed a sharp increase. Organizations faced with ransomware attacks reported an average recovery cost of USD2.73 million, representing a notable uptick of USD1 million compared to the previous year, when it stood at USD1.82 million. These figures underscore the substantial financial burden imposed by ransomware incidents on affected organizations, encompassing both ransom payments and associated recovery expenses.

Despite the alarming rise in ransom amounts and recovery costs, the report suggests a marginal decrease in the rate of ransomware attacks. While 66 percent of organizations reported exposure to ransomware attacks in 2023, this figure has slightly declined to 59 percent in the current year. However, the threat of ransomware remains pervasive across organizations of all sizes and industries.

Interestingly, the survey findings highlight that the likelihood of exposure to ransomware attacks correlates with an organization's revenue. Even small-scale organizations, with revenues below USD10 million, are vulnerable to ransomware attacks, with nearly half (47 percent) reporting exposure to such incidents over the past year. This underscores the indiscriminate nature of ransomware threats, which pose risks to organizations across the spectrum, regardless of size or financial standing.

Overall, the Sophos Foundation's report serves as a stark reminder of the escalating threat posed by ransomware attacks and the substantial financial repercussions they entail. As organizations navigate the evolving cybersecurity landscape, proactive measures and robust defense strategies are imperative to mitigate risks and safeguard against the potentially devastating impact of ransomware incidents.

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