Imagine your business is crippled after a ransomware infection: you have no data, communication, or operations. It may seem like something out of a dystopian novel, but malicious ransomware attacks force thousands of businesses to face this reality every year.
What may start as a harmless email, a phishing one, can quickly turn into a nightmare operation for your business and you. This is not just a tech problem; this can be a major business continuity issue that could destroy your entire business.
Cybercriminals use ransomware as a weapon in today’s fast-evolving, unpredictable threat landscape. These attackers target businesses of all sizes. The potential impact of an attack is greater than ever as companies rely more on digital tools and infrastructure. Ransomware is not only a threat to sensitive data but can also cause your business to suffer financial losses, hamper operations, harm reputations, and even end it.
Understanding the Different Types of Ransomware
There are many shades of ransomware, but they all serve the same purpose: blocking access to important data or systems until a ransom is paid to the criminals who launched the attack. Let’s start with the two most common types of ransomware: encrypting and locker.
Encrypting ransomware works by encrypting the files on a business’s system. Cybercriminals can use a victim’s scrambled files and data to demand ransom. As the name implies, Locker ransomware locks users out and makes systems unusable. The data is not encrypted, but the attacker can effectively paralyze the victim’s business by holding the system hostage until he receives a ransom.
Cybercriminals use various methods to carry out these brutal attacks, but phishing, e.g. an innocent employee clicking on a malicious hyperlink, remains one of the main vectors used for ransomware. One innocent click on a malicious hyperlink can spread malware quickly through networks. It exploits vulnerabilities and destroys your system.
Ransomware and Business
It is not the end of the story. The ransomware attack will cause a lot more damage than you think. A ransomware attack can have a devastating impact on a company’s reputation, finances and long-term viability. Here are the losses that a ransomware attack can cause:
Financial Losses: Downtime in your business can be costly. Even a short period of time offline will result in revenue loss and missed opportunities. Recovery efforts can be costly and hurt your business financially. IBM’s report found that the average ransomware breach cost $4.88m in 2024. This includes the ransom and legal costs, as well as fines and penalties for non-compliance with regulatory requirements.
JBS Foods is the largest meat-processing company in the entire world. JBS Foods, the largest meat processing company in the world, suffered a crippling ransomware attack in 2021 that led to the closure of all its plants around. JBS paid an $11 million dollar ransom to its attackers in order to regain control over their systems. However, the estimated financial impact of the shutdown was much greater.
Ransomware attacks can cause long-term reputational damage. Beyond the immediate financial losses, ransomware attacks can also lead to a loss of goodwill. Trust is a precious commodity in the business world. If it’s lost, clients and customers will leave that brand. Negative press from a major attack can cause the market to lose trust in your brand, making it harder to gain new customers.
Ransomware attacks can cause major disruptions to core business operations. When key systems are offline, employees require assistance to complete their tasks, and the business ceases. This downtime, depending on the severity of an attack, can last days or even weeks. A company without robust recovery strategies will miss important deadlines, lose contracts and suffer productivity loss.
Avoiding Phishing Attacks
Imagine waking up in the morning to find your business crippled: No data, no communications, no operations. It could start as a harmless click on an email phishing scam but quickly escalate into a nightmare of operational problems. Cloud email security and Microsoft 365 email security can identify and block these phishing emails before they reach employee inboxes. This reduces the risk of a malicious email causing a ransomware attack.
Combating Ransomware Attacks
Adopting a multilayered approach to security is essential in combating ransomware. It’s important to have regular, encrypted backups and to stop ransomware from infiltrating your system in the first place. Cloud email security services offer an additional layer of protection, as they filter out malicious emails prior to opening. Microsoft 365’s email security features will also enhance your defenses, providing advanced threat protection from sophisticated email-based threats.
Three best practices are essential to preventing ransomware.
The mainstay of any backup system is regular, encrypted backups. Backup your data regularly and store them securely in a cloud-based encryption-secured service.
Multi-factor authentication (MFA) provides additional layers of security, making it harder for hackers to access your data and systems.
The incident response plan: A practiced incident response plan should be part of your security toolbox. No matter how good your cyber defenses are, they are not impervious to ransomware.
Incident Response & Recovery
It is important to have a well-rehearsed Incident response plan, as no system is immune from ransomware. Cloud email security and Microsoft 365 Email Security can help reduce the impact and likelihood of an attack. This is because they will minimize successful phishing. These services provide logs and data to help understand the attack’s source and method. This will aid in faster recovery and improve future defenses.
