Cyber Extortion: What is it and What’s the Risk to Your Business?
Let’s talk about a topic that’s been dominating headlines and causing many sleepless nights: cyber extortion. Is this on your radar? It should be, as it could impact your business at any time.
What is Cyber Extortion?
Cyber extortion is a form of cybercrime where criminals threaten to damage your business by compromising its data and digital assets unless a ransom is paid. Often, this involves ransomware, a malicious software that encrypts your data, rendering it inaccessible until the ransom is paid.
In some cases, cybercriminals go further by stealing data and threatening to release it publicly on dark web leak sites if their demands aren’t met. This dual threat is known as double extortion.
According to a 2024 report, the number of cyber extortion victims has surged by 77% over the past year. Small businesses, in particular, are four times more likely to be targeted compared to larger companies. This is a troubling trend, especially since smaller businesses often have fewer resources to defend against these attacks.
In the first quarter of this year alone, 1,046 businesses fell victim to double extortion. While this number may seem small, the actual figure is likely much higher, as many cases go unreported, hidden in what experts refer to as the “dark number.”
The reality is that all businesses, regardless of size or industry, are potential targets. However, certain sectors face higher risks. Manufacturing, professional, scientific, and technical services, as well as wholesale trade, top the list. Alarmingly, the healthcare and social assistance sectors are also experiencing a significant rise in attacks, despite the potential societal and political repercussions.
Cybercriminals are opportunistic and strategic. They target regions with strong economic growth and shared languages. For instance, cyber extortion attacks in the UK have risen by 96%.
How Can You Protect Your Business?
While the increase in cyber extortion is concerning, there are steps you can take to safeguard your business. Here are some essential strategies:
Back Up Your Data: Ensure you have a robust backup plan. Store critical data in an offline or offsite location and regularly test your backup restoration process.
Keep Software Updated: Ensure all your devices are using the latest software, especially those connected to the internet.
Implement Multi-Factor Authentication (MFA): Strengthen your access controls with MFA. This adds an extra layer of security by requiring multiple forms of verification before access is granted, such as a code on a separate device. Additionally, limit user access to only the systems they need for their job.
Patch and Vulnerability Management: Regularly update your systems to fix any security vulnerabilities. Cybercriminals often exploit known weaknesses, so staying on top of patches can prevent many attacks.
Understanding what cyber extortion is and how it works allows you to better prepare your business to defend against it. Remember, being proactive is key.
If we can assist in preparing your business and keeping it secure, contact us at GZD.
