Business continuity & disaster recovery vendor Datto recently released a report detailing the threats small business owners face online. The key takeaway for California business owners and managers? Ransomware is the biggest threat to SMBs.
Ransomware is a type of malicious software, or malware, designed to block access to a computer system until a financial ransom is paid. Ransomware is typically spread through phishing emails or by unknowingly visiting an infected website.
If all of that sounds like a bunch of FUD because it only happens to giant corporations and in bad Hollywood hacker movies, buckle up. Here are ten ransomware statistics that just might convince you to reexamine your digital security measures as soon as you’re finished reading.
1) Ransomware remains the most prominent malware threat. In 2019, 85% of managed service providers (MSPs) have reported ransomware as the most common malware threat to SMBs.
2) On average, 1 in 5 SMBs report that they’ve fallen victim to a ransomware attack. SMBs that don’t outsource their IT services are more at risk.
3) Phishing emails are the leading cause of successful attacks. Lack of cybersecurity training, weak passwords, and poor user practices are among the other top causes.
4) The average requested ransom for SMBs is approximately $5,900, up 37%, year-over-year.
5) 15% of MSPs reported multiple ransomware attacks against clients in a single day.
6) Downtime costs are up by 200% year-over-year, and the cost of downtime is 23X greater than the average ransom requested in 2019.
7) SMBs fell victim to ransomware despite having implemented antivirus software, email/spam filters, pop-up blockers, and endpoint detection and response tools.
8) 34% of MSPs reported clients losing data and/or devices.
9) 33% of MSPs reported that the ransomware infection spread to other devices on the network.
10) The average downtime cost increased from $46,800 in 2018 to $141,000 in 2019.
So, in short, if you own or manage a small or mid-size business in California that does not have strong security and data recovery tools in place, you have a one in five chance of falling victim to a ransomware attack that will cost you an average of nearly $150,000 in ransom plus downtime.
Ransomware Prevention & Recovery
Hopefully by this point we’ve convinced you that the threat to your business is real and should be taken seriously. So what should you do? The good news is that there are a variety of effective tools to combat against cybercrime and ransomware.
The most effective way to combat ransomware is to increase employee awareness. By educating and training employees to recognize and report suspicious activity, the vast majority of threats can be avoided or isolated early on.
Uneducated employees are not only in danger of falling victim to ransomware and other malicious attacks—they’re more likely to unknowingly pass infected emails and software on to other employees as well.
The next best solution after employee education is to implement a comprehensive business continuity and disaster recovery (BCDR) system. Having a BCDR system in place can drastically reduce, or outright eliminate, downtime and data loss.