Page 140 - Cyber Defense eMagazine Annual RSA Edition for 2024

Business Impact Analysis

Based on available public reports approximately 31% of enterprises are compelled to halt their
operations, either temporarily or permanently, in the aftermath of a ransomware onslaught. The ripple
effects extend beyond operational disruptions, as detailed by additional metrics:

• A significant 40% of affected organizations are forced into downsizing their workforce due to the
financial strain caused by the attack.
• The aftermath sees 35% of businesses experiencing turnover at the executive level, with C-suite
members stepping down in the wake of the security breach.
• The financial toll of cyber incidents is staggering, with the average cost burden to companies,
irrespective of their size, estimated at around $200,000. This figure underscores the substantial
economic impact of cyber threats.
• Alarmingly, 75% of small to medium-sized enterprises (SMEs) face existential threats, admitting
the likelihood of closure should cybercriminals extort them for ransom to avoid malware infection.
• The long-term viability of these entities is also in jeopardy, with 60% of small businesses shutting
down within six months post-attack, highlighting the enduring impact of such security breaches.
• Even in instances where ransoms are not conceded to, organizations bear significant financial
weight in their recovery and remediation endeavors to restore normalcy and secure their systems.

External Threat Landscape Management (Etlm) Overview

Impact Assessment

Ransomware represents a formidable threat, presenting challenges for both companies and individuals
by pilfering critical data and subsequently demanding payment for its release. The aftermath of these
attacks often leads to substantial financial losses, whether incurred through ransom payment or
investments in cybersecurity solutions for restoration. Moreover, financial setbacks extend to disrupted
services, diminished customer trust, and the emotional distress inflicted upon affected entities. Beyond
immediate financial concerns, such incidents can breach data regulation laws, impacting reputation,
consumer trust, and market confidence. Consequently, addressing ransomware emerges as a paramount
priority for businesses and government organizations alike to fortify financial stability and public trust.

Victimology

Currently, threat actors focus on targeting businesses possessing valuable data, including personal
details, financial information, and intellectual property. Industries such as Manufacturing, Real Estate,
Healthcare, FMCG, E-commerce, Finance, and Technology are particularly susceptible due to their data
abundance. Cybercriminals strategically choose countries with robust economies and advanced digital

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