Science & Technology

Companies paying ransomware attackers frustrate consumers

More than half of the companies surveyed by data management firm Cohesity say that ransom-paying companies are promoting ransomware and malicious individuals.

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One of the biggest problems faced by organizations hit by Ransomware Whether to pay the ransom. Many people pay just because they find it to be the fastest and easiest way to get back into business. However, the strategy is not endorsed by many consumers, and some consumers avoid companies that not only suffer from ransomware but also pay the ransom.

look: Ransomware: Cheat Sheets for Professionals (TechRepublic)

A study released Monday by data management firm Cohesity reveals how consumers feel about organizations suffering from ransomware attacks. The study, commissioned by Cohesity and conducted by Propeller Insights in August 2021, received responses from more than 1,000 US consumers aged 18 to 75 and over who had heard of ransomware.

Eighty-one percent of respondents said they were familiar with recent ransomware attacks. Colonial pipeline, JBS Holdings, Kasaya, SolarWinds When U.S. hospital..

Approximately 22% say their business partner has been hit by ransomware, and 21% believe they have been attacked. The surveyed individuals pointed to the top industries vulnerable to ransomware: government, financial services and insurance, oil and energy, healthcare and pharmaceuticals, and technology.

About 40% of respondents said they believe that organizations hit by ransomware should not pay the ransom. More than half of the people surveyed say that ransom-paying companies are encouraging more ransomware and cybercriminals. In addition, 43% believe that ransom payments will increase the price consumers pay for goods and services.

Organizations that pay the ransom run the risk of bad consumer reputation. Approximately 23% of those surveyed said they would stop doing business with the company that paid the ransom. An additional 48% said they weren’t sure if they would quit the business, but that this was a major concern and they were thinking a lot.

look: Ransomware Attack: Why SMEs Pay $ 150,000 Ransom (TechRepublic)

Consumers naturally lose confidence in companies affected by ransomware for several reasons. About 55% said they lost confidence due to the lack of proper security and data management in the company. About 54% lose confidence when their data is compromised. Twenty-nine percent also said they would lose confidence if the attack was personally accompanied by some inconvenience.

In addition, 47% of those surveyed said they would lose confidence if the company did not announce the attack, and 22% said they would lose confidence if the company paid the ransom.

“Ransomware attacks are so prevalent that they are now part of the collective consciousness,” Cohesity CISO’s Brian Spanswick said in a press release. “And according to our research, when a company pays a ransom, there is a risk of losing consumer confidence and encouraging people to move their business elsewhere.”

Consumers also believe that organizations have failed to effectively combat ransomware attacks. Forty-two percent of respondents say companies are unlikely to do enough to protect their data. To that end, 61% feel that enterprises need to regularly test their systems for threats, and 59% say they need to implement appropriate security software.

About 47% think companies should do it Enable multi-factor authentication, 39% think they need stronger passwords. Finally, more than half say organizations need to adopt more sophisticated data management processes to better protect their data and respond to potential threats.

“No organization is immune to ransomware attacks,” Spanswick said. “But companies that implement the latest security and next-generation data management strategies and can recover quickly in the event of an attack without paying a ransom are more consumer-friendly than those that don’t.”

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Companies paying ransomware attackers frustrate consumers Companies paying ransomware attackers frustrate consumers

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