According to ransomware negotiation firm Coveware, in the final quarter of 2023 the number of victims paying ransomware demands dropped to 29% from a high of 85% at the beginning of 2019. Reasons for this drop include better preparedness for ransomware attacks, a lack of trust in cybercriminals, and legal pressure making paying ransom illegal.
Dollar amounts of ransom payments dropped to an average of $568,705 in 4th quarter 2023, 33% less than the previous quarter. The size of targeted companies also decreased.
Coveware's report discusses ransom payment bans. While bans seem like a good idea, the probable result would be most companies would not report attacks and would pay through illegal markets.
Coveware's recommendations to combat ransomware:
- Strengthen reporting frameworks and encourage detailed disclosure about ransomware incidents.
- Offer safe harbors for proactive reporting and compliance with mandatory reports to law enforcement.
- Impose significant fines for non-disclosure of incidents; however, CISOs should not be held personally liable.
- Emphasize long term collaboration with law enforcement.
- Focus on strategic measures to reduce the attractiveness and ease of ransom payments.
Ransomware remains a major cybersecurity challenge, but this report shows a positive trend.
The report is at http://www.coveware,com/blog/2024/1/25/new-ransomware-reporting-requirements-kick-in-as-victims-increasingly-avoid-payment.