Nearly Nine-in-Ten Organizations Targeted by a Ransomware Attack in 2024

A recent Ponemon Institute survey revealed that 88% of organizations experienced at least one ransomware attack in the past year, emphasizing the widespread impact of ransomware threats, HIPAA Journal reports.

Despite organizations allocating nearly one-third of their IT budgets to ransomware defense, attacks remained prevalent, indicating that the effectiveness of cybersecurity strategies matters more than spending alone.

Key security measures included multifactor authentication, automated patching, intrusion prevention/detection systems, email security, and segmentation/micro-segmentation.  

However, only 42% of organizations incorporated AI in their defenses, with those that did citing benefits such as improved SecOps efficiency (46%), ransomware detection (44%), prevention (42%), and response (41%).

While over half (54%) of respondents were confident in their ransomware defenses, fewer trusted their employees' ability to recognize phishing and social engineering attacks—the most common initial attack vector (45%).  

Other primary access points included RDP compromise (32%) and software vulnerabilities (19%). Once inside, ransomware actors often exploited unpatched systems (52%), weak passwords (47%), and local administrator weaknesses (35%).

Ransomware groups increasingly rely on data exfiltration over encryption, using stolen data to coerce victims into paying. In 47% of cases, threat actors stole data before demanding payment, 45% launched DDoS attacks, and 34% contacted victims’ stakeholders. Only 34% of attacks involved encryption.

Operational downtime was the biggest financial burden, with 58% of victims forced to shut down, 40% experiencing revenue loss, and 35% suffering reputational damage. The average containment time was 132 hours, costing $146,685.  

In 2024, the average ransom demand was $1.2 million, with 51% of victims paying. However, only 13% fully recovered their data, while 40% suffered data leaks even after payment. Increasing distrust in ransomware actors has led 51% of respondents to adopt a no-payment policy.

The FBI advises against paying ransoms, yet only 28% of victims reported incidents to law enforcement, citing concerns over publicity, short payment deadlines, and retaliation fears.

Takeaway: Ransomware is no longer just an IT issue—it is a fundamental business risk that threatens every industry. With 88% of organizations experiencing at least one ransomware attack in the past year, no sector can afford to be complacent.  

While the immediate costs of an attack, including ransom payments, downtime, and incident response, are substantial, the long-term consequences can be even more damaging. A successful ransomware breach can result in severe reputational harm, eroding trust among customers, partners, and investors.  

Organizations that fail to adequately protect themselves risk losing competitive advantage, facing declining stock prices, and suffering permanent brand damage.

Legal and regulatory liabilities further compound the risks. Many industries, including healthcare, finance, and critical infrastructure, operate under strict compliance frameworks such as HIPAA, GDPR, PCI DSS, and various federal and state data protection laws.  

A ransomware attack that results in data theft or prolonged service disruption can lead to regulatory investigations, fines, and lawsuits. Organizations may be required to notify affected customers, pay damages, and implement costly remediation measures.  

In highly regulated industries, the consequences can include license revocations and government-imposed operational restrictions, leading to even greater financial and reputational losses.

Ransomware groups function as highly structured, well-funded criminal enterprises, employing specialists at every stage of the attack chain. Initial Access Brokers (IABs) sell access to compromised networks, Ransomware-as-a-Service (RaaS) operators develop and maintain ransomware variants, and affiliate attackers deploy the malware in exchange for a profit share.  

These organizations have dedicated R&D teams, helpdesk support for victims negotiating payments, and even HR departments to recruit cybercriminals. Their level of organization allows them to rapidly adapt to security defenses, ensuring that traditional cybersecurity measures alone are not enough to mitigate the threat.

Perhaps the most alarming aspect of modern ransomware operations is their complete lack of ethical boundaries. These attackers deliberately target critical infrastructure, including hospitals, emergency services, and government agencies, knowing that disruption in these sectors can have life-threatening consequences.  

They have attacked children’s hospitals, cancer treatment centers, and intensive care units, leveraging the threat of death and suffering to pressure victims into paying. In some cases, ransomware attacks have led to medical equipment failures, delayed emergency procedures, and even patient deaths. This ruthless approach demonstrates that ransomware is not just a business problem but a direct threat to human life.

Ransomware is not going away—it is evolving into an increasingly dangerous, profit-driven, multi-billion-dollar industry that preys on businesses and human lives alike. Every organization must recognize this reality and take decisive action to protect itself, its stakeholders, and the people who rely on its services.

Halcyon.ai eliminates the business impact of ransomware. Modern enterprises rely on Halcyon to prevent ransomware attacks, eradicating cybercriminals’ ability to encrypt systems, steal data, and extort companies – talk to a Halcyon expert today to find out more and check out the Halcyon Attacks Lookout resource site. Halcyon also publishes a quarterly RaaS and extortion group reference guide, Power Rankings: Ransomware Malicious Quartile.