What is Ransomware and How do You Protect Your Organization From It?
Ransomware has emerged as one of the most disruptive cyber threats facing organizations today. What began as simple lock-screen malware has evolved into highly sophisticated campaigns that not only encrypt critical systems but also steal data for double extortion.
Attackers target businesses of every size, exploiting weak defenses and human error to force victims into paying for access to their own information. As ransom demands climb into the millions and downtime costs escalate, understanding ransomware and how to defend against it is as important as ever.
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What is Ransomware?
Ransomware is a type of malicious software that locks or encrypts an organization’s data and demands payment for its release. In recent years, it has evolved beyond simple file encryption to include double and even triple extortion tactics, where attackers threaten to leak or sell stolen information if the ransom isn’t paid.
Ransomware’s danger lies not only in its ability to paralyze operations and erode customer trust, but also in its steep financial toll. IBM’s latest data shows the average cost of a ransomware incident disclosed by attackers has surpassed $5 million, even as payment rates continue to decline. The numbers make clear: defending against ransomware is not optional; it’s essential.
"More ransomware victims refused to pay a ransom in 2025 (63%) than 2024 (59%). However, the average cost of an extortion or ransomware incident remains high, particularly when disclosed by an attacker (USD 5.08 million)."
- IBM's Cost of a Data Breach Report 2025
How Ransomware Works
Ransomware attacks typically begin with an entry point, most often through exploited vulnerabilities, phishing emails, and compromised credentials (responsible for 27%, 26%, and 23% of attacks, respectively, according to Sophos). Once inside a network, attackers deploy the ransomware payload, which scans for valuable files, databases, and system resources to encrypt. Modern ransomware variants are designed to spread laterally, moving from one compromised system to others across the environment to maximize impact.
After encryption, the victim is presented with a ransom note, often demanding payment in cryptocurrency, and in many cases threatening to leak stolen data if demands are not met. Some campaigns now employ double or triple extortion, combining data encryption with threats of public exposure, regulatory reporting, or denial-of-service attacks.
The effectiveness of ransomware lies not only in its ability to block access but also in the pressure it places on organizations. Disrupted operations, lost revenue, reputational harm, and potential regulatory consequences often drive victims to consider paying, even when experts warn there’s no guarantee of recovery.
“You’re seeing ransomware targeting Linux systems and even IoT devices now, expanding beyond the typical Windows environments. Attackers are now also employing additional extortion methods on top of data encryption to force you to pay. Once ransomware has infiltrated your systems and encrypted your data, there are very few technical recourses left.
Trying to decrypt the files is likely more costly than the fine itself and restoring from backups can be lengthy, incomplete, or even impossible, especially with newer strains, which will lock or destroy multiple rounds of backups before striking. This often leaves you in a ‘Pay Up or Forget’ situation, as the damage has already been done from a technological standpoint."
How to Protect Against Ransomware
Defending against ransomware requires a layered approach. No single tool or policy can stop every attack, but combining the right strategies dramatically reduces risk. Here are five of the most effective measures organizations can put in place:
No organization can eliminate ransomware risk entirely, but by combining strong security controls, disciplined patching, resilient backups, real-time monitoring, and tested incident response plans, you can greatly reduce both the likelihood and impact of an attack. The goal is layered resilience: stopping as much as possible up front, and ensuring recovery is fast and controlled if ransomware ever does strike.
What to Do During a Ransomware Attack
Even with strong defenses, no organization can guarantee complete immunity from ransomware. When an attack occurs, the difference between lasting damage and swift recovery lies in how effectively you respond. A clear, tested plan helps contain the threat, minimize disruption, and restore confidence.
Key steps to take after a ransomware attack include:
- Isolate Affected Systems – Disconnect infected devices from the network immediately to stop the spread. Disable Wi-Fi and remote access to contain the threat.
- Activate Your Incident Response Plan – Alert your incident response team, leadership, and legal counsel. Document all evidence, from ransom notes to system logs, for investigation and compliance.
- Assess the Scope of Impact – Determine which systems and data were encrypted, whether sensitive information was exfiltrated, and how attackers gained access.
- Restore from Secure Backups – Use clean, offline backups to recover critical systems. Validate backups before use to ensure they haven’t been tampered with.
- Communicate Transparently – Provide clear updates to employees, customers, and regulators. Transparency reduces uncertainty and helps maintain trust.
- Conduct a Post-Incident Review – Identify what worked, where gaps remain, and how defenses can be improved to prevent recurrence.
Responding to ransomware isn’t just about recovery; it’s about resilience. A well-executed response limits damage in the moment, but the real value comes from learning and adapting afterward.
How to Improve Defenses After a Ransomware Attack
Recovering from ransomware is only half the battle. Once systems are restored and operations resume, the most important step is preventing history from repeating itself. Every incident provides valuable insight into where defenses fell short. Organizations should use this momentum to accelerate security improvements rather than slipping back into old habits.
This begins with addressing the root cause, whether it was a missed patch, weak credentials, or a phishing campaign, and closing those gaps quickly. Security teams should also expand monitoring to catch early warning signs of ransomware behavior, such as unusual file activity or unauthorized privilege escalation. Strengthening backup processes, segmenting critical systems, and testing incident response plans regularly ensures faster recovery in the future.
Finally, organizations should view ransomware not as a one-off crisis but as part of continuous security improvement. Conducting regular adversarial testing, investing in exposure management, and embedding a culture of cyber resilience are essential for staying ahead of attackers.
"When a ransomware attack strikes, it often feels like the damage is already done and paying the ransom is the only way out. You’re left isolated without access to your systems and data. There is immense pressure to resolve the situation as quickly as possible, so negotiating or paying the ransom can seem like the only viable option.
Unfortunately, I've also seen cases – more often than I should have - where organizations go back to business as usual after the incident is over. The urgency fades as systems come back online, and life goes back to normal without meaningful change. Proactivity takes a back seat, leaving you just as vulnerable to the next attack.
In my view, a major security incident like ransomware can't be seen as a one-time crisis to survive. It requires channeling momentum into accelerating robust cybersecurity initiatives that better detect and deter threats. Ransomware is an ongoing adversarial effort, so we need to take the long view and continually strengthen defenses before the next strike. No amount of fluff at Board meetings is going to save you, you simply gotta do it. Otherwise, history will repeat itself again, faster than you think.”
Building Ransomware Resilience
Ransomware will continue to evolve, but organizations are not powerless. The key is preparation, recognizing ransomware as an ongoing threat and investing in defenses that prevent attacks and enable rapid recovery when they occur.
That’s why we take a continuous approach to security. Ongoing testing and adversarial exercises surface exposures before attackers can exploit them. Our platform turns those findings into an organized remediation workflow, with role-based distribution and real-time tracking so nothing slips through the cracks.
And because even the best tools aren’t enough on their own, we embed ourselves as partners, meeting with your team regularly to validate results, guide prioritization, and strengthen response. The outcome is resilience against both ransomware and the multitude of other threats your organization faces every day.
FAQs About Ransomware
What is ransomware?
Ransomware is a type of malware that encrypts files or entire systems and demands payment, often in cryptocurrency, for their release. Many modern campaigns also steal sensitive data and threaten to leak it if the ransom isn’t paid.
How does ransomware usually get in?
Most ransomware enters through exploited vulnerabilities, phishing emails, and compromised credentials (responsible for 27%, 26%, and 23% of attacks, respectively, according to Sophos). Once inside, it spreads across systems to maximize impact.
How common are ransomware attacks today?
Ransomware has become one of the most widespread cyber threats. According to most estimates, attacks now occur every few seconds worldwide, and ransom demands often reach into the millions.
Should you ever pay the ransom?
Security experts and law enforcement generally advise against paying, since there’s no guarantee you’ll get your data back, and payment encourages further attacks. The better approach is to prepare with backups, monitoring, and an incident response plan.
What should you do after a ransomware attack?
Immediately isolate affected systems, activate your incident response plan, and assess the scope of the breach. Restore from clean backups if possible, communicate clearly with stakeholders, and conduct a post-incident review to strengthen defenses for the future.
Which industries are most vulnerable to ransomware attacks?
Healthcare, finance, government, and critical infrastructure are frequent targets, but ransomware actors go after any organization with valuable or time-sensitive data. Small and mid-sized businesses are also increasingly targeted by ransomware attacks because they often lack mature defenses.
What’s the difference between single, double, and triple extortion ransomware?
Single extortion encrypts data and demands payment. Double extortion adds the threat of leaking stolen data. Triple extortion goes further, pressuring victims with tactics like DDoS attacks or contacting customers, regulators, or the media to increase leverage.
