Ransomware: A challenge to modern cybersecurity

Imagine this: you arrive at work, open your laptop to prepare an important presentation or process a report, and suddenly, a message appears on the screen: "Your files have been encrypted. To restore access, pay $5,000 in cryptocurrency within 48 hours." Your documents, photos, client data—everything is locked. Panic? Without a doubt. Now, imagine that similar scenarios happen to thousands of companies and millions of users every day.

This is the devastating impact of ransomware—one of the most dangerous cyber threats of our time. This type of malware not only blocks access to your files but also forces you to make a difficult choice: pay cybercriminals or lose your data forever. And unfortunately, even paying the ransom doesn’t always guarantee data recovery.

In 2025, ransomware remains one of the most pressing cybersecurity challenges, constantly evolving and requiring businesses and governments to adopt new security strategies. In 2024 alone, the number of ransomware attacks increased by over 30% compared to the previous year. Global losses exceeded $20 billion, affecting both small businesses and multinational corporations.

How do ransomware programs work? What methods do cybercriminals use to infect systems? And why are these attacks becoming more frequent and dangerous?

The experts at Datami will help you understand these issues in this article. You’ll learn how to prevent ransomware threats, what security measures to take, and how to respond if your data falls into the hands of cybercriminals. 

What is ransomware, and why is it dangerous?

Knowledge is the best form of protection. So let’s start by understanding what ransomware is and why it poses a threat to everyone.

Ransomware is a type of malicious software designed to encrypt data on victims’ computers or servers, demanding a ransom payment in exchange for decryption. Cybercriminals behind these attacks typically request payment in cryptocurrency, making it significantly harder to track them.

The primary danger of ransomware lies in its versatility and destructive potential. It can effectively target both individual users and businesses of any size. For companies, ransomware can cripple operations, block access to critical data, and put confidential information about clients, employees, or partners at risk. This leads to severe reputational damage and financial losses that can be catastrophic.

Beyond its direct economic impact, ransomware also undermines trust in digital tools and technologies. Modern cybercriminals utilize advanced cryptographic algorithms, such as AES or RSA, making decryption virtually impossible without a special key.  

Even cybersecurity experts often struggle to restore encrypted files without the attackers' involvement, further highlighting the severity of this threat.

History and current trends of ransomware

The evolution of ransomware: From AIDS Trojan to global epidemics

Ransomware first emerged in 1989 when biologist Joseph Popp created the earliest known ransomware strain—the AIDS Trojan. Popp distributed infected floppy disks to participants of a WHO AIDS conference. The virus encrypted file names and demanded a ransom of $189, payable via postal order to an address in Panama. While this attack was relatively small-scale, it became the first recorded instance of malware designed for extortion.

Throughout the 1990s, ransomware remained a rare phenomenon due to the lower level of digitalization in society. However, with the rise of the internet, advancements in cryptography, and the emergence of cryptocurrencies, cybercriminals gained powerful new tools to enhance their methods.

In the 21st century, ransomware has evolved into a global cyber threat, growing in complexity and scale with each passing year.

Notable ransomware attacks in recent years: WannaCry, NotPetya, LockBit

In the modern era, ransomware has become a powerful weapon for cybercriminals. Some of the most infamous cases highlight its devastating potential:

• WannaCry (2017)
  WannaCry was one of the largest ransomware epidemics, infecting over 230,000 devices across 150 countries. Exploiting the EternalBlue vulnerability—originally developed for espionage operations—WannaCry crippled hospitals, government agencies, and businesses, causing billions of dollars in damages.
• NotPetya (2017)
  Although NotPetya appeared similar to typical ransomware, its true intent was data destruction rather than extortion. The attack originated in Ukraine but quickly spread to multinational corporations, including Maersk and FedEx, resulting in over $10 billion in losses.
• LockBit (2020–2023)
  LockBit operates under the Ransomware-as-a-Service (RaaS) model, allowing even non-technical criminals to rent ransomware for attacks. It has been responsible for numerous breaches targeting businesses and government institutions, causing millions of dollars in damages to victims who were forced to pay ransoms.

Technological advancements and their impact on the evolution of cyber threats

Modern ransomware has become significantly more sophisticated and destructive due to technological progress. One of the most critical changes is the use of strong cryptographic algorithms, such as AES-256 combined with RSA, which make victims' files inaccessible without a decryption key. Even cybersecurity experts find it nearly impossible to recover encrypted data without the attackers’ intervention.

Another key advancement is the automated spread of ransomware propagation. For example, the WannaCry virus exploited the EternalBlue vulnerability to spread across networks at lightning speed, enabling large-scale attacks with minimal direct involvement from cybercriminals.

The emergence of the Ransomware-as-a-Service (RaaS) model has further fueled the rise of cybercrime. Hackers now offer ransomware platforms for rent, allowing even individuals with no technical expertise to launch attacks. This has significantly increased the frequency and reach of ransomware incidents.

Additionally, modern ransomware employs double extortion tactics, where victims are not only threatened with file encryption but also with the public exposure of sensitive data. This extra layer of pressure increases the likelihood of ransom payments.

Technological advancements have greatly enhanced the effectiveness of ransomware, making it one of the most severe cybersecurity threats of the digital age.

How ransomware works: Common attack methods and execution

Ransomware operates in stages, using a complex approach to maximize damage. Each step is carefully planned to prevent data recovery and force the victim to comply with demands.

Step 1: Gaining access to the system

At the initial stage, ransomware infiltrates a system by exploiting vulnerabilities or user errors.

• Phishing attacks. The victim receives an email containing a malicious attachment or a link to an infected website. These emails often mimic official messages from banks, government agencies, or business partners.
• Exploiting software vulnerabilities. The malware penetrates systems through outdated applications or operating systems that lack critical security updates.
• Malvertising (deceptive online ads used for malware distribution). Users are redirected to compromised websites via deceptive online ads, which can silently download ransomware onto their devices.
• RDP exploitation (Remote Desktop Protocol). Cybercriminals gain remote access to a device through weak passwords or poorly configured RDP settings, allowing them to install ransomware directly.

Step 2: Establishing presence and infection

Once inside the system, the ransomware embeds itself, analyzing the environment and preparing for encryption. It scans for important files, backups, and connected network devices. Some ransomware strains, like WannaCry, are capable of self-propagation, automatically spreading across a network to infect other computers. To maximize damage, backups are often deleted or encrypted, making recovery without paying the ransom nearly impossible.

Step 3: Data encryption

At this stage, the virus encrypts important files, making them inaccessible without a special decryption key. The virus uses powerful cryptographic algorithms (such as AES-256 or RSA) to encrypt the data. Documents, databases, photos, videos, and other important files are encrypted. In some cases, access to the operating system is also encrypted.

Step 4: Ransom demand

The final stage is the ransom demand, where attackers pressure the victim with threats of data loss or the publication of confidential information. The victim sees a ransom message that includes the payment amount (usually in cryptocurrency). In some cases, attackers threaten to release the victim’s confidential data if the ransom is not paid, creating additional pressure.

Victim profile: Who is targeted by ransomware?

Ransomware has no strict boundaries and can attack any user or organization, depending on available vulnerabilities and the attackers' objectives. However, some groups are more attractive targets than others.

Private users: Weak points of personal computers

Individual users often fall victim to ransomware due to limited cybersecurity awareness. Key risk factors include:

• Use of unreliable software. Many users download programs from unverified sources, which can serve as an entry point for malware.
• Poor password management. Weak or reused passwords make it easier for attackers to compromise accounts and gain access to sensitive data.
• Connection to unsecured Wi-Fi networks. Using public networks without additional security measures creates entry points for cybercriminals.

Businesses of all sizes: Key risks for companies

Companies, regardless of their size, remain attractive targets for cybercriminals due to the large volume of data they handle and the potential for substantial ransom payments. Key risk factors include:

• Complex network infrastructure. The more devices connected to a corporate network, the more entry points for an attack.
• Excessive access permissions. Many companies fail to implement proper access restrictions for employees, increasing opportunities for cybercriminals.
• Outsourced IT services. Using third-party service providers can introduce vulnerabilities if their security measures are insufficient.

Critical infrastructure: Emerging threats for key industries

Sectors such as energy, transportation, and healthcare are among the most vulnerable to ransomware attacks. New challenges include:

• Internet of Things (IoT) vulnerabilities. The growing integration of IoT devices in critical systems creates additional security risks. Many of these devices have limited protection, making them easier to exploit.
• Difficulties with updates. Many institutions rely on specialized equipment running outdated software, making them particularly susceptible to attacks.
• Physical consequences of cyberattacks. Unlike other sectors, ransomware attacks on critical infrastructure can pose direct risks to public health and safety, such as power outages or the shutdown of medical systems.

Education sector: A new target for cybercriminals

In recent years, educational institutions have increasingly become ransomware targets. The main reasons include:

• Large volumes of personal data. Information about students and staff can be used for future attacks or extortion.
• Limited cybersecurity budgets. Many educational institutions lack the resources to invest in modern security measures.
• Remote learning vulnerabilities. The widespread use of online learning platforms creates new entry points for cyberattacks.

Retail industry: A constant risk to customer data

Retail is an attractive target for ransomware attacks due to the high volume of financial transactions and extensive customer databases. Key risks include:

• Point-of-Sale (POS) systems. These systems can serve as entry points for ransomware infections.
• Payment card data breaches. Hacking retail systems allows cybercriminals to gain access to customers’ financial information.

Modern cybercriminals are continuously refining their methods, expanding their list of potential victims. Whether individuals, businesses, or critical infrastructure, each sector has its own vulnerabilities—but they all share one common issue: a lack of preparedness for today’s cybersecurity challenges.

Impact of ransomware attacks: Consequences for businesses and users

Ransomware attacks have a devastating impact on everyone who falls victim to them. The greatest threat is data loss, which can be either temporary or irreversible. For private users, this means losing personal documents, photos, or other important files. For businesses, the situation is even more critical: locked customer databases, financial records, or operational systems can paralyze a company’s activities for an indefinite period. Even if the data is recovered, there is a risk that it may be damaged or exposed.

Financial losses also remain a significant challenge. The ransom demanded by cybercriminals often amounts to tens or even hundreds of thousands of dollars, but this is just the tip of the iceberg. Businesses must bear additional costs for downtime, system recovery, security audits, and communication with clients. Reputational risks can be even more destructive. Public disclosure of an attack or a data breach undermines customer and partner trust, and rebuilding a company’s image may take years and substantial financial investments.  

In today's environment, a ransomware attack is not just a cybersecurity issue but a challenge for the entire organization.

Ransomware protection strategy: Prevention and response

Ransomware is becoming increasingly sophisticated, making protection against it a necessity. A clear strategy should include preventive measures, rapid incident response, and data recovery. Below are key strategies to minimize risks and avoid severe consequences of attacks.

Strategy 1: Data backup

The most effective way to prevent data loss is regular backup creation. How should you proceed?

• Configure automatic data backups to cloud storage or physical media that are not connected to the main network.
• Divide backups into local and remote copies to ensure data preservation even in case of physical equipment destruction.
• Regularly check the availability and integrity of backups.

Strategy 2: Utilizing modern cybersecurity tools

Advanced technologies can protect systems from most threats before they even occur. How should you proceed?

• Install antivirus software, firewalls, and threat detection tools (EDR).
• Regularly update operating systems, applications, and firmware to close vulnerabilities that cybercriminals may exploit.
• Use multi-factor authentication (MFA) for access to critical systems and accounts.

Strategy 3: Employee training

Employee awareness of cybersecurity risks is the first line of defense against ransomware. How should you proceed?

• Conduct regular training on detecting phishing attacks and other cyber threats.
• Educate employees on the response protocol in case of suspected infection, including device isolation.
• Establish clear policies for password management and the use of work devices on public networks.

Strategy 4: Incident response plan

A well-structured action plan helps minimize the impact of an attack even if it occurs. How should you proceed?

• Develop a detailed response plan, including system isolation, communication with cybersecurity experts, and employee notification.
• Maintain contact with professional cybersecurity services that can provide immediate assistance.
• Consider cyber risk insurance to mitigate financial losses.

Strategy 5: Professional cybersecurity support

Collaborating with cybersecurity experts is one of the best ways to protect against ransomware. How should you proceed?

• Engage professional cybersecurity service providers, such as Managed Security Service Providers (MSSP).
• Conduct regular security audits to identify system vulnerabilities.
• Utilize specialized services for real-time network monitoring.

Conclusion

Ransomware remains one of the most dangerous cyber threats today, continuously evolving and refining its attack methods. It can cause significant financial, reputational, and operational damage, affecting both individual users and large corporations. However, effective protection is possible. Implementing five key cybersecurity strategies—regular data backups, modern antivirus technologies, employee training, rapid incident response, and collaboration with cybersecurity experts—can help minimize risks and safeguard your data from attacks.  

Datami offers reliable and effective solutions for ransomware protection. We can help you implement advanced cybersecurity tools, set up data backup systems, and train your employees on safe working practices. Our team of experts is always ready to detect threats, reduce risks, and ensure your business operates smoothly, even in the most challenging situations.  

Contact Datami, and we will find a solution tailored to your specific needs.