IDC: 59% of Asia/Pacific Enterprises Targeted by Ransomware in 2023, Exposing Cybersecurity Vulnerabilities

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• Miguel Carreon  Email: mcarreon@idc.com
• Michael De La Cruz  Email: mdelacruz@idc.com
• Sakshi Grover  Email: sgrover@idc.com

SINGAPORE, 02 September 2024 – According to the International Data Corporation's (IDC) recent report, The State of Ransomware in Asia/Pacific, a staggering 59.6% of enterprises in the region experienced ransomware attacks in 2023. The report highlights the urgent need for enhanced cybersecurity measures to counteract increasingly sophisticated threats. This figure shows the increasing threat of cyberattacks and the need for organizations to improve their cybersecurity measures to protect against more advanced ransomware.

"The Asia/Pacific region is experiencing rapid digital transformation, which has led to more sophisticated ransomware attacks," says Sakshi Grover, Senior Research Manager, Cybersecurity Services, IDC Asia/Pacific. "Ransomware has significantly evolved, now increasingly targeting critical infrastructure and operational technology environments. This shift highlights the urgent need for organizations in the region to enhance their defenses and strategies. The rise in ransomware payments, fueled by the exploitation of vulnerabilities in critical infrastructure and supply chains, resulted in 59.6% of Asia/Pacific enterprises falling victim to ransomware attacks in 2023. Furthermore, using AI-driven tactics has allowed cybercriminals to launch more precise and persistent attacks, posing additional challenges to the region's cybersecurity resilience."

Businesses in the Asia/Pacific region are grappling with a complex threat landscape driven by geopolitical tensions, automation, and AI-powered attacks. Cybercriminals are deploying advanced tactics like double extortion and ransomware-as-a-service (RaaS), enabling even less skilled attackers to launch sophisticated assaults. These increasingly targeted threats are hitting critical sectors such as healthcare, supply chains, and essential infrastructure. Attackers are also leveraging data theft and social media pressure to amplify their impact and extend their reach.

The growing interconnectivity of business ecosystems increases ransomware risks, with 36.4% of enterprises reporting that third-party supplier or customer systems were impacted. This underscores the need for stronger vendor risk management and supply chain security. To combat ransomware, many organizations are adopting AI-driven tools like Identity Analytics and User and Entity Behavior Analytics (UEBA). Notably, 42% of surveyed enterprises found these tools effective in preventing attacks.

Compliance with cybersecurity frameworks such as CIS Top 20, PCI, NIST, and ISO is vital for demonstrating cyber resilience and negotiating lower cyber insurance premiums. As cyber insurance costs rise, businesses are increasingly using compliance to secure better rates. Additionally, robust backup and disaster recovery strategies, especially cloud-based solutions, are essential for maintaining resilience against ransomware. As threats evolve, organizations must continuously update their defenses to minimize financial damage.

Data listed here is from IDC's report, The State of Ransomware in Asia/Pacific: A Comprehensive Analysis of Ransomware Trends, Payment Dynamics, Data Exfiltration, and Cybersecurity Solutions (Doc #AP50956924). The report offers insights into the evolving ransomware landscape within the Asia/Pacific region, examining key areas such as ransomware attack frequency, ransom payments, the effectiveness of security technologies in early ransomware detection, and the critical role of robust backup and disaster recovery strategies. The report also explores initial points of compromise and the intricate dynamics of Asia/Pacific cyberinsurance, detailing policy specifics, coverage extents, premiums, negotiation strategies, and effective measures for reducing premiums. The report provides indispensable guidance for technology suppliers, sales leaders, and tech marketing professionals, offering essential insights into the region's complex and high-stakes cyber threat landscape.

To learn more about this IDC report, contact Sakshi Grover at sgrover@idc.com or click HERE. For media queries, please contact Michael De La Cruz at mdelacruz@idc.com or Miguel Carreon mcarreon@idc.com.

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