The reason? The true cost of a ransomware attack is calculated in lost company productivity, and the cost of remediation.
Osterman Research reported in 2017 that 1 in 6 infected small and midsized companies experienced over 25 hours of downtime. Since cybercriminals calculate their ransom demands based on the victim’s ability to pay, in many cases the ransom payment is preferable to losing productivity.
Some criminals also give discounts up to 50% if the company pays quickly, forcing the business to make decisions before law enforcement has time to investigate.
Plus, the cost of remediation can far outweigh the ransom. In 2018, the SamSam ransomware attack on the City of Atlanta demanded only $52,000 after knocking out several of the city’s essential services, including revenue collection and the police record keeping system. The total cost to remediate grew to $2.6 million.
On the other hand, the criminals sometimes take the money and run without sending the decryption key. Or the ransomware doesn’t come with a decryptor, or the decryption key doesn’t work.
Fortunately, these outcomes are not the norm. Arbor Networks’ network administrator Gary Sockrider estimates that around 65 to 70 percent of the time the crooks come through with the decryption key to restore the data. After all, they don’t want to hurt their reputations, and future prospects.