2022 was a challenging year for cyberspace businesses. Companies faced ransomware, the continued effects of the SolarWinds and Log4j exploits, and rising cyber insurance premiums.
Unfortunately, the consequences of malware have gotten worse year after year.
The costs of cyberattacks have risen dramatically, and many analysts predict that they will continue to rise. Despite the efforts of businesses and governments to combat malware, it does not appear that the online world has reached a tipping point in the battle.
Let's look at six reasons why 2023 could be the worst year for malware yet.
1. The cost of ransomware continues to increase
Ransomware attacks are a constant threat to businesses worldwide. In recent years, the number and scale of ransomware attacks have increased dramatically. According to IBM, the average ransomware attack will cost businesses $4.54 million in 2022—and that figure does not include the cost of the ransom itself.
While many businesses have strengthened their cybersecurity teams to better prevent ransomware attacks, there are still many vulnerable targets for hackers to target. Schools, local governments, and hospitals have all proven to be easy targets for ransomware groups. Worse, cybercriminals have discovered that by threatening to release organizations' data if they do not pay, they can command higher ransoms. According to Cybersecurity Ventures, cybercrime alone could cost the world $10.5 trillion by 2025. There's little reason to believe that the frequency of ransomware attacks will level off or decline by 2023.
2. Malware attacks could be motivated by geopolitical hostility
While individual hackers and cybercriminal gangs are responsible for the majority of malware attacks, nation-state attacks also pose significant threats to businesses. Russia, China, and North Korea all use sophisticated hacking teams to further their geopolitical objectives. As tensions between China, Russia, and the West rise, many analysts predict that state-sponsored attacks on critical infrastructure will become more common.
Russia, for example, could use cyberattacks against Western businesses to discourage them from doing business with Ukraine or to punish countries that support Ukraine's war efforts.
3. Artificial intelligence may make phishing more effective than ever before
Some of the most significant data breaches in 2021 were caused by phishing attacks. Uber was hacked after an employee failed to respond to repeated two-factor authentication requests. After a SIM-swap attack, Microsoft saw the source code for its Bing search engine and Cortana virtual assistant published.
AI advancements may make phishing attacks even more difficult to detect. Hackers, for example, may be able to write malicious emails using text-generation tools such as OpenAI's ChatGPT. They can also use AI to impersonate people's friends, family, and coworkers to get them to reveal their passwords or other sensitive information.
4. The number of devices available for use is increasing
Year after year, the world becomes more digitally connected, opening up new opportunities for hackers. Every new internet-connected device poses a risk.
Malicious actors will have more attack surfaces as IoT devices proliferate. Frequently, relatively simple devices such as baby monitors, WiFi-enabled kitchen appliances, and internet-connected smart home devices are not subjected to stringent cybersecurity standards. These devices can unintentionally provide backdoors into a company's network. Furthermore, businesses are increasingly connecting employees through virtual reality and metaverse-like digital spaces.
5. The recession may force cybersecurity cost-cutting measures
While governments around the world work hard to avoid a global economic recession in 2023, many businesses are bracing for the worst. That means reducing spending on all fronts, including cybersecurity.
Already, companies such as Microsoft are reporting lower sales of cybersecurity software. It's also possible that, as a result of the broader slowdown in tech hiring, companies will postpone adding more cybersecurity professionals to their IT teams. Reduced cybersecurity spending may make businesses more vulnerable to malware and put them behind in the race against new hacking techniques.
Conclusion
In 2023, the cybersecurity environment appears to be more difficult than ever. Ransomware costs are continuing to rise, geopolitical tensions are increasing the likelihood of major attacks, and technological advances are exposing businesses to more threats than ever before.
To protect themselves against malware in 2023, businesses will need a strong cybersecurity software suite, as well as education, monitoring, and redundancy.
