Almost all, a staggering, 96% of ransomware incidents now involve data breaches with data theft. This marks a significant shift in cybercriminals’ strategies. This is according to Arctic Wolf’s 2025 Threat Report. The cybersecurity report’s findings highlight how threat actors are adapting to stronger cybersecurity defenses by prioritizing cyber extortion and leveraging vulnerabilities for infiltration.
Ransomware Gangs Focus on Data Exfiltration
Ransomware attacks remain a dominant threat, accounting for 44% of Arctic Wolf’s incident response (IR) cases over the past year. However, instead of solely encrypting data, attackers are now exfiltrating sensitive information and then making their ransom demands.
This tactic, known as double extortion, has become the new normal as businesses improve backup and recovery capabilities. “In 96% of ransomware incidents, cybercriminals stole data before deploying their malware, ensuring they have leverage even if victims refuse to pay,” the cybersecurity report states.
Three Attack Types Dominate Cyber Threats
Arctic Wolf 2025 Threat Report found that three types of attacks accounted for 95% of all IR cases:
- Ransomware (44%) – Now focused on data exfiltration before encryption.
- Business Email Compromise (BEC) (27%) – Fraudsters impersonate trusted contacts to manipulate financial transactions.
- Intrusions (24%) – Attackers exploit known vulnerabilities to gain unauthorized access.
Finance and Insurance Industry Targeted for BEC Attacks
BEC attacks are becoming more sophisticated, particularly in the finance and insurance sector, where they accounted for 53% of IR cases. Fraudsters use social engineering, phishing, and spoofed emails to deceive employees into transferring funds or sharing sensitive data.
“Organizations that frequently process payments via email are prime targets for BEC scams,” Arctic Wolf warns.
Exploited Vulnerabilities Drive Intrusions
A significant 76% of intrusion cases analyzed in the report stemmed from just ten specific vulnerabilities, most linked to remote access tools or externally facing services. None were zero-day exploits, indicating that organizations could mitigate many threats through regular patching.
“The message is clear: prioritize patch management or risk becoming a target,” the report emphasizes.
Ransom Demands Remain High, But Negotiations Work
Despite increasing law enforcement action, ransomware remains highly profitable, with median ransom demands holding steady at $600,000. However, Arctic Wolf’s IR team successfully negotiated a 64% reduction in total ransom demands, with 70% of clients avoiding payment altogether.
Remote Access Weaknesses Expose Organizations
Unsecured Remote Desktop Protocol (RDP) and compromised VPN credentials remain top entry points for ransomware gangs. RDP alone was the root cause in 38% of ransomware cases.
“Threat actors are exploiting the very tools organizations rely on for remote work. Strengthening access controls and implementing multi-factor authentication is critical,” Arctic Wolf advises.
Ransomware Gangs Adapt and Evolve
The report identifies over 50 unique ransomware groups in victim environments, with five major players behind 42% of cases. The ransomware-as-a-service (RaaS) model has enabled cybercriminals of all skill levels to launch attacks with minimal effort.
“Disrupting one group barely makes a dent—new groups emerge almost immediately to fill the void,” the report notes.
Key Takeaways for Organizations
Arctic Wolf urges businesses to adopt a proactive cybersecurity approach, emphasizing:
- Stronger email security to combat BEC scams.
- Regular patching to close known vulnerabilities.
- Multi-factor authentication (MFA) to prevent unauthorized access.
- Incident response preparedness to reduce downtime and financial losses.
Conclusion
It’s pretty basic – Arctic Wolf 2025 Threat Report makes it clear the criminals, yes just criminals, at this point adding cyber feels unnecessary, are evolving faster than ever, using data theft and cyber extortion to maximize their profits.
Other News: In 74% of Ransomware Attacks, the Crooks Got At Least Some $: Arctic Wolf Survey(Opens in a new browser tab)
