Ransomware Payments Fail Half the Time – CyberEdge Group’s Startling Report

The CyberEdge Wake-Up Call

If you can’t trust a cybercriminal, who can you trust? The 2025 Cyberthreat Defense Report (CDR) by CyberEdge Group exposes a harsh truth. Victims who make ransomware payments only recover data half the time. That’s right, more than 45% of organizations don’t recover data and walk away empty-handed. Based on a global survey of 1,200 security pros, the 12th annual CDR delivers powerful insights into the state of cybersecurity in 2025.

Only Half Get Data Back: A Ransom with No Return

This year’s headline stat? Just 54.3% of victims who make ransomware payments recover their encrypted data. That’s down from 73% in 2022. Paying no longer guarantees results. CyberEdge CEO Steve Piper said it best, “It’s like handing over a bag of cash and watching the crooks vanish.”

International coalitions like the Counter Ransomware Initiative are hitting gangs hard. Over 60 nations now share intelligence and mount cross-border takedowns.

In some places, laws now ban ransom payments to groups tied to terrorism. Cyber insurance isn’t necessarily a remedy as some cyber insurers also refuse to cover many payouts. The message is clear: don’t negotiate with cybercriminals.

CyberEdge Group logo in blue gradient, featuring a circular 'C' icon on the left and the company name in bold text. Used in article about their report on hte effectiveness of ransomware payments.
Fewer Attacks, Bigger Targets: The New Ransomware Math

Ransomware attacks have decreased for the second year in a row. In 2023, 64% of companies were hit. In 2025, that number dropped to 62.6%. But don’t celebrate yet.

Cyber gangs now target larger firms with deeper pockets. The average ransom keeps rising, even as attack frequency falls.

Ransom payments are in decline:

  • 2022: 62.9% of victims paid
  • 2025: 40.7% paid
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Yet, fewer payments haven’t brought better recovery odds. Fewer criminals are providing decryption keys or keeping promises.

Investments in AI, Backups, and Resilience

More firms are relying on backups and resilience planning instead of making ransomware payments. AI-driven tools now assist in real-time detection and faster response.

84% of security teams prefer AI-enhanced security solutions. AI is not just a buzzword—it’s a frontline warrior.

Security Posture: Slight Gains, Lingering Worries

While attacks are stabilizing, confidence is shaky. Most companies rate their security posture below ideal levels.

Concerns are highest for:

  • Mobile devices
  • IoT (Internet of Things)
  • ICS (Industrial Control Systems)

Smartphones and tablets are now prime targets. They store more sensitive data. Threat actors are aware of this and adapt quickly.

Security teams are least confident in their ability to protect mobile endpoints. That’s a red flag.

Top Cybersecurity Concerns in 2025

The usual suspects top the list:

  1. Malware
  2. Phishing
  3. Ransomware
  4. Account takeover

These threats drive the most significant financial losses and brand damage.

AI Arms Race: Friend and Foe

AI is a double-edged sword, like a car; it can be used to get away, or as a police car, to chase. The technology powers threat detection but also fuels attacker innovation. Deepfakes, spear phishing, and evasion tactics are getting AI upgrades.

The battlefield is dynamic. Adaptation is key.

Frameworks Gaining Traction Across Industries

97% of firms now use at least one security framework. Top names include:

  • NIST
  • ISO
  • Cloud Security Alliance

Standardization helps organizations measure, improve, and prove their cybersecurity readiness.

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Shortage of Skilled Pros Continues

The cybersecurity talent gap is as wide as ever. The demand for entry-level certification is rising, especially in fast-growing countries.

Automation may ease the pain, but people remain the weakest and strongest link.

Identity Security and MSSPs: Strategic Frontlines

Identity is the new perimeter. 98% of organizations are boosting their identity security.

90% also outsource to Managed Security Service Providers (MSSPs). Popular services include detection, response, and incident handling.

2025 Outlook: Hope, Complexity, and Urgency

While some progress is evident, challenges multiply. Hybrid multi-cloud environments, remote access, and app sprawl increase risks.

CyberEdge’s advice? Stay vigilant, invest wisely, and never stop training your team.

Resilience Over Ransom

The 2025 Cyberthreat Defense Report is a warning and a roadmap. Cybercrime isn’t going away, but neither is progress. If your data matters, don’t pay the crooks. Prepare, prevent, and power up your defenses.

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