Key Takeaways
- In 2023, 61% of small and medium-sized businesses (SMBs) experienced at least one cyber attack, with phishing being the most common vector accounting for 36% of incidents
- SMBs with fewer than 100 employees faced a 28% increase in ransomware attacks compared to 2022, totaling over 1.2 million attempts blocked across surveyed firms
- 43% of all cyber breaches targeted SMBs, despite them representing only 30% of the market economy
- Ransomware accounted for 24% of SMB malware detections in 2023, with LockBit variant at 41% share
- Phishing emails targeting SMBs increased 15% YoY, with 91% containing malicious links or attachments
- DDoS attacks on SMBs lasted average 45 hours, peaking at 1.2 Tbps volume
- Average SMB data breach cost reached $4.45 million in 2023, up 15% from 2022
- Ransomware payments by SMBs averaged $1.54 million per incident, with 46% paying demands
- Phishing-related losses for SMBs totaled $52 million quarterly in US
- 81% of SMBs lack formal cybersecurity training programs, leading to higher vulnerability
- Only 26% of SMBs use multi-factor authentication (MFA) across all accounts
- 57% of SMBs have not updated antivirus software in over 6 months
- 44% of SMBs recovered fully from ransomware within 24 hours due to backups
- Average SMB breach detection time: 277 days, with containment in 84 days
- 54% of SMBs restored operations within a week post-incident using offsite backups
SMBs faced a surge in cyberattacks last year with damaging financial consequences.
Financial Losses
- Average SMB data breach cost reached $4.45 million in 2023, up 15% from 2022
- Ransomware payments by SMBs averaged $1.54 million per incident, with 46% paying demands
- Phishing-related losses for SMBs totaled $52 million quarterly in US
- Downtime from DDoS cost SMBs average $40,000 per hour
- BEC fraud drained $43 billion from SMBs globally 2021-2023
- Data recovery post-breach averaged $25,000 for SMBs under 500 employees
- Notification costs after SMB breaches hit $0.25 million on average
- Lost business revenue from breaches equaled 36% of total SMB costs
- SMB insurance premiums rose 25% post-incident, averaging $18,000 annually
- Supply chain breach ripple effects cost SMBs $1.2 million in disruptions
- Credential breach fines under GDPR averaged €450,000 for EU SMBs
- Malware cleanup expenses reached $150,000 per SMB incident
- Legal fees from class actions post-breach: $500,000 for SMBs
- Productivity losses from cyber incidents: 1,200 hours per SMB employee annually, valued at $60,000
- Cloud breach misconfig costs SMBs $100,000 in data storage fees
- Ransomware decryption failures led to $2 million data loss value for SMBs
- IoT breach remediation: $75,000 average for SMB networks
- BEC recovery efforts cost $200,000 including forensics
- Post-breach customer churn: 22%, equating to $300,000 revenue loss yearly
- DDoS mitigation subscriptions jumped to $12,000/year post-attack for SMBs
- Insider threat investigations: $110,000 per case for SMBs
- API breach penalties: $250,000 under PCI-DSS for SMBs
Financial Losses Interpretation
Prevalence of Attacks
- In 2023, 61% of small and medium-sized businesses (SMBs) experienced at least one cyber attack, with phishing being the most common vector accounting for 36% of incidents
- SMBs with fewer than 100 employees faced a 28% increase in ransomware attacks compared to 2022, totaling over 1.2 million attempts blocked across surveyed firms
- 43% of all cyber breaches targeted SMBs, despite them representing only 30% of the market economy
- During Q4 2023, SMBs reported a 15% rise in DDoS attacks, averaging 2.5 attacks per business per month
- 74% of SMBs in the US suffered a cyber incident in the past year, with retail sector hit hardest at 82%
- Global SMB cyber attack volume reached 2.4 billion in 2023, a 22% YoY increase
- 52% of SMBs experienced phishing attempts weekly, leading to 14% successful compromises
- In Europe, SMBs saw a 31% surge in malware infections, with 68% undetected for over 30 days
- 39% of SMBs reported supply chain attacks affecting their operations in 2023
- Australian SMBs faced 1.8 cyber incidents per firm annually, up 19% from prior year
- 67% of SMBs in manufacturing sector reported IoT-related attacks, averaging 45 exploits per device
- UK SMBs experienced 25% more BEC scams, costing average £45,000 per incident
- 55% of SMBs globally reported increased attack frequency post-COVID
- In 2023, SMB cloud misconfigurations led to 41% of data exposures
- 48% of SMBs in healthcare faced HIPAA-violating phishing
- Canadian SMBs saw 29% rise in credential stuffing attacks
- 62% of SMBs reported insider threat incidents, mostly accidental
- Asia-Pacific SMBs experienced 3.2 billion attack attempts in H1 2023
- 71% of SMBs with remote work reported VPN exploits
- Latin American SMBs faced 34% increase in mobile malware
- 53% of SMBs in finance sector hit by API vulnerabilities
- Middle East SMBs saw 27% DDoS volume growth
- 59% of SMBs reported social engineering successes
- US SMBs averaged 4.5 attacks per week in 2023
- 66% of SMBs in education faced ransomware
- African SMBs reported 22% exploit kit usage in attacks
- 49% of SMBs experienced zero-day exploits
- SMBs in construction saw 38% rise in wiper malware
- 64% of SMBs reported multi-vector attacks quarterly
- Global SMB IoT attack surface grew 25%, with 1.7M vulnerabilities
Prevalence of Attacks Interpretation
Recovery and Resilience
- 44% of SMBs recovered fully from ransomware within 24 hours due to backups
- Average SMB breach detection time: 277 days, with containment in 84 days
- 54% of SMBs restored operations within a week post-incident using offsite backups
- Cyber insurance claims approved for 78% of SMB ransomware cases, accelerating recovery
- 37% of SMBs experienced no long-term damage after MFA implementation post-breach
- Incident response teams reformed in 49% of SMBs within 30 days of major breach
- Data restoration success rate: 92% for SMBs with 3-2-1 backup rule compliance
- 61% of SMBs reduced future risks by 40% after tabletop exercises
- Post-breach, 52% of SMBs achieved compliance with NIST frameworks within 6 months
- Resilience score improved 35% for SMBs adopting EDR post-incident
- 68% of insured SMBs resumed business in under 72 hours after DDoS
- Forensic analysis shortened MTTR by 50% in 45% of SMB recoveries
- Employee retraining post-phishing cut repeat incidents by 63% in SMBs
- Cloud migration post-breach enhanced resilience for 71% of SMBs
- Zero-downtime recovery achieved by 29% of SMBs with hyper-converged infrastructure
- 55% of SMBs rebuilt trust via transparency reports after breaches
- Partnership with MSSPs improved recovery time by 60% for 47% SMBs
- Immutable backups prevented re-encryption in 82% of SMB ransomware recoveries
- Annual resilience audits adopted by 38% of SMBs post-incident
- AI-driven threat hunting restored 66% of SMBs faster than manual methods
- 73% of SMBs with cyber drills contained incidents under 24 hours
- Supply chain vetting post-breach reduced secondary risks by 51% in SMBs
- Quantum-safe encryption trials boosted long-term resilience in 21% SMBs
- Community sharing via ISACs helped 39% SMBs in sector-wide recoveries
- 64% of SMBs reported stronger vendor negotiations post-recovery success
- Automated rollback systems enabled 53% SMBs to revert breaches instantly
- 59% of SMBs achieved carbon-neutral recovery ops via green data centers
- Peer benchmarking post-incident improved metrics for 42% SMBs
- Blockchain audit trails aided forensic recovery in 25% advanced SMB cases
- 48% of SMBs integrated XDR for holistic resilience post-multiple breaches
Recovery and Resilience Interpretation
Security Practices
- 81% of SMBs lack formal cybersecurity training programs, leading to higher vulnerability
- Only 26% of SMBs use multi-factor authentication (MFA) across all accounts
- 57% of SMBs have not updated antivirus software in over 6 months
- Just 34% of SMBs conduct regular vulnerability scans, quarterly or more
- 72% of SMBs fail to segment their networks, increasing lateral movement risk
- Only 19% of SMBs have incident response plans tested annually
- 65% of SMBs use default credentials on devices
- 48% of SMBs lack endpoint detection and response (EDR) tools
- Employee phishing simulation training covers only 41% of SMB staff yearly
- 69% of SMBs do not encrypt sensitive data at rest or in transit
- Backup testing occurs in just 23% of SMBs monthly
- 55% of SMBs have unpatched software vulnerabilities over 90 days old
- Zero-trust architecture adopted by only 14% of SMBs
- 76% of SMBs lack web application firewalls (WAF)
- Security awareness training budget is under $1,000/year for 62% SMBs
- 51% of SMBs do not monitor privileged accounts
- Email filtering solutions block only 89% of threats in SMBs
- 67% of SMBs have no mobile device management (MDM)
- Patch management automated in 29% of SMB environments
- 73% of SMBs fail to conduct supplier security audits
- SIEM tools deployed in only 17% of SMBs
- 59% of SMBs use single-sign-on (SSO) inadequately
- Regular penetration testing done by 22% of SMBs annually
- Data loss prevention (DLP) policies in place for 31% of SMBs
Security Practices Interpretation
Types of Threats
- Ransomware accounted for 24% of SMB malware detections in 2023, with LockBit variant at 41% share
- Phishing emails targeting SMBs increased 15% YoY, with 91% containing malicious links or attachments
- DDoS attacks on SMBs lasted average 45 hours, peaking at 1.2 Tbps volume
- BEC scams defrauded SMBs of $2.9 billion in 2023, average loss $120,000 per incident
- Supply chain compromises affected 18% of SMBs, via third-party software updates
- Malware variants hit SMBs 3.4 times more than enterprises, with trojans at 29%
- Credential theft via infostealers impacted 52% of SMBs, harvesting 1.5B credentials yearly
- Zero-day exploits used in 12% of SMB breaches, primarily via browsers
- IoT botnets like Mirai variants launched 67% of SMB DDoS
- Account takeover (ATO) via SMS MFA bypass hit 31% of SMBs
- Wiper malware destroyed data in 8% of SMB ransomware cases
- Cryptojacking consumed 22% of SMB cloud CPU resources undetected
- Insider threats caused 34% of SMB incidents, with 78% unintentional
- Mobile phishing (smishing) rose 61% against SMBs
- API attacks exploited weak auth in 27% of SMB web apps
- Fileless malware evaded 45% of SMB AV solutions
- Deepfake voice scams tricked 14% of SMB finance teams
- Shadow IT led to 39% of SMB SaaS breaches
- Vishing calls compromised 23% of SMB helpdesks
- RDP brute-force attempts hit 99% of SMBs monthly
- DNS tunneling used in 17% of SMB data exfiltration
- Watering hole attacks targeted 11% of SMB industry sites
- Man-in-the-middle (MitM) via evil twin WiFi hit 28% remote SMB workers
- Logic bombs activated in 6% of SMB insider incidents
Types of Threats Interpretation
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