Ransomware attacks have put hospital leaders in a frenzy as they simultaneously battle COVID-19 and hackers. However, relentless attacks could end up benefiting patients and consumers, according to an Aug. 2 Harvard Business Review article.
Rahul Telang, PhD, is a professor of information systems at Pittsburgh-based Carnegie Mellon University. Dr. Telang said meaningful changes to cybersecurity are likely to come soon, because companies are being pressured to defend their companies against hackers.
Since the start of the COVID-19 pandemic, ransomware attacks have shut down critical infrastructure companies like the Colonial Pipeline or caused San Diego-based Scripps Health to reschedule appointments.
Before ransomware attacks had the power to disrupt operations or cost companies $20.8 billion in a single year, some companies preferred paying settlements to consumers affected in a data breach than fronting large sums of money to invest in cybersecurity, the report said.
Ransomware attacks made one monumental change — instead of Americans suffering the brunt of the attack, now companies are paying a steep and direct price. This has the potential to benefit patients because companies and the government are under pressure to implement tougher cybersecurity measures.
The price of a ransomware attack continues to grow for companies. An attack on a healthcare organization costs on average $9.2 million, a July IBM report found. On top of the costs in lost revenue or legal fees, hospitals risk tarnishing their reputation.
"With the threat of costly ransomware attacks rising rapidly, the time to get serious has arrived," Dr. Telang said.