Ransomware has evolved from isolated, opportunistic attacks into a sprawling, professionalized industry. Today, cybercriminals have access to Ransomware-as-a-Service (RaaS) platforms that provide powerful tools and infrastructure, making it possible for even novice attackers to launch damaging ransomware campaigns. Unlike self-driven ransomware schemes, RaaS operates as a business model where skilled operators create attack kits and recruit affiliates, who then carry out the attacks in exchange for a share of the profits.
The threat has grown significantly, with a 10% rise in ransomware incidents in 2024, according to Halcyon. Much of this growth is fueled by RaaS platforms, which make sophisticated cyberattacks accessible to a much broader pool of cybercriminals. RaaS groups have used this model to increase both the frequency and scale of their attacks, transforming ransomware from an occasional threat to a constant and escalating risk for organizations worldwide.
According to Jon Miller, CEO and co-founder at Halcyon, “Ransomware has transformed into a well-organized industry with severe economic consequences, impacting businesses, governments, and consumers and weighing heavily on the global economy.”
The Professionalization of Cybercrime: RaaS as a Business Model
Ransomware-as-a-Service (RaaS) has redefined cybercrime by operating much like a legitimate business, with structured revenue sharing and customer support systems. Leading RaaS providers, such as LockBit and RansomHub, not only supply the tools but also offer affiliates technical assistance and negotiation guidance, making it possible for even low-skill attackers to execute profitable campaigns.
RaaS operators recruit affiliates by advertising their services on dark web forums. Once onboard, affiliates gain access to a comprehensive toolkit that can include everything from encryption software to data exfiltration methods. They’re also given instructions, training, and sometimes even customer service support for negotiating ransom payments.
After a successful attack, the RaaS provider shares a portion of the ransom back to the affiliate. Affiliates keep 75-90% of ransom proceeds, creating a strong incentive to stay active. This revenue-sharing model has made RaaS an attractive venture, drawing a steady influx of affiliates who benefit from the low-risk, high-reward setup.
Halcyon highlights the significant impact of Ransomware-as-a-Service (RaaS) platforms in its recent Halcyon Ransomware Malicious Quartile Q3-2024 report, particularly noting that groups like RansomHub and Play have become two of the most prolific cyberthreat actors this year. In September 2024 alone, RansomHub was responsible for 69 attacks, while Play accounted for 42 attacks during the same period.
RaaS Impact on Corporate Cybersecurity
Due to the rise of RaaS, organizations now face a greater volume and complexity of attacks, often involving double extortion tactics—encrypting data and threatening to leak sensitive information. This increase in frequency and complexity places additional strain on taxed corporate cybersecurity teams.
Recent high-profile breaches illustrate RaaS’s reach and efficiency. LockBit, for instance, has been linked to major breaches in both healthcare and government sectors, including a May 2024 attack on the Cannes hospital in France and a January 2024 breach affecting Georgia’s Fulton County. Similarly, RansomHub made headlines in April 2024 with a substantial ransom demand targeting Change Healthcare, threatening to auction off 4 terabytes of sensitive data if their demands weren’t met. These cases underscore how RaaS platforms equip even low-skill affiliates with the means to execute impactful attacks efficiently.
Adding to the challenge, many RaaS groups now prioritize high-value industries such as finance, healthcare, and critical infrastructure. By targeting sectors where downtime or data exposure can have severe consequences, RaaS groups increase their leverage and the likelihood of payment. This strategic focus not only boosts ransom yields but also amplifies the potential for disruption, as these industries are often foundational to public well-being and economic stability.
Adapting to the RaaS Threat
To counter RaaS threats, CISOs must adopt a multi-layered cybersecurity strategy addressing common vulnerabilities. This begins with network segmentation, which limits the lateral movement of attackers to reduce the potential scope of damage. Intrusion detection systems (IDS) and robust incident response plans are also essential, allowing organizations to identify and respond to suspicious activity quickly, minimizing the impact of any breach.
Employee training remains a cornerstone of a strong defense, as phishing and social engineering are common entry points for RaaS-driven attacks. By equipping employees to recognize and avoid these tactics, companies can mitigate the risk of initial infiltration. Regular awareness programs keep staff alert to evolving tactics used by cybercriminals.
Investing in enhanced monitoring and real-time threat intelligence is another important step. Threat intelligence feeds provide CISOs with timely insights on emerging ransomware tactics and RaaS affiliates’ activities, enabling faster, proactive responses. This intelligence, combined with continuous monitoring, can help detect potential threats before they escalate.
Finally, vulnerability management is key to reducing exploitable entry points. CISOs should prioritize timely patching and regular vulnerability assessments to close gaps commonly exploited by RaaS affiliates. Addressing these known vulnerabilities strengthens organizational defenses, making it harder for ransomware groups to gain a foothold.
“Building resilience against ransomware requires organizations to invest strategically—not only in network security but also in robust contingency planning that supports rapid recovery,” Miller says. “This approach minimizes downtime and financial impact, which is essential.”
The RaaS Marketplace and Regulatory Challenges
The decentralized nature of RaaS poses significant challenges for law enforcement. Operating across borders and often hiding within layers of anonymity, these groups are difficult to track and dismantle, requiring international cooperation for effective response. The distributed structure of RaaS, with affiliates operating independently under a central provider, further obscures the trail, requiring international cooperation to mount effective responses.
In response to the growing threat, regulators are implementing measures aimed at improving corporate cybersecurity practices. These frameworks emphasize proactive defenses, such as vulnerability assessments, incident response planning, and data protection standards, to establish a baseline of cyber hygiene across industries.
The rising risk of RaaS-driven attacks is also reshaping the cyber insurance landscape. Insurers are tightening their requirements, often mandating specific security protocols as a prerequisite for coverage. Some policies now require companies to demonstrate robust cybersecurity measures, such as network segmentation and real-time monitoring, before they can qualify, signaling a shift toward shared responsibility between insurers and businesses in managing ransomware risks.
RaaS's Ongoing Threat
RaaS has elevated ransomware into an organized, industrialized threat that challenges corporations worldwide. By lowering the barrier to entry, RaaS has driven up both the volume and sophistication of attacks, pressing organizations to strengthen their defenses against a wider pool of resourceful attackers.
For CISOs, adopting a proactive and adaptive approach is essential. Today’s threat landscape demands continuous vigilance, multi-layered security strategies, and awareness of evolving tactics. By building resilience, preparing for rapid response, and fostering a culture of cybersecurity awareness, organizations can bolster their defenses against the growing RaaS threat.
