Case Study: The Ransomware Attack on N.H. and Potential Savings with AMEOT Sentry

Disclaimer: The following case study, while based on actual events, is written for educational purposes only. The potential savings are based on industry average cost estimates (sources cited).

The Incident

In March 2019, Norwegian aluminum giant N.H. fell victim to a devastating ransomware attack by the LockerGoga group. The attack forced the company to switch to manual operations at multiple plants, severely disrupting its global operations. N.H.'s IT systems were rendered inoperative across 40 countries, and the recovery process took several weeks .

The financial repercussions of this attack were substantial. N.H. reported direct financial losses and significant operational disruptions, impacting production and delivery schedules.

Financial Impact

The financial impact of the ransomware attack on N.H. was enormous. Industry data provides some insights into these costs:

1. Direct Costs: N.H. estimated the financial impact of the attack at $71 million, covering direct recovery expenses, lost productivity, and other immediate costs .
2. Cost of Downtime: The average cost of downtime caused by ransomware is $274,200 per incident per location. With N.H.’s operations spanning 40 countries, even estimating minimal disruption per location can yield significant costs:
• $274,200 per day × 21 days = $5,758,200 per location.
• For 40 locations: $5,758,200 × 40 = $230,328,000.
3. Total Estimated Cost: Including direct recovery expenses and operational disruptions:
• Direct Recovery Costs: $71,000,000.
• Downtime Costs: $230,328,000.
4. Total Estimated Financial Impact: $71,000,000 (direct costs) + $230,328,000 (downtime) = $301,328,000.

Potential Savings with AMEOT Sentry

If N.H. had implemented AMEOT Sentry’s advanced cybersecurity solutions, the attack could have been prevented, resulting in significant cost savings. Here’s how AMEOT Sentry could have mitigated the damage:

1. Proactive Prevention: AMEOT Sentry’s technology focuses on preventing unauthorized access and isolating threats before they can cause damage, effectively stopping ransomware before it executes.
2. Zero Reported Losses: AMEOT Sentry has been installed on over 85 million devices with zero reported losses to ransomware, showcasing its effectiveness in real-world scenarios .
3. Cost Savings:
• Avoiding the $71 million in direct recovery expenses.
• Preventing the $230,328,000 in downtime costs.
4. Total Potential Savings: $301,328,000.

Conclusion

The ransomware attack on N.H. highlights the critical need for robust and proactive cybersecurity measures. With AMEOT Sentry, organizations can avoid the catastrophic financial impacts of such attacks, ensuring continuous operations and safeguarding sensitive data. Investing in AMEOT Sentry is not just a protective measure but a strategic financial decision that can save millions in the long run.

For more details on how AMEOT Sentry can protect your organization and to explore tailored cybersecurity solutions, book a 30-minute call with us here.

Best regards,

Andre Smith
Director of Technology, AMEOT
Book a 30-minute call

References:

• IBM. (2022). Cost of a Data Breach Report. Link
• Coveware. (2022). Q1 Ransomware Report. Link
• BBC News article on N.H. attack
• ZDNet article on N.H. attack costs

At AMEOT, we uphold our mission to empower a collaborative community to safeguard the online experience for everyone. Through our proactive and predictive cybersecurity solutions, we aim to greatly reduce the impact of cybercrime on our collective digital lives. Join us in building a safer digital future together.