Ransomware is a ‘significant’ threat in Canada — and set to worsen: data

A newly released federal report warns that ransomware attacks will “remain a significant threat to Canada in the next two years,” and that artificial intelligence will make them easier to launch.

The Canadian Centre for Cyber Security (Cyber Centre) released its ransomware threat outlook for 2025-27 on Wednesday, its latest analysis of ransomware threats facing Canada.

According to Microsoft, ransomware is a “type of malicious software, or malware, that cybercriminals use to block access to, destroy, or publish a victim’s critical data unless a ransom is paid.”

The report, released on Wednesday, found that with the growth of AI, “these threats have become cheaper and faster to conduct and harder to detect.”

As a result, numerous Canadian organizations, businesses “regardless of size or sector,” and individuals are susceptible to ransomware attacks. However, “critical infrastructure and large corporations” were found to be the top targets for ransomware activities.

“Ransomware is big business. At a time when cybercriminals continue to target Canadian businesses, critical infrastructure, and government systems, education on this threat has never been more important. As ransomware evolves, fueled by emerging technologies like artificial intelligence, Canadians can rest assured that the Cyber Centre is keeping pace to ensure Canada’s security and resiliency,” Rajiv Gupta, head of the Cyber Centre, said in a press release.

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The report found that the reported number of ransomware incidents increased by an average of 26 per cent year over year from 2021 to 2024.

In addition, the report found that the total recovery costs associated with cybersecurity incidents cost $1.2 billion in 2023, doubling the previous cost of $200 million from 2019 to 2021.

Statistics Canada’s Canadian Survey of Cyber Security and Cybercrime found that in 2023, 13 per cent of businesses reporting cybersecurity incidents identified ransomware as the method of attack, a two per cent increase since 2021.

As a result, the Cyber Centre is recommending that both Canadian organizations and individuals should “bolster their cyber resilience accordingly.”