Ransomware Payments Drop 35% as AI Tool Usage Surges; New Charter Acquires Orchestrate AI Labs
Business of Tech: Daily 10-Minute IT Services Insights
Intro
The chapter explores the 35% decrease in ransomware payments in 2024 due to enhanced cybersecurity practices and law enforcement efforts. It highlights the ongoing rise in reported ransomware incidents, particularly in key sectors, and underscores the need for robust security measures to combat evolving threats.
New Charter Technologies has made a significant move by acquiring Orchestrate AI Labs, a company focused on integrating artificial intelligence into managed service provider (MSP) operations. This strategic acquisition aims to enhance New Charter's capabilities by combining human expertise with AI automation, positioning the company as a leader in the evolving IT landscape. Peter Melby, CEO of New Charter, expressed enthusiasm about leveraging Orchestrate's AI technology, while Ryan Barton, the CEO of Orchestrate AI, has joined New Charter as Chief Innovation Officer, emphasizing the transformative potential of AI in the MSP industry.
The podcast also discusses the notable decline in ransomware payments, which dropped by 35% to approximately $814 million in 2024, following law enforcement's disruption of several major ransomware gangs. Despite this decrease in payments, the number of reported ransomware incidents on dark web leak sites has reached an all-time high, indicating that while attackers are targeting more victims, fewer are complying with ransom demands. The report highlights that automated tools played a role in 87% of attacks, and sectors such as education, healthcare, and technology were the primary targets.
Additionally, the episode addresses the growing concerns surrounding the use of generative AI tools in organizations. A report revealed that companies typically have 67 generative AI tools operating without proper licensing, with 90% lacking approval. The podcast emphasizes the need for businesses to manage AI tool usage rather than impose outright bans, as many organizations are investing in strategies to prevent data leaks and control inputs. The average organization’s lack of visibility into how sensitive data is processed poses significant security and compliance risks.
Finally, the podcast highlights research indicating that AI is primarily viewed as a collaborator rather than an independent assistant, with 57% of AI use focused on augmenting human capabilities. However, there are concerns that over-reliance on AI could lead to a decline in critical thinking skills among users. The findings suggest that organizations should prioritize enhancing human expertise while actively managing the risks associated with cognitive complacency, particularly in high-stakes industries where precision and accountability are essential.
Four things to know today
00:00 Good News: Ransomware Payments Are Down. Bad News? Attacks Are Up.
04:53 Banning AI Isn’t the Answer—Managing AI Usage Is. Here’s Why.
06:21 AI Can Boost Productivity, but Too Much Trust in It? That’s a Problem
09:15 Big AI Move: New Charter Technologies Bets on Automation with Orchestrate AI Labs Deal
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