Microchip Technology revealed in its latest financial report on Tuesday that expenses related to the recent ransomware attack reached $21.4 million.
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The incident came to light in August when the US-based semiconductor supplier detected suspicious activity on its network. The ransomware attack led to outages at some of Microchip Technology's manufacturing facilities.
The Play ransomware group claimed credit for the attack about a week later, claiming to have stolen gigabytes of data. The ransomware gang has published files allegedly stolen from the company, which shows that Microchip Technology refused to pay the ransom.
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Hackers have made available a 4GB archive file that allegedly contains Microchip data. They claim that the leaked data includes personal information, customer documents, and files related to budgeting, payroll, accounting, contracts, taxes, and finance.
In early September, after most of its operations were restored, Microchip Technology confirmed that the ransomware group had obtained some information from its systems, including employee contact information and password hashes.
The company's financial report for the second quarter of fiscal 2025 puts cyber incident expenses at approximately $21.4 million as of September 30.
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Ransomware attacks, such as the one that hit Microchip Technology, are one of the most serious cyber threats facing modern businesses and organizations. During such an attack, cybercriminals use malicious software to encrypt critical organizational data, rendering it inaccessible. The attackers then demand a ransom, usually in the form of cryptocurrency, to regain access to the data. Prevention and prompt response through the use of security measures, regular updates, and staff training are key to reducing the risk of successful ransomware attacks.
Source: securityweek
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