Cyberattack

German mobile phone repair firm Einhaus Group, with €70 million in annual revenue, filed for bankruptcy after a crippling ransomware attack by the “Royal” group in March 2023. The attack encrypted key systems, leading to a ransom payment and significant financial losses. The company downsized drastically, selling its headquarters and cutting staff from 170 to eight. While suspects were apprehended, the ransom hasn’t been recovered. Founder Wilhelm Einhaus plans to start over, highlighting the devastating impact of ransomware on businesses.

A former IT technician, Mohammed Umar Taj, was sentenced to seven months and 14 days in prison for a retaliatory cyberattack against his former employer after termination. The attack caused significant financial damage, reputational harm, and disrupted operations for clients internationally. This case highlights the severe consequences of digital revenge and the critical importance of robust cybersecurity for businesses.