Security News > 2023 > August > Hosting firm says it lost all customer data after ransomware attack
Danish hosting firms CloudNordic and AzeroCloud have suffered ransomware attacks, causing the loss of the majority of customer data and forcing the hosting providers to shut down all systems, including websites, email, and customer sites.
The system and data restoration process isn't going smoothly, and CloudNordic says many of its customers have lost data that appears to be irrecoverable.
"Sadly, it has been impossible to recover more data, and the majority of our customers have consequently lost all their data with us."
During a data center migration, those servers were connected to the broader network, allowing the attackers to access critical administrative systems, all data storage silos, and all backup systems.
Due to the number of victims, providers will be under a lot of pressure to pay a ransom to restore their operations and potentially avoid lawsuits from customers who lost their data.
In 2017, a similar attack led a South Korean hosting provider to pay a $1 million ransomware demand to recover its customers' data.
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