Ransomware payments cratered in 2025, but attacks surged to record highs

European digital policy continues to evolve rapidly, with a significant focus on rebalancing power dynamics between large digital platforms and smaller businesses. New regulations are designed to foster a more competitive digital single market, encouraging innovation and consumer choice. This push is central to the EU's strategy for digital sovereignty, aiming to reduce reliance on non-European tech giants and cultivate a thriving domestic tech ecosystem. In 2025, a notable trend emerged in the cybersecurity landscape: while ransomware attacks reached record highs, the actual payments made by victims saw a dramatic decrease. This suggests a growing resilience among organizations, potentially due to enhanced security measures, improved incident response capabilities, or a more unified stance against paying ransoms. The underlying attack vectors, however, remain a pressing concern, highlighting the persistent threat posed by cybercriminals. The implications of these trends are far-reaching. For software companies and digital platforms operating in Europe, adapting to stringent data protection and competition regulations like the Digital Services Act (DSA) and Digital Markets Act (DMA) is crucial. Cybersecurity firms, on the other hand, are likely experiencing increased demand for their services, as businesses grapple with the dual challenge of rising attack volumes and the strategic decision to not concede to ransomware demands. This evolving threat environment necessitates continuous investment in advanced AI and machine learning for threat detection, alongside robust data protection technologies.