Cybercrime

Cybercrime soars as firms underfund defences

Nearly four in ten UK businesses (38 %) do not allocate a dedicated cybersecurity budget, even as cybercrime costs hit an estimated £64 billion over three years.

Smaller enterprises are particularly vulnerable, with 15 % reporting breaches linked to underfunding.

Almost half of organisations (45 %) rely solely on in‑house defences, with only 8 % securing standalone cyber insurance, exposing many to evolving threats.

Common attacks include phishing campaigns, AI‑powered malware and DDoS, yet cybersecurity typically receives just 11 % of IT budgets.

Security professionals call for stronger board‑level involvement and increased collaboration with specialists and regulators.

They caution that businesses risk suffering further financial and reputational damage without proactive budgeting and external expertise.

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Hackers ramp up attacks on employee credentials

Recent research highlights a surge in identity‑focused cyberattacks aimed at stealing employee credentials.

Corporate login information is harvested using sophisticated tools like infostealer malware, phishing campaigns, and automated credential stuffing.

Security experts warn that compromised credentials allow attackers to masquerade as staff, access internal systems, and move laterally across organisations.

While some major firms rely solely on passwords, rigorous measures such as strong multifactor authentication, proactive monitoring, and cyber awareness training are more effective defences.

Despite awareness of these threats, many companies do not thoroughly scan for leaked credentials or flag suspicious login activity promptly.

However, this hesitancy often stems from budget limitations, competing priorities or bureaucratic inertia.

Security specialists stress the need for coordinated investment in layered security measures to protect against evolving identity‑based attacks.

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OpenAI locks down operations after DeepSeek model concerns

OpenAI has significantly tightened its internal security following reports that DeepSeek may have replicated its models. DeepSeek allegedly used distillation techniques to launch a competing product earlier this year, prompting a swift response.

OpenAI has introduced strict access protocols to prevent information leaks, including fingerprint scans, offline servers, and a policy restricting internet use without approval. Sensitive projects such as its AI o1 model are now discussed only by approved staff within designated areas.

The company has also boosted cybersecurity staffing and reinforced its data centre defences. Confidential development information is now shielded through ‘information tenting’.

These actions coincide with OpenAI’s $30 billion deal with Oracle to lease 4.5 gigawatts of data centre capacity across the United States. The partnership plays a central role in OpenAI’s growing Stargate infrastructure strategy.

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Phishing 2.0: How AI is making cyber scams more convincing

Phishing remains among the most widespread and dangerous cyber threats, especially for individuals and small businesses. These attacks rely on deception—emails, texts, or social messages that impersonate trusted sources to trick people into giving up sensitive information.

Cybercriminals exploit urgency and fear. A typical example is a fake email from a bank saying your account is at risk, prompting you to click a malicious link. Even when emails look legitimate, subtle details—like a strange sender address—can be red flags.

In one recent scam, Netflix users received fake alerts about payment failures. The link led to a fake login page where credentials and payment data were stolen. Similar tactics have been used against QuickBooks users, small businesses, and Microsoft 365 customers.

Small businesses are frequent targets due to limited security resources. Emails mimicking vendors or tech companies often trick employees into handing over credentials, giving attackers access to sensitive systems.

Phishing works because it preys on human psychology: trust, fear, and urgency. And with AI, attackers can now generate more convincing content, making detection harder than ever.

Protection starts with vigilance. Always check sender addresses, avoid clicking suspicious links, and enable multi-factor authentication (MFA). Employee training, secure protocols for sensitive requests, and phishing simulations are critical for businesses.

Phishing attacks will continue to grow in sophistication, but with awareness and layered security practices, users and businesses can stay ahead of the threat.

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Azerbaijan’s State Security Service tackles surveillance camera cyber breach

Azerbaijan’s State Security Service has disrupted a significant cybersecurity breach targeting surveillance cameras nationwide. The agency says unauthorised remote access had allowed attackers to capture and leak footage of private homes and offices.

The attackers exploited a digital video recorder (DVR) system vulnerability, intercepting live camera feeds. Footage of private family life was reportedly uploaded to foreign websites and even sold online.

In response, the State Security Service of Azerbaijan coordinated with other state bodies to identify compromised systems and locations. Technical inspections revealed a widespread security flaw in the surveillance devices.

The vulnerability was reported to the foreign manufacturer of the equipment, with an urgent request for a fix. Illegally uploaded footage has since been removed from affected platforms.

Citizens are urged to avoid using devices of unknown origin and follow best practices when managing digital systems. Authorities emphasised the importance of protecting personal data and maintaining cyber hygiene.

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Scammers use fake celebrities to steal millions in crypto fraud

Fraudsters increasingly pretend to be celebrities to deceive people into fake cryptocurrency schemes. Richard Lyons lost $10,000 after falling for a scam involving a fake Elon Musk, who used an AI-generated voice and images to make the investment offer appear authentic.

The FBI has highlighted a sharp rise in crypto scams during 2024, with billions lost as fraudsters pose as financial experts or love interests. Many scams involve fake websites that mimic legitimate investment platforms, showing false gains before stealing funds.

Lyons was shown a fake web page indicating his investment had grown to $50,000 before the scam was uncovered.

Experts warn that thorough research and caution are essential when approached online with investment offers. The FBI urges potential investors to consult trusted advisers and avoid sending money to strangers.

Blockchain firms like Lionsgate Network now offer rapid tracing of stolen crypto, although recovery is usually limited to high-value cases.

Lyons described the scam’s impact as devastating, leaving him struggling with everyday expenses. Authorities advise anyone targeted by similar frauds to report promptly for a better chance of recovery and protection.

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Court convicts duo in UK crypto fraud worth $2 million

A UK court has sentenced Raymondip Bedi and Patrick Mavanga to a combined 12 years in prison for a cryptocurrency fraud scheme that defrauded 65 victims of around $2 million. Between 2017 and 2019, the pair cold-called investors posing as advisers, which led them to fake crypto websites.

Bedi was sentenced to five years and four months, while Mavanga received six years and six months behind bars. Both operated under CCX Capital and Astaria Group LLP, deliberately bypassing financial regulations to extract illicit gains.

The scam targeted retail investors with little crypto experience, luring them with promises of high profits and misleading sales materials.

Victim impact statements revealed severe financial and emotional consequences. Some lost their life savings or fell into debt, and others developed mental health issues. Mavanga was also found guilty of hiding incriminating evidence during the investigation.

The Financial Conduct Authority (FCA) led the prosecution amid a heavy backlog of crypto fraud cases, exposing regulators’ challenges in enforcing laws.

The court encouraged victims to seek support and highlighted the need for vigilance against similar scams. While the prosecution offers closure for some, the lengthy process underscores the ongoing difficulties in policing the fast-evolving crypto market.

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Ransomware gangs feud after M&S cyberattack

A turf war has erupted between two significant ransomware gangs, DragonForce and RansomHub, following cyberattacks on UK retailers including Marks and Spencer and Harrods.

Security experts warn that the feud could result in companies being extorted multiple times as criminal groups compete to control the lucrative ransomware-as-a-service (RaaS) market.

DragonForce, a predominantly Russian-speaking group, reportedly triggered the conflict by rebranding as a cartel and expanding its affiliate base.

Tensions escalated after RansomHub’s dark-web site was taken offline in what is believed to be a hostile move by DragonForce, prompting retaliation through digital vandalism.

Cybersecurity analysts say the breakdown in relationships between hacking groups has created instability, increasing the likelihood of future attacks. Experts also point to a growing risk of follow-up extortion attempts by affiliates when criminal partnerships collapse.

The rivalry reflects the ruthless dynamics of the ransomware economy, which is forecast to cost businesses $10 trillion globally by the end of 2025. Victims now face not only technical challenges but also the legal and financial fallout of navigating increasingly unpredictable criminal networks.

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How agentic AI is transforming cybersecurity

Cybersecurity is gaining a new teammate—one that never sleeps and acts independently. Agentic AI doesn’t wait for instructions. It detects threats, investigates, and responds in real-time. This new class of AI is beginning to change the way we approach cyber defence.

Unlike traditional AI systems, Agentic AI operates with autonomy. It sets objectives, adapts to environments, and self-corrects without waiting for human input. In cybersecurity, this means instant detection and response, beyond simple automation.

With networks more complex than ever, security teams are stretched thin. Agentic AI offers relief by executing actions like isolating compromised systems or rewriting firewall rules. This technology promises to ease alert fatigue and keep up with evasive threats.

A 2025 Deloitte report says 25% of GenAI-using firms will pilot Agentic AI this year. SailPoint found that 98% of organisations will expand AI agent use in the next 12 months. But rapid adoption also raises concern—96% of tech workers see AI agents as security risks.

The integration of AI agents is expanding to cloud, endpoints, and even physical security. Yet with new power comes new vulnerabilities—from adversaries mimicking AI behaviour to the risk of excessive automation without human checks.

Key challenges include ethical bias, unpredictable errors, and uncertain regulation. In sectors like healthcare and finance, oversight and governance must keep pace. The solution lies in balanced control and continuous human-AI collaboration.

Cybersecurity careers are shifting in response. Hybrid roles such as AI Security Analysts and Threat Intelligence Automation Architects are emerging. To stay relevant, professionals must bridge AI knowledge with security architecture.

Agentic AI is redefining cybersecurity. It boosts speed and intelligence but demands new skills and strong leadership. Adaptation is essential for those who wish to thrive in tomorrow’s AI-driven security landscape.

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Ransomware disrupts Ingram Micro’s systems and operations

Ingram Micro has confirmed a ransomware attack that affected internal systems and forced some services offline. The global IT distributor says it acted quickly to contain the incident, implemented mitigation steps, and involved cybersecurity experts.

The company is working with a third-party firm to investigate the breach and has informed law enforcement. Order processing and shipping operations have been disrupted while systems are being restored.

While details remain limited, the attack is reportedly linked to the SafePay ransomware group.

According to BleepingComputer, the gang exploited Ingram’s GlobalProtect VPN to gain access last Thursday.

In response, Ingram Micro shut down multiple platforms, including GlobalProtect VPN and its Xvantage AI platform. Employees were instructed to work remotely as a precaution during the response effort.

SafePay first appeared in late 2024 and has targeted over 220 companies. It often breaches networks using password spraying and compromised credentials, primarily through VPNs.

Ingram Micro has not disclosed what data was accessed or the size of the ransom demand.

The company apologised for the disruption and said it is working to restore systems as quickly as possible.

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