The emergence of AI-driven identity attacks in shaping the modern threat landscape

AI-driven identity attacks are on the rise, with attackers using advanced techniques to defraud organizations and individuals of millions. Nation-state attackers and cybercrime gangs are leveraging AI to launch sophisticated identity-based attacks, including synthetic identity fraud aimed at financial institutions and retailers.

According to a recent report, financial institutions face a staggering $3.1 billion in exposure to suspected synthetic identity fraud, with suspected digital fraud found in nearly 14% of all newly created global digital accounts last year. Retail, travel, leisure, and video games are among the hardest-hit industries.

Deepfakes, a cutting-edge AI technology, have seen a 3,000% increase in usage last year alone, with incidents expected to reach 140,000-150,000 globally in 2024. Deepfakes are involved in nearly 20% of synthetic identity fraud cases, making it the fastest-growing category of weaponized AI.

Despite the growing threat of AI-driven attacks, many organizations are not adequately prepared. A recent report found that one in three organizations lack a documented strategy to address gen AI risks, with 60% of CISOs, CIOs, and IT leaders fearing their organizations are not ready to defend against AI-powered threats.

To combat AI-based identity attacks, organizations are advised to adopt passwordless authentication technologies, biometrics, and AI-enabled APIs. Leading providers like Microsoft Azure Active Directory and Thales SafeNet Trusted Access offer solutions that resist AI-driven attacks while improving user experience.

In the face of evolving threats, organizations must prioritize cybersecurity safeguards that are invisible to users and invest in technologies that can effectively counter AI-driven attacks. Failure to do so could leave organizations vulnerable to the growing sophistication of AI-powered threats.