The number of data breaches globally in 2024 has already exceeded 2023 before the year is up, meaning that firms and consumers need to stay vigilant in order to keep data safe, according to Experian, the credit score and comparison firm.
Typically, fraudsters are associated with middle-aged criminals. However, while the average age of someone arrested for a crime is 37, the Experian report reveals that according to the FBI, cyber hacking is now committed by those with an average age of 19. Many youngsters are recruited by sophisticated fraudsters who communicate with them through online gaming, chat and social media.
The report notes that as more states pass legislation against revenge porn, cyberbullying, and other forms of online fraudulent attacks, we may see a dramatic increase in the number of teens prosecuted for hacking and fraud.
The second major point made by the report is that internal fraud is on the rise. Organisations must capitalise on all the tech available to them to stay ahead of the competition, and this includes teaching employees how to properly utilise artificial intelligence (AI). However, this education may not just be used for good. Experian predicts in the report that at least one brand will likely by impacted by fraud perpetrated by an insider to whom it provided educational AI training.
Who and what is getting attacked
The report also shows that cybercriminals have more targets and entry points when targeting data centres now as a result of generative AI. On average, a single ChatGPT query uses nearly 10 times more electricity to process than a standard Google search.
Globally, the problem is exacerbated. Cloud infrastructure and data centre technology and security vary wildly from country to country. Within the next year, cyber attackers may successfully jeopardise a nation-state’s cloud infrastructure through an attack on the power needed to run it.
There is no honour amongst thieves though, as hackers aren’t safe from other cybercriminals. The next year may also see a marked increase in hacker-on-hacker attacks either for political or monetary reasons. These incidents highlight how the boundaries between predator and prey in the digital world are increasingly blurred.
The next line of defence
Normal 256 Bit Encryption is becoming obsolete, and AI-driven fraud is increasing in sophistication so quickly that fraudsters will soon be able to create virtually undiscernible proof-of-life documents that will fool even the most discriminating eye or identification system.
Michael Bruemmer, vice president of Global Data Breach Resolution at Experian
To combat this evolving reality, nation-states and government agencies could move to dynamic identification that will replace static driver’s licenses and social security cards with dynamic PII that continually changes like an online 3D barcode used for event tickets.
“While supply chain breaches and ransomware dominated the cyber landscape in 2024, AI-related incidents will likely become a major headline maker in 2025,” said Michael Bruemmer, vice president of Global Data Breach Resolution at Experian.
“Investments in cybersecurity will increase to tackle this emerging threat while hackers are having a field day leveraging it for everything from phishing attacks and password cracking to producing malware and deepfakes.”
Jim Steven, head of crisis and data response services at Experian
“We expect that globally data breaches continue at the current pace next year with ransomware being even more sophisticated with the use of AI,” added Jim Steven, head of crisis and data response services at Experian Global Data Breach Resolution in the United Kingdom. “We may also see threat actors escalating risks to gain greater rewards and the use of consumer data to damage reputations rising in 2025.”
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