How Are Cybercriminals Leveraging AI to Strengthen Scams?

It’s easy to feel scared about the state of internet safety today. Think about this recent cyberattack in Hong Kong: hackers using AI created a business video call with “real” executive team members and convinced an employee to wire $25 million. You might be shaking your head and thinking, “How could they possibly have fallen for that!?” but if you got a Zoom call that looked and sounded exactly like your boss, wouldn’t you be inclined to believe it?

This is just one example of how cybercriminals are using AI to strengthen their scams. Artificial intelligence has made everyone’s lives easier, including the bad guys. Learn about the new ways hackers are using AI and the tools and strategies you can use to defend against them.

How Does AI Strengthen Scams?

AI’s ability to process, analyze, and generate data has made it a powerful tool for criminals. Here’s how AI gives scammers an edge:

1. Increased Scale and Efficiency

AI enables cybercriminals to automate scamming processes, increasing their scale exponentially. For instance, phishing campaigns that once required manual effort can now target thousands—or millions—of people in seconds.

Using AI, a scammer could scrape LinkedIn profiles to craft personalized phishing emails that address recipients by name, mention recent events, and imitate a recruiter offering a job opportunity.

2. Mass Data Collection in Minutes

Advanced AI tools allow criminals to analyze massive amounts of publicly available data quickly. From social media posts to corporate directories, they build detailed profiles of potential victims.

A cybercriminal might use AI-powered tools to gather information about your hobbies, family members, and even travel plans from your social media, making their approach incredibly tailored and believable.

3. Real-Time Adaptation

AI can adapt in real time, tweaking its methods to bypass detection. Phishing websites, for example, can shift layouts or URLs to evade blacklists continually.

Imagine a phishing website that looks identical to your bank—and just as you realize it’s fake, its URL or format changes to fool detection tools.

4. Round-the-Clock Activity

Unlike humans, AI doesn’t need rest. It can work 24/7, sending phishing messages, making fraudulent calls, and targeting victims across different time zones, ensuring near-constant activity.

These capabilities give hackers using AI unprecedented power to scale their operations efficiently and personally, making scams much harder to identify and avoid.

Types of Scams Enhanced by AI

AI is not just improving old tricks—it’s creating new ones. Here are some of the most concerning types of scams being strengthened by hackers using AI.

1. Social Engineering and Phishing

AI algorithms generate highly convincing phishing messages that mimic human communication styles. By analyzing emails or social media activity, cybercriminals can replicate writing patterns, making their scams almost indistinguishable from legitimate communication.

Consider this tricky email: “Hi James, I saw you attended the Marketing Summit last week! Here’s the session video you asked for.” The link, of course, leads to malware.

2. Deepfakes and Manipulated Media

Deepfake technology uses AI to create hyper-realistic audio, video, or images. This has elevated scams like CEO fraud, where a deepfake voice or video of an executive is used to instruct employees to transfer money or share sensitive data.

A deepfake phone call from your CEO instructing you to approve a $5,000 wire transfer could sound eerily authentic.

3. Data Poisoning

Cybercriminals manipulate data that AI systems rely on, introducing malicious inputs to disrupt operational accuracy.

Corrupted data can compromise financial predictions or lead to costly errors in your company’s operations.

4. AI-Powered Malware

Traditional malware gets a significant upgrade with AI. These programs can learn from the devices they attack, continuously evolving to bypass security defenses.

AI-powered ransomware could analyze your defenses and adapt its attack to encrypt your most valuable data while avoiding detection.

With these enhanced tactics, scammers are becoming increasingly bold, efficient, and effective, targeting businesses and individuals alike.

How Do AI-Strengthened Scams Threaten Businesses?

The dangers of AI-enhanced cyberattacks extend far beyond individuals, posing serious risks to businesses of all sizes.

Financial Losses

Phishing scams, deepfake impersonations, and ransomware can result in unauthorized money transfers or costly cleanup efforts. According to a Thomson Reuters report, the average cost of a data breach reached $4.45 million in 2023.

Reputation Damage

Falling victim to a scam could erode customer trust and damage your brand’s reputation. Customers may view compromised businesses as careless or unsafe.

Data Breaches

AI-powered malware can target valuable customer or employee data. This not only creates regulatory and legal issues but puts sensitive information into the wrong hands.

Operational Disruption

Ransomware or phishing attacks can shut down operations, costing valuable productivity and, sometimes, millions of dollars in lost revenue.

Businesses must take proactive measures to create a strong defense against these emerging threats.

How to Avoid Falling for AI-Powered Scams

While cybercriminals are finding innovative ways to use AI maliciously, there are steps you can take to protect yourself and your organization:

1. Stay Skeptical of Unusual Requests

If you receive an unexpected email, call, or message asking for sensitive info or payments, double-check. Contact the sender through an official channel to verify the request.

2. Use Multi-Factor Authentication (MFA)

Even if criminals manage to steal your login credentials, MFA adds an extra layer of security. Apps like Google Authenticator or hardware security keys can make a significant difference.

3. Educate Employees and Teams

Host regular training sessions to help your employees recognize phishing attempts, spot deepfake content, and understand emerging cyberthreats.

4. Invest in Advanced Security Software

AI-enhanced scams require AI-driven defenses. Use cybersecurity tools capable of detecting patterns and identifying threats in real time.

5. Limit Sharing of Personal Information

Be cautious about what you share online. Adjust your social media privacy settings and avoid oversharing personal details.

6. Regularly Update Security Policies

Ensure your organization has up-to-date cybersecurity protocols. Take time to review them quarterly and adjust based on emerging threats.

By maintaining vigilance and implementing layered security measures, you’ll be better equipped to defend against hackers using AI.

Build Your Defense Against AI-Driven Cybercrime with Common Angle

AI is undoubtedly transforming the way we interact online. While its advancements offer incredible opportunities, they also provide cybercriminals with powerful tools to exploit weaknesses at an unprecedented scale.

Understanding how scammers are leveraging AI to refine their attacks is the first step in protecting yourself and your organization. Partnering with a cybersecurity provider is the next.  Common Angle will manage your defenses, train your team, and be your go-to partner in warding off the latest scams.

Schedule a call with us to talk about your organization’s defense strategy and start feeling confident about combatting hackers using AI.