Authorities in Australia have arrested two men believed to be members of TeamPCP, a prolific cybercrime and data extortion group blamed for perpetrating the longest running spree of software supply chain attacks ever.

In a statement released today, the Australian Federal Police (AFP) said two men from Western Australia, aged 21 and 23, were arrested in connection with a “sophisticated cybercrime syndicate that allegedly created malicious open-source software to rob thousands of global businesses.”

The AFP did not name the defendants, but KrebsOnSecurity learned the 21-year-old suspect’s real identity in June, and has been communicating with him ever since. This story includes interviews with TeamPCP’s self-described spokesperson, and examines clues left behind by the TeamPCP leader that likely led to his undoing.

TeamPCP vaulted onto the cybercrime scene in late 2025, embedding malicious code in hundreds of open source software tools and extorting victims for profit. Members of the group made headlines by compromising corporate cloud environments using a self-propagating worm dubbed Shai-Hulud, which added malicious code to open source programs maintained by developers whose credentials at public code repositories like GitHub or NPM were phished or stolen.

Writing for Wired, journalist Andy Greenberg described TeamPCP’s core tactic as a kind of cyclical exploitation of software developers.

“The hackers gain access to a network where an open source tool commonly used by coders is being developed,” Greenberg wrote in May. “The hackers plant malware in the tool that ends up on other software developers’ machines, including some who are writing other tools intended to be used by coders. The malware allows TeamPCP’s hackers to steal credentials that let them publish malicious versions of those software development tools, too. The cycle repeats, and TeamPCP’s collection of breached networks grows.”

TeamPCP also has practiced something akin to cyclical recruitment. In May, the source code for the third iteration of Shai-Hulud was published online, and TeamPCP soon after launched a contest offering $1,000 in virtual currency to whichever participant could conduct the largest supply chain operation using the worm’s code. According to the contest rules, participants were scored based on the number of weekly and monthly downloads of packages they compromised — directly incentivizing them to target the most popular code libraries.

“TeamPCP has stated the competition is a recruiting opportunity and they intend to purchase all meaningful access harvested from participants’ campaigns,” the security firm Dataminr wrote. “The $1,000 XMR (Monero) prize is a recruitment floor and has been dismissed by the actor as ‘just like participation trophy,’ adding ‘if you find something good you will be paid way more,’ confirming the contest’s true function as talent identification and malicious access acquisition at scale.”

In March, TeamPCP executed a supply chain attack targeting AI infrastructure by compromising the code for LiteLLM, an open source AI gateway that connects users to more than 100 different large language models. A recent analysis by the security firm CloudSEK found TeamPCPs attack on LiteLLM harvested cloud service keys and other secrets from more than 2,500 organizations, including many of the world’s top technology companies.

In May, TeamPCP claimed credit for compromising at least 3,800 code repositories at the Microsoft-owned GitHub, after a GitHub developer installed a code extension that was compromised by TeamPCP’s malware.

MEET THE CYBERCATS

Security experts say TeamPCP is less of a hacker group than an amalgamation of threat actors from multiple cybercriminal gangs who sometimes work together toward similar goals.

“It is not a structured criminal crew with a single operator,” said Austin Larsen, a principal threat analyst with the Google Threat Intelligence Group. “It is a peer community of individually-skilled actors, with one clear center of gravity.”

That center of gravity is George Prepakis, an accomplished security researcher and self-described exploit developer who operates the Twitter/X profile @kernelstub. Earlier this year, @kernelstub tweeted a public invite link to a Matrix chat server he created and dubbed “Cybercats,” and TeamPCP and several other cybercrime entities have been using this server to communicate daily for the past several months.

Kernelstub, like other administrators in the Cybercats chat, has been using his Twitter/X profile name as his handle in these Matrix communications, frequently tweeting references to other members and to conversations taking place in the Cybercats chat. In a number of cases, the corresponding X accounts for members of the Cybercats chat taunted cybercrime victims publicly before the incidents were reported in the news media.

The Cybercats administrator listed at the top of the screenshot above — “Boxturtle” — is a close associate of TeamPCP who has been tweeting about the group’s conquests under the name @xpl0itrsturtle. This handle corresponds to a data breach broker active on Breachforums and Darkforums who has been selling data stolen in a wave of recent breaches at automobile manufacturers, including BMW Group, Audi, Honda, Mercedes-Benz, Volvo and Toyota, as well as data allegedly taken from Snapchat and SportRadar.

The Cybercats administrator “SeesawSec” in the screenshot above is the alias of whoever is behind the cybercrime group known as Fulcrumsec, which recently claimed credit for data extortion attacks against the pharmaceutical giant Novo Nordisk, the data broker LexisNexis, and Avnet, a Fortune 500 distributor of electronic components.

The Cybercats administrator “@pcpcasper” also has been using a similar name on X to discuss TeamPCP’s attacks and victims. This person has an extensive message history on Telegram, where their messages and shared videos show @pcpcasper is an active and vocal member of the National Socialist Network, a neo-Nazi political organization based in Australia.

At one point in these chats, @pcpcasper shared videos and images of what they claimed was their cat, and several of those videos place this user in Western Australia. One source close to the investigation told KrebsOnSecurity that @pcpcasper was one of the two arrested, a claim supported by messages that @kernelstub posted online this morning.

The Cybercats member roster pictured above also features an administrator with the username “T,” which is short for the now-banned Twitter/X profile @pcpcats, the account operated by the self-described TeamPCP spokesperson who was arrested today. As we’ll see in a moment, @pcpcats also is from Western Australia.

By the time @kernelstub tweeted a public invite link to the Cybercats Matrix server, T/@pcpcats was posting only infrequently to the group chat, with other members often inquiring as to his whereabouts and well-being. The group’s collective concern related to @pcpcats’s tendency to blame his increasingly extended absences on the use of hallucinogens and other narcotics that kept him awake for days on end, but also caused him to crash in bed for several days after the highs wore off.

WHO IS THE TEAMPCP LEADER?

The Cybercats member @pcpcats has used multiple nicknames on the cybercrime forums, including EllisD25/LSD on Darkforums, BulkDMT on Breachstars, and Express on Breachforums. These accounts are linked because they all advertised the same Tox ID and/or Session ID as instant message contact handles in their cybercrime forum posts. BulkDMT was also known on the forums as DMT Host, which was a virtual private server (VPS) hosting service that was peddled on Darkforums and Breachstars.

According to the cyber intelligence firm Intel 471, Express registered on Breachforums using the email address shitstickpp@gmail.com. Intel 471 finds Express posted on Breachforums across a two-month period in 2025 using four different Internet addresses located in South Africa. On July 30, 2025, Express announced on Breachforums they were selling access to 14 gigabytes of data stolen from South Africa’s State Information Technology Agency.

The threat intelligence platform Flashpoint recorded more than a year’s worth of messages from the TeamPCP leader’s alter ego on Telegram — Persy_PCP —  who claimed they split their life living between two countries [full disclosure: Flashpoint is an advertiser on this blog]. “I have these [files] as well, problem is these are in another country,” Persy_PCP explained to another user inquiring about a stolen data set in November 2025.

Later that month, Persy_PCP complained, “My whole country is racist and they want people like me dead.” Flashpoint records show BulkDMT shared in September 2025 that “this country is going to fucking starve when they take the farmers land,” a likely reference to white landowners in South Africa who claim to be targeted by an ongoing genocide campaign.

This tracks with public reporting on TeamPCP. Cyberscoop reported in June that Google had traced TeamPCP’s residential and mobile Internet address connections to South Africa, “indicating the primary operator was located there during at least some of its attacks.”

BulkDMT also shared on the group chat at Breachforums that they were recovering from an addiction to methamphetamine. “My life is kinda fucked rn [right now], but that’s fine and there isn’t really a point in pouring so much emotional energy into that fact, my parents had money but I unfortunately got really addicted to some things so I don’t get to benefit from that. As long as I continue to survive, stay sober, and move closer towards my goals that’s enough drive and meaning.”

The identity threat protection company SpyCloud finds shitstickpp@gmail.com shows up in the registration of an account called ChristmasSnow on the cybercrime community Raidforums in 2022. Nearly all of the Internet addresses used to access that account came from ISPs in Perth, Australia, SpyCloud found.

KrebsOnSecurity looked up all of those Perth IP addresses in passive DNS records maintained by DomainTools.com, and found one of them — 211.27.196.111 — for several years was used as a private file server by a family in Perth with the last name of Thomson. Those records show at least three hosts — ithomson.direct.quickconnect.to (a remote Synology server), kthomson0061.direct.quickconnect.to, and joshuawthomson39.myqnapcloud.com (a QNAP network storage device) — persisted at that address between 2022 and 2025.

Searching on “joshuathomson39” in the breach tracking service Constella Intelligence reveals an account at the freight forwarding company kwe.com created in the name of Joshua Thomson from Perth, Australia. The open source intelligence platform Epieos finds the phone number attached to that kwe.com account was used to register a Facebook profile for Josh Thomson, which says his family includes a brother named Ruben, his father Ian, and his mom Cindy.

That Facebook profile also says Josh and his family are originally from Pietermaritzburg, in KwaZulu-Natal, South Africa, but currently living in Cottesloe, a beach-side suburb of Perth. A search in DomainTools for Ian Thomson and Australia unearthed five domains by the same registrant, including securecomputing.au, thomson.org.au, and thomsonfamily.net.au. Ian Thomson is a dentist in Cottesloe, and a biography says he graduated from The University of the Witwatersrand in Johannesburg, South Africa.

Constella finds a joshua@thomson.org.au registered a number of accounts online, but Josh doesn’t seem to have much of a connection to dodgy cybercrime forums. His brother Ruben, on the other hand, has quite the presence on these communities, dating back to at least 2018. Constella reports ruben@thomson.org.au frequently reused the password “joshuathomson1,” and Constella further finds that password was used by just a handful of accounts, including yolosolo17@gmail.com and surfinup8@gmail.com.

According to Intel 471, surfinup8@gmail.com was used to register the user Yolosolo17 on the crime forum Altenen in 2018, and that user account was registered from the Perth address 110.141.230.15. On Altenen, Yolosolo17 advertised free web proxies, as well as the domain rubenthomson.com, which was at one point used to sell steeply discounted iPhones. DomainTools says rubenthomson.com was hosted at 110.141.230.15 and registered to surfinup8@gmail.com.

SpyCloud reports 10.141.230.15 was used by the email address sheepstealing@gmail.com on Raidforums and surfinup8@gmail.com on Nulled, and that the same IP was used by the email addresses ian@thomsonfamily.net.au, jasper@yakuza.cc, and rubenthomson1@gmail.com. SpyCloud also shows that sheepstealing Gmail address is tied to the accounts Sheep420, YoloSolo117 and Yakuza.cc on Raidforums, and to the account “Sheep Stealing” on Hackforums. Intel 471 says sheepstealing@gmail.com was used to register the account DingoFlour on Breachforums in October 2023, as well Sheepx on Altenen.

Epieos reports that ruben@securecomputing.au is tied to an Airbnb account for Ruben, who described himself as a Web developer who went to school at the University of Western Australia and was living outside the country. “Hey, I’m Ruben, my friends call me Ellis. I’m a Perth creative who occasionally books rooms when visiting family and for photography.”

Epieos also finds sheepstealing@gmail.com registered an upwork.com profile under the name Ruben, who said his main skills are setting up secure server hosting solutions and PHP full-stack Web development.

“I’m familiar with Linux, working with relational databases (SQL),” the Upwork profile reads. “I also script in Python mainly for writing social media bots.”

Epieos further discovered sheepstealing@gmail.com is connected to a Microsoft account for Ruben Thomson, and to a now-defunct GitHub account called XmasSnow/XmasSnowisBack that scammed people on the forums in 2022 by claiming to sell exclusive exploits for recently-released software patches (recall that shitstickpp@gmail.com was used to register a forum account named ChristmasSnow).

This same sheepstealing email address registered a Twitter/X account in 2026 called “Gone Fishing” that lists its location as South Africa. That Gmail account also left several reviews for businesses listed on Google Maps over the past seven years, but all of those establishments are located on the west coast of Australia.

The people search service Pipl finds a 21-year-old Ruben Thomson in Western Australia who has a phone number ending in 979. A lookup on that number at Epieos reveals it is connected to a TikTok account under the name Ellis, and to a PayPal account in the name of Ruben Thomson.

Finally, a search on the name Ruben Thomson from Cottesloe at the Australian government’s record of registered businesses finds he has incorporated or served as an official in multiple companies created since 2024, including Secure Computing Solutions, Tensor Industries, and another entity ironically named OPSEC Express. Recall that Express was BulkDMT’s nickname on Breachforums.

It’s ironic because OPSEC is short for the term “operational security,” which refers to techniques and behaviors used to obfuscate and compartmentalize one’s real-life identity online, and using your cybercrime handle as part of your own company name is very much the antithesis of that practice.

There is at least one other major opsec failure by Ruben that exposed a link to TeamPCP. In June 2025, someone using the name Ruben Thomson registered on HackerOne, a popular “bug bounty” program that seeks to reward and recognize researchers who agree to work with affected software vendors to help fix the flaws before publishing about their findings. What was Ruben Thomson’s chosen HackerOne username? Deadcatx3, a nickname that has been flagged by multiple security firms as an alias used by TeamPCP.

INTERVIEW WITH ELLIS

In early July 2026, not long after having discovered clues about Ellis’s real life identity, KrebsOnSecurity interviewed the TeamPCP leader via Signal, where he was remarkably open about his activities and personal struggles [for the sake of simplicity, the TeamPCP spokesperson will be referred to from here on as Ellis].

Ellis claims he stopped doing cybercrime for TeamPCP in March 2026 — just before the attacks that compromised LiteLLM — and that at least one other individual has taken over the group’s leadership since then. Ellis shared that a year earlier he had just completed the latest in a series of detox and sobriety programs, and was two months sober when he reconnected with some old friends from the malware development scene.

“One year ago I needed help monetizing some [GitHub credentials], I was two months sober and needed a distraction and something to keep busy as well as people to speak to,” Ellis said. “I had largely disconnected from my old circle, they had become very toxic and I needed to get away from the substances. Previously I had done some mass exploitation campaigns and grew up doing [malware development] and [capture the flag] contests. There were some friends who were also vending but had stopped a while, and one of them introduced me to some chats where I posted access for sale.”

Prior to that, Ellis said, he was homeless and hopping between “some very unstable places.”

“Blackhatting is fun,” he said. “There are actual rewards and incentives to learn and you grow with your team. Without qualifications, no employer will even take the time to hear you out.”

Ellis claims he’s earned a grand total of about $20,000 for his activities with TeamPCP, and that it was never about the money or fame for him. Asked whether his experiences with TeamPCP might prepare him for gainful employment in a legitimate IT job, Ellis said he doubted it.

“I am nowhere close to a skill level where I am comfortable, and this would take maybe half a decade of further experience,” he said. “I no longer have to choose between rent and food for that I’m grateful and so are the team members.”

Ellis expressed no remorse over his cybercrime activities, and said he was grateful for the friendships and relationships built throughout his engagement with TeamPCP. The young hacker also seemed resigned to his fate, and told KrebsOnSecurity that he’ll accept the consequences if he’s ever arrested.

“If I’ve already been found out then its out of my control, I’ll make peace with that,” he said. “Honestly, I think someone like me needs a lot of help that prison just can’t provide. If I had the funds to study different parts of the field and closer guidance, this would have turned out differently. But that’s a pipe dream and we both know this.”

It is clear from reading Ellis’s posts to the group’s Matrix server chats that his struggles with sobriety are ongoing. On Thursday, June 25, Ellis told @kernelstub he was about to “trip” with his “homie.”

“What kind,” @kernelstub inquired.

“Ketty and some DMT,” Ellis replied, referring to the dissociative anesthetic ketamine and dimethyltryptamine (DMT), a powerful psychedelic compound that is found naturally in some plants but is also synthetically produced in underground lab environments. “There’s a little 2cb so we might throw that in the mix,” he continued, referring to another psychedelic compound by its chemical shorthand.

Roughly two weeks before his arrest, Ellis told KrebsOnSecurity he was ready to leave his life of crime behind and was prepared to turn himself in, but that in the meantime he was making plans to tie up loose ends.

Less than 24 hours later, the TeamPCP leader posted an image on Telegram showing a yellowish powdered substance in a baggie and on a scale, possibly synthetic DMT. The image shows the powder being weighed next to a series of small vape cartridges, two of which are open on the table in front of the photographer.

The two defendants were arrested Wednesday morning. The AFP said the men face a combined 14 cybercrime offenses and are scheduled to appear in Perth Magistrates Court today.

Charlie Eriksen is a security researcher at Aikido Security who has closely followed TeamPCP’s cybercrime campaigns. Eriksen said TeamPCP are a good example of a new kind of threat actor that does not fit neatly into the usual categories.

“They are not a state actor, not quite organized cybercrime, and not purely ideological,” he said. “Their motivations seem to mix money, disruption, attention, and ideology.”

Eriksen said that historically there has always been a meaningful gap between reading about an attack technique and being able to reliably turn it into an operational campaign, but that large language models (LLMs) and artificial intelligence increasingly are helping threat actors to bypass that knowledge gap.

“You had to understand the research, adapt the code, troubleshoot it, build infrastructure around it, and then repeat that process across different targets,” he said. “LLMs have compressed that gap significantly.”

According to Eriksen, this creates an environment where threat actors suddenly have the ability to operate at significant scale without having developed the operational discipline that traditionally accompanies that level of capability. Put another way, it sets the stage for cybercriminals who are capable enough to cause significant damage, but not necessarily careful enough to understand or care about the consequences.

“They can be noisy, they can make mistakes,” he said. “They can leave evidence everywhere. They can take risks that a professional criminal group or intelligence service would consider completely unacceptable. But that does not necessarily make them less dangerous. In some ways, it can make them more dangerous.”

In a recent blog post, Eriksen called TeamPCP’s Shai-Hulud worm the “best thing to happen to supply chain security,” because it forced GitHub and other public coding platforms to erect new security safeguards.

In direct response to TeamPCP’s broad success at pushing poisoned versions of popular software packages, GitHub in late July introduced a three-day “cooldown” mechanism for Dependabot, the platform’s tool for auto-fetching newly shipped updates for any package dependencies. Cooldown periods are designed to help buy time for security tools and package maintainers to identify and remove any compromised versions. Other coding ecosystems like Python and various JavaScript platforms also added support for cooldown periods this year amid growing calls from security experts about the need for more widespread adoption of the safety feature.

Eriksen said TeamPCP’s legacy is that they achieved in the span of a few months what the supply chain security community has been unable to do for years.

“They managed to wake up Microsoft to the fact that they had become negligent in terms of security,” Eriksen said. “By compromising GitHub and stealing their source code, they humiliated Microsoft into action, making them finally act on what we had been asking them to do and take seriously for a while now.”

Update, 10:08 a.m. ET: A story this morning from ABC News in Australia confirms Ruben Ian Thomson of Cottesloe was one of the two arrested. The 23-year-old suspect thought to be @pcpcasper, Michael Gaebler, also was arrested in Perth. ABC News reports that Thomson was denied bail (Mr. Gaebler’s attorney reportedly did not request bail for his client), and that both men will be held in custody until their next court appearance on September 18.

AI-based assistants or “agents” — autonomous programs that have access to the user’s computer, files, online services and can automate virtually any task — are growing in popularity with developers and IT workers. But as so many eyebrow-raising headlines over the past few weeks have shown, these powerful and assertive new tools are rapidly shifting the security priorities for organizations, while blurring the lines between data and code, trusted co-worker and insider threat, ninja hacker and novice code jockey.

The new hotness in AI-based assistants — OpenClaw (formerly known as ClawdBot and Moltbot) — has seen rapid adoption since its release in November 2025. OpenClaw is an open-source autonomous AI agent designed to run locally on your computer and proactively take actions on your behalf without needing to be prompted.

If that sounds like a risky proposition or a dare, consider that OpenClaw is most useful when it has complete access to your digital life, where it can then manage your inbox and calendar, execute programs and tools, browse the Internet for information, and integrate with chat apps like Discord, Signal, Teams or WhatsApp.

Other more established AI assistants like Anthropic’s Claude and Microsoft’s Copilot also can do these things, but OpenClaw isn’t just a passive digital butler waiting for commands. Rather, it’s designed to take the initiative on your behalf based on what it knows about your life and its understanding of what you want done.

“The testimonials are remarkable,” the AI security firm Snyk observed. “Developers building websites from their phones while putting babies to sleep; users running entire companies through a lobster-themed AI; engineers who’ve set up autonomous code loops that fix tests, capture errors through webhooks, and open pull requests, all while they’re away from their desks.”

You can probably already see how this experimental technology could go sideways in a hurry. In late February, Summer Yue, the director of safety and alignment at Meta’s “superintelligence” lab, recounted on Twitter/X how she was fiddling with OpenClaw when the AI assistant suddenly began mass-deleting messages in her email inbox. The thread included screenshots of Yue frantically pleading with the preoccupied bot via instant message and ordering it to stop.

“Nothing humbles you like telling your OpenClaw ‘confirm before acting’ and watching it speedrun deleting your inbox,” Yue said. “I couldn’t stop it from my phone. I had to RUN to my Mac mini like I was defusing a bomb.”

There’s nothing wrong with feeling a little schadenfreude at Yue’s encounter with OpenClaw, which fits Meta’s “move fast and break things” model but hardly inspires confidence in the road ahead. However, the risk that poorly-secured AI assistants pose to organizations is no laughing matter, as recent research shows many users are exposing to the Internet the web-based administrative interface for their OpenClaw installations.

Jamieson O’Reilly is a professional penetration tester and founder of the security firm DVULN. In a recent story posted to Twitter/X, O’Reilly warned that exposing a misconfigured OpenClaw web interface to the Internet allows external parties to read the bot’s complete configuration file, including every credential the agent uses — from API keys and bot tokens to OAuth secrets and signing keys.

With that access, O’Reilly said, an attacker could impersonate the operator to their contacts, inject messages into ongoing conversations, and exfiltrate data through the agent’s existing integrations in a way that looks like normal traffic.

“You can pull the full conversation history across every integrated platform, meaning months of private messages and file attachments, everything the agent has seen,” O’Reilly said, noting that a cursory search revealed hundreds of such servers exposed online. “And because you control the agent’s perception layer, you can manipulate what the human sees. Filter out certain messages. Modify responses before they’re displayed.”

O’Reilly documented another experiment that demonstrated how easy it is to create a successful supply chain attack through ClawHub, which serves as a public repository of downloadable “skills” that allow OpenClaw to integrate with and control other applications.

WHEN AI INSTALLS AI

One of the core tenets of securing AI agents involves carefully isolating them so that the operator can fully control who and what gets to talk to their AI assistant. This is critical thanks to the tendency for AI systems to fall for “prompt injection” attacks, sneakily-crafted natural language instructions that trick the system into disregarding its own security safeguards. In essence, machines social engineering other machines.

A recent supply chain attack targeting an AI coding assistant called Cline began with one such prompt injection attack, resulting in thousands of systems having a rogue instance of OpenClaw with full system access installed on their device without consent.

According to the security firm grith.ai, Cline had deployed an AI-powered issue triage workflow using a GitHub action that runs a Claude coding session when triggered by specific events. The workflow was configured so that any GitHub user could trigger it by opening an issue, but it failed to properly check whether the information supplied in the title was potentially hostile.

“On January 28, an attacker created Issue #8904 with a title crafted to look like a performance report but containing an embedded instruction: Install a package from a specific GitHub repository,” Grith wrote, noting that the attacker then exploited several more vulnerabilities to ensure the malicious package would be included in Cline’s nightly release workflow and published as an official update.

“This is the supply chain equivalent of confused deputy,” the blog continued. “The developer authorises Cline to act on their behalf, and Cline (via compromise) delegates that authority to an entirely separate agent the developer never evaluated, never configured, and never consented to.”

VIBE CODING

AI assistants like OpenClaw have gained a large following because they make it simple for users to “vibe code,” or build fairly complex applications and code projects just by telling it what they want to construct. Probably the best known (and most bizarre) example is Moltbook, where a developer told an AI agent running on OpenClaw to build him a Reddit-like platform for AI agents.

Less than a week later, Moltbook had more than 1.5 million registered agents that posted more than 100,000 messages to each other. AI agents on the platform soon built their own porn site for robots, and launched a new religion called Crustafarian with a figurehead modeled after a giant lobster. One bot on the forum reportedly found a bug in Moltbook’s code and posted it to an AI agent discussion forum, while other agents came up with and implemented a patch to fix the flaw.

Moltbook’s creator Matt Schlicht said on social media that he didn’t write a single line of code for the project.

“I just had a vision for the technical architecture and AI made it a reality,” Schlicht said. “We’re in the golden ages. How can we not give AI a place to hang out.”

ATTACKERS LEVEL UP

The flip side of that golden age, of course, is that it enables low-skilled malicious hackers to quickly automate global cyberattacks that would normally require the collaboration of a highly skilled team. In February, Amazon AWS detailed an elaborate attack in which a Russian-speaking threat actor used multiple commercial AI services to compromise more than 600 FortiGate security appliances across at least 55 countries over a five week period.

AWS said the apparently low-skilled hacker used multiple AI services to plan and execute the attack, and to find exposed management ports and weak credentials with single-factor authentication.

“One serves as the primary tool developer, attack planner, and operational assistant,” AWS’s CJ Moses wrote. “A second is used as a supplementary attack planner when the actor needs help pivoting within a specific compromised network. In one observed instance, the actor submitted the complete internal topology of an active victim—IP addresses, hostnames, confirmed credentials, and identified services—and requested a step-by-step plan to compromise additional systems they could not access with their existing tools.”

“This activity is distinguished by the threat actor’s use of multiple commercial GenAI services to implement and scale well-known attack techniques throughout every phase of their operations, despite their limited technical capabilities,” Moses continued. “Notably, when this actor encountered hardened environments or more sophisticated defensive measures, they simply moved on to softer targets rather than persisting, underscoring that their advantage lies in AI-augmented efficiency and scale, not in deeper technical skill.”

For attackers, gaining that initial access or foothold into a target network is typically not the difficult part of the intrusion; the tougher bit involves finding ways to move laterally within the victim’s network and plunder important servers and databases. But experts at Orca Security warn that as organizations come to rely more on AI assistants, those agents potentially offer attackers a simpler way to move laterally inside a victim organization’s network post-compromise — by manipulating the AI agents that already have trusted access and some degree of autonomy within the victim’s network.

“By injecting prompt injections in overlooked fields that are fetched by AI agents, hackers can trick LLMs, abuse Agentic tools, and carry significant security incidents,” Orca’s Roi Nisimi and Saurav Hiremath wrote. “Organizations should now add a third pillar to their defense strategy: limiting AI fragility, the ability of agentic systems to be influenced, misled, or quietly weaponized across workflows. While AI boosts productivity and efficiency, it also creates one of the largest attack surfaces the internet has ever seen.”

BEWARE THE ‘LETHAL TRIFECTA’

This gradual dissolution of the traditional boundaries between data and code is one of the more troubling aspects of the AI era, said James Wilson, enterprise technology editor for the security news show Risky Business. Wilson said far too many OpenClaw users are installing the assistant on their personal devices without first placing any security or isolation boundaries around it, such as running it inside of a virtual machine, on an isolated network, with strict firewall rules dictating what kinds of traffic can go in and out.

“I’m a relatively highly skilled practitioner in the software and network engineering and computery space,” Wilson said. “I know I’m not comfortable using these agents unless I’ve done these things, but I think a lot of people are just spinning this up on their laptop and off it runs.”

One important model for managing risk with AI agents involves a concept dubbed the “lethal trifecta” by Simon Willison, co-creator of the Django Web framework. The lethal trifecta holds that if your system has access to private data, exposure to untrusted content, and a way to communicate externally, then it’s vulnerable to private data being stolen.

“If your agent combines these three features, an attacker can easily trick it into accessing your private data and sending it to the attacker,” Willison warned in a frequently cited blog post from June 2025.

As more companies and their employees begin using AI to vibe code software and applications, the volume of machine-generated code is likely to soon overwhelm any manual security reviews. In recognition of this reality, Anthropic recently debuted Claude Code Security, a beta feature that scans codebases for vulnerabilities and suggests targeted software patches for human review.

The U.S. stock market, which is currently heavily weighted toward seven tech giants that are all-in on AI, reacted swiftly to Anthropic’s announcement, wiping roughly $15 billion in market value from major cybersecurity companies in a single day. Laura Ellis, vice president of data and AI at the security firm Rapid7, said the market’s response reflects the growing role of AI in accelerating software development and improving developer productivity.

“The narrative moved quickly: AI is replacing AppSec,” Ellis wrote in a recent blog post. “AI is automating vulnerability detection. AI will make legacy security tooling redundant. The reality is more nuanced. Claude Code Security is a legitimate signal that AI is reshaping parts of the security landscape. The question is what parts, and what it means for the rest of the stack.”

DVULN founder O’Reilly said AI assistants are likely to become a common fixture in corporate environments — whether or not organizations are prepared to manage the new risks introduced by these tools, he said.

“The robot butlers are useful, they’re not going away and the economics of AI agents make widespread adoption inevitable regardless of the security tradeoffs involved,” O’Reilly wrote. “The question isn’t whether we’ll deploy them – we will – but whether we can adapt our security posture fast enough to survive doing so.”