AI integration by attackers is expected to intensify risks for businesses worldwide.
As 2025 draws to a close, cybersecurity firms have issued warnings about the evolving threat landscape in 2026. AI integration by attackers, combined with geopolitical tensions and regulatory changes, is expected to intensify risks for businesses worldwide.
Now, reports from Halcyon and VIPRE Security Group highlight ransomware, deepfakes, and vulnerabilities in IoT and supply chains as key concerns.
AI-Powered Ransomware & Malware Evolution
Halcyon anticipates that agentic AI will transform ransomware operations, allowing automated reconnaissance, privilege escalation, and real-time adaptation during attacks. This development could outpace traditional defences, particularly amid ongoing shortages in skilled security professionals. Halcyon’s Chief Strategy Officer, Oliver Newbury, emphasises building resilient architectures that maintain operations during attacks. Organisations prioritising cross-functional resilience and cooperation are best positioned for 2026.
VIPRE Security Group’s Chief Product & Technology Officer, Usman Choudhary, predicts the rise of AI-native malware ecosystems.
These systems will self-rewrite code to evade detection and use large language models to create autonomous exploit kits. Such tools will shorten the window from initial access to full compromise, lowering entry barriers for less experienced criminals and targeting small to medium enterprises as entry points to larger supply chains.
Deepfakes Fuelling Fraud & Social Engineering
Deepfake technology is set to proliferate through Fraud-as-a-Service models in 2026. Criminals will offer subscription access to realistic voice and video impersonations, often trained on publicly available data. This will drive increases in business email compromise incidents, including fraudulent payment demands and credential theft via simulated executive or vendor communications.
In hybrid work environments, distinguishing genuine interactions from synthetic ones will become more challenging, especially when combined with scraped personal details from social media.
IoT & Operational Technology Under Pressure
The expansion of connected devices will widen attack surfaces significantly. AI tools will enable large-scale scanning for IoT vulnerabilities, such as misconfigurations and outdated firmware. Critical sectors like healthcare, energy, logistics, and manufacturing face heightened risks of downtime, data manipulation, or process disruption.
Halcyon notes sharp rises in attacks on energy systems and operational technology credential theft, forecasting more disruptive incidents as interconnected systems become essential.
Supply Chain & Geopolitical Risks
Supply chain compromises will reach new heights, amplified by AI-generated malicious code and automated vulnerability scanning in software dependencies. Attackers may inject harmful components into open-source repositories or compromise third-party providers.
Halcyon also predicts closer convergence between nation-state espionage and criminal ransomware, with groups acting as proxies for state objectives. Geopolitical volatility will elevate risks for multinational organisations.
Additionally, investors are likely to tie funding to demonstrated cybersecurity maturity, while ransomware accountability extends beyond chief information security officers to executives in finance, operations, and legal teams.
Regulatory & Collaborative Responses
Recent legislative moves, including the UK’s Cyber Security and Resilience Bill introduced in November 2025, aim to strengthen critical infrastructure protections and expand incident reporting. Equivalent efforts in the US and EU may foster greater public-private operational collaboration against aggressive threat groups.
New global AI governance and privacy rules will increase compliance demands, making employee awareness training vital to counter human errors exacerbated by sophisticated threats.
Halcyon | VIPRE Image: Alex Hariyandi
Source: Cyber Security Intelligence