From identity theft to account takeovers, today’s consumers and businesses alike are at high risk for online security breaches. Criminals are targeting companies across every industry, including health care, social media, finance, tech and retail. Cybercrime is not limited to the theft of money, intellectual property and financial data, but it also negatively affects a company’s productivity and reputation. While some companies can recover from these cyberattacks, others cannot withstand the financial repercussions and are forced to shut down entirely. Within the first two months of 2023, we have already witnessed several high-profile online security breaches. By 2025, cybercrime is predicted to result in a global economic loss of $10.5 trillion. As high-profile companies and grassroots small businesses alike are targeted and compromised, it’s clear that a robust online security solution is as important as ever. To better protect your business from cybercrime now and in coming years, it’s necessary to identify the key trends in online fraud. Here are the predominant online fraud trends and security threats that experts are predicting for 2023.
- Recurring fraud: A Veriff study reported that recurring fraud rose by 50% in 2022. Criminals are likely to leverage multiple attacks against systems they’ve already successfully infiltrated.
- Identity farming: Identity farming is a form of cyber fraud in which a cybercriminal creates fake accounts on mass using stolen user information, and then uses these accounts as tools to engage in all types of fraud.
- Deepfakes: Deepfakes are photo alterations that enable cybercriminals to manipulate stolen photos and documents for fraudulent identity verification purposes. Attacker access to AI (Artificial Intelligence): As artificial intelligence becomes more sophisticated and popular, cyber attackers and fraudsters may manipulate AI technology to automate attacks and bypass security defenses.
- Spear Phishing: This form of phishing involves sending fraudulent emails from trusted senders. Spear phishing often uses familiar phrasing, tone, or content, sometimes customized as a corporate advertising effort, to compromise businesses by targeting specific employees.
- Cloud Vulnerabilities: Cloud services are popular because of their simplicity of use, but without proper security, they can be more easily breached than traditional storage solutions. One study showed that 27% of organizations using a public cloud infrastructure reported a security incident.
- Ransomware as a Service: Ransomware is a well-known cyber security issue, but recent years have illuminated a trend of less-sophisticated hackers buying ready-made kits known as “Ransomware as a Service.” The kits typically target small businesses with weaker online security.