AI Automation
8 min read

What are bad actors using AI for?

Published on
August 7, 2025
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Your inbox dings. It’s an urgent message from your CFO: “Need wire transfer for vendor—$48,900. ASAP.”

Everything looks legit—signature, writing style, branding. Hell, it even references Thursday’s budget call. Only... your CFO is on vacation, and you’re fairly certain he wouldn’t use “ASAP” in a sentence unless someone’s hair was on fire.

Welcome to cybercrime in the AI era.

Why does this matter right now?

Because bad actors—hackers, scammers, fraud rings, whatever you want to call them—are no longer bored teens in basements. They’re organized, creative, and increasingly using AI to scale attacks with insane speed and precision. Think criminal SaaS with ChatGPT plugins.

And it’s not just enterprise targets getting hit. Small and mid-size businesses are juicy, under-defended targets. The more connected your systems (sales, marketing, IT), the bigger the surface they can hit.

By 2025, global cybercrime costs are projected to hit $10.5 trillion a year. Trillion, with a T. That’s not just lost money—that’s disruption, downtime, legal pain, reputation hits, and stressed-out teams who’d rather be doing actual work.

So let’s cut through the clickbait and lay it out clearly: what are the bad actors doing with AI—and what can you do about it?

1. AI-Powered Phishing & Social Engineering

Remember when phishing emails were full of typos and written like a ransom note from your weird uncle? Yeah. Those days are gone.

Now, 82.6% of phishing emails contain AI-generated content. Even worse: 78% of recipients actually open those emails. Why? Because they’re really well-written. AI doesn’t just check grammar—it mimics tone, structure, and even internal lingo when trained right. That makes these attacks:

  • Faster: Phishing content can be pumped out 40% faster with AI
  • More scalable: Generate personalized messages for thousands of targets at once
  • Harder to spot: They don’t scream “Nigerian prince”—they look like Mark from Accounts

If your team isn’t trained to spot these, you’re gambling with your data and dollars every day.

2. Malware, Ransomware, and Exploit Kits on Demand

Hackers are now using generative AI to write malware code and spin up fake websites and payloads faster than ever.

This isn’t just some hoodie-wearing hacker in a Reddit thread. Ransomware-as-a-Service is an actual business model now, and AI makes it slicker. Would you rather build a clunky landing page by hand or use AI to auto-generate 20 variations in minutes? Exactly—and cybercriminals think the same way.

They're also exploiting vulnerabilities within AI frameworks themselves. Like a judo move, using the tech’s own power to breach it.

One major hack in 2024 used a flaw in an AI framework to attack firms in crypto, education, and biotech. It's like finding out your alarm system has a back door—and someone gave out the keys.

3. Data Poisoning & Prompt Injection (a.k.a. Model Hacking)

If your company is using AI models—especially home-trained ones—to make decisions, generate content, or analyze customer inputs, congrats: you’ve got a new attack vector.

Data poisoning is when attackers sneak bad data into your training set, subtly warping your AI’s output. Prompt injection is when they manipulate an input in a way that hijacks your AI’s behavior.

This is like slipping the chef rotten ingredients without them noticing. The meal looks okay—until people start getting sick… or sued.

High-value sectors like finance and healthcare are especially at risk. But any business relying on AI without guardrails could be unintentionally sending garbage downstream—fast.

4. Deepfakes & Voice Cloning (a.k.a. The New “Hey, It’s Me” Scam)

You know those janky deepfake videos from a few years ago? They’ve grown up—and gotten a job in social engineering.

AI-generated voice clones and deepfake videos are now being used to impersonate executives, clients, even your own team members. Picture a Zoom call with your “CEO” asking for sensitive info. Or a voice message that sounds suspiciously like your CMO, directing you to click a link.

In 2024, we saw multiple B2B payment fraud cases where someone impersonated a vendor or partner through voice clone scams. It’s scary believable. And even if your team is 99% vigilant—1% is all it takes.

5. Automated Credential & Password Attacks

Brute-force attacks used to be crude. Now, AI can learn your password patterns, scrape employee data, and make educated guesses at scale. Fast.

It’s like handing a robot your company directory and saying “go try a million combinations.” Spoiler: it will.

Password cracking and credential harvesting are faster, cheaper, and more successful now thanks to AI. Two-factor isn't enough anymore. Adaptive security is the new bar.

This Isn’t Just a Security Problem—It’s a Business Resilience Problem

Let’s be real: if your marketing data vanishes, leads dry up.

If your sales funnel gets compromised, deals don’t close.

If your team wastes days on recovery instead of revenue-building, you lose momentum. It’s all connected.

73% of enterprises using AI have already experienced breaches, and the average one costs $4.8 million. For smaller teams, that’s existential.

Even worse? AI-related breaches take an average of 290 days to contain. By then, damage is deep.

So What Can Small Teams Actually Do?

This isn’t about fear—it’s about focus. Here’s how scrappy teams can get ahead:

✅ Invest in AI-Specific Security

Traditional antivirus won’t catch a model injection. Make sure your cybersecurity partners understand AI vulnerabilities—not just endpoints.

Look into tools focused on detecting weird AI behavior, not just malware signatures. Behavioral and anomaly-based systems are the new standard.

✅ Train Your Team Like They’re On the Front Lines (Because They Are)

Phishing training shouldn’t be a checkbox once a year. The tactics evolve fast, and your people are your firewall. Arm them accordingly.

Run simulations. Teach them what AI-generated attacks look like. Share examples of how attackers use company lingo to trick them.

✅ Treat AI Governance Like Data Governance

Audit your models. Check your inputs. Monitor where and how you’re deploying AI in your workflows. Every prompt is a potential liability if left ungoverned.

✅ Monitor, Respond, Iterate

Prevention is great. Response time is better. If you don’t already know your average time to detect and respond to an attack, fix that now. 290 days is way too long.

Deploy AI-powered defense tools that talk to your systems instead of adding more alerts no one reads. Bonus points if you connect detection to automation that shuts down threats automatically.

TL;DR: The Same Tools That Make You Faster Can Be Used Against You

AI is a double-edged sword. You can use it to scale marketing, sales, support—and you should. But you have to secure it.

Because your competitors might be using AI to optimize campaigns.

But some kid with a grudge—or a ransomware group with millions—might be using it to write a phishing email from “you” while you’re reading this.

What makes AI awesome is also what makes it dangerous in the wrong hands: speed, scale, realism, precision.

Want Help Building AI Systems That Don’t Blow Up In Your Face?

That’s literally what we do. At Timebender, we build targeted, tested automation systems for lean businesses—smart AI that works with your human team, not behind their backs.

If you're using AI—or planning to—and want to make sure it's secure, performant, and aligned with your real workflow goals, we should talk.

Book a free Workflow Optimization Session and we’ll map out what’s working, what’s risky, and where automations could move the needle without opening a can of worms.

No pressure, no pitch—you’ll get clarity either way. And maybe save yourself from being tomorrow’s breach headline.

Sources

River Braun
Timebender-in-Chief

River Braun, founder of Timebender, is an AI consultant and systems strategist with over a decade of experience helping service-based businesses streamline operations, automate marketing, and scale sustainably. With a background in business law and digital marketing, River blends strategic insight with practical tools—empowering small teams and solopreneurs to reclaim their time and grow without burnout.

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