Cybercriminals are turning to artificial intelligence to strengthen their hacking methods, making it harder for companies to spot and stop data breaches. The country’s leading cybersecurity agency warned that this evolution could speed up widespread attacks, weaken national digital defences and expose key industries to more frequent threats. Recent events have revealed serious gaps in the systems of some of Australia's largest organisations.
In the past few months, multiple high-profile companies have experienced breaches. One major airline had its customer records leaked online when attackers demanded ransom payment. Similar attacks have previously hit health and telecom businesses, confirming that cyber intrusions are becoming more frequent, more costly and harder to deal with. The growing use of AI is a major factor, allowing criminals to carry out impersonation and social engineering tactics that blend into normal business communication.
Experts are raising alarms as advanced tools, many now powered by AI, are advancing faster than current security defences. In one reported case, hackers targeted international companies by exploiting known flaws in familiar cloud-based client software, using this to pressure victims through methods of online extortion. The financial impact on small businesses affected by cybercrime rose 8% to $50,000, while individuals suffered a 17% increase in losses, with average damages reaching $30,000 over the past year. Cybercrime is expected to cost the wider Australian economy $25.4 billion this year.
The government has introduced updated cybersecurity regulations, which include mandatory reporting of ransom payments within 72 hours for larger companies or those linked to critical infrastructure. Although there has been debate around banning ransom payments entirely, officials admit more information is needed before making such decisions. Authorities continue to urge organisations to focus not only on prevention but also on fast recovery, as complete protection from cyberattacks remains extremely difficult.
