AI-Powered Espionage: How India’s Cybersecurity Strategy Must Evolve
Introduction
In July 2025, the Digital Defence Report prepared by Microsoft raised an alarm that India is part of the top target countries in AI-powered nation-state cyberattacks with malicious agents automating phishing, creating convincing deepfakes, and influencing opinion with the help of generative AI (Microsoft Digital Defence Report, 2025). Most of the attention in the world has continued to be on the United States and Europe, but Asia-Pacific and especially India have become a major target in terms of AI-based cyber activities. This blog discusses the role of AI in espionage, redefining the threat environment of India, the reaction of the government, and what India can learn by looking at the example of cyber giants worldwide.
Understanding AI-Powered Cyber Espionage
Conventional cyber-espionage intends to hack systems, steal information or bring down networks. With the emergence of generative AI, these strategies have changed completely. It is now possible to automate reconnaissance, create fake voices and videos of authorities and create highly advanced phishing campaigns which can pass off as genuine even to a trained expert. According to the report made by Microsoft, AI is being used by state-sponsored groups to expand their activities and increase accuracy in victims (Microsoft Digital Defence Report, 2025). Based on SQ Magazine, almost 42 percent of state-based cyber campaigns in 2025 had AIs like adaptive malware or intelligent vulnerability scanners (SQ Magazine, 2025).
AI is altering the power dynamic of cyberspace. The tools previously needing significant technical expertise or substantial investments have become ubiquitous, and smaller countries can conduct sophisticated cyber operations as well as non-state actors. The outcome is the speeding up of the arms race with AI serving as the weapon and the armour.
India’s Exposure and Response
The weakness of the threat landscape lies in the growing online infrastructure and geopolitical location. The attack surface has expanded the magnitude of hundreds of millions of citizens with the integration of platforms like DigiLocker and CoWIN. Financial institutions, government portals and defence networks are increasingly becoming targets of cyber attacks that are more sophisticated. Faking videos of prominent figures, phishing letters with the official templates, and manipulation of the social media are currently all being a part of disinformation campaigns (Microsoft Digital Defence Report, 2025).
According to the Data Security Council of India (DSCI), the India Cyber Threat Report 2025 reported that attacks using AI are growing exponentially, particularly in the shape of malicious behaviour and social engineering (DSCI, 2025). The nodal cyber-response agency of India, CERT-In, has made several warnings regarding scams related to AI and AI-generated fake content that is aimed at stealing personal information or deceiving the population. Meanwhile, enforcement and red-teaming actions have been intensified, but the communication between central agencies and state police and the private platforms is not even. There is also an acute shortage of cybersecurity talents in India, as less than 20 percent of cyber defence jobs are occupied by qualified specialists (DSCI, 2025).
Government and Policy Evolution
The government response to AI-enabled threats is taking three forms, namely regulation, institutional enhancing, and capacity building. The Digital Personal Data Protection Act 2023 saw a major move in defining digital responsibility (Government of India, 2023). Nonetheless, threats that involve AI-specific issues like data poisoning, model manipulation, or automated disinformation remain grey areas. The following National Cybersecurity Strategy will attempt to remedy them by establishing AI-government guidelines and responsibility standards to major sectors.
At the institutional level, the efforts of such organisations as the National Critical Information Infrastructure Protection Centre (NCIIPC) and the Defence Cyber Agency are also being incorporated into their processes with the help of AI-based monitoring. There is also an emerging public-private initiative. As an example, the CyberPeace Foundation and national universities have signed a memorandum of understanding that currently facilitates the specialised training in AI-driven threat analysis and digital forensics (Times of India, August 2025). Even after these positive indications, India does not have any cohesive system of reporting cases of AI. The publication on arXiv in September 2025 underlines the importance of the fact that legal approaches to AI-failure reporting need to be developed by countries to approach AI-initiated failures in such fields as national security with accountability (arXiv, 2025).
Global Implications and Lessons for India
Major economies all over the world are increasing rapidly to integrate AI innovation with cybersecurity preparedness. The United States and United Kingdom are spending big on AI-enhanced military systems, performing machine learning in security operations hubs and organising AI-based “red team” exercises (Microsoft Digital Defence Report, 2025). Japan is testing cross-ministry threat-sharing platforms that utilise AI analytics and real-time decision-making (Microsoft Digital Defence Report, 2025).
Four lessons can be distinguished as far as India is concerned.
- To begin with, the cyber defence should shift to proactive intelligence in place of reactive investigation. It is not only possible to detect the adversary behaviour after the attacks, but to simulate them in advance using AI.
- Second, teamwork is essential. The issue of cybersecurity cannot be entrusted to government enforcement. The private sector that maintains the majority of the digital infrastructure in India must be actively involved in providing information and knowledge.
- Third, there is the issue of AI sovereignty. Building or hosting its own defensive AI tools in India will diminish dependence on foreign vendors, and minimise the possible vulnerabilities of the supply-chain.
- Lastly, the initial defence is digital literacy. The citizens should be trained on how to detect deepfakes, phishing, and other manipulated information. The importance of creating human awareness cannot be underestimated as much as technical defences (SQ Magazine, 2025).
Conclusion
AI has altered the reasoning behind cyber warfare. There are quicker attacks, more difficult to trace and scalable as never before. In the case of India, it is no longer about developing better firewalls but rather the ability to develop anticipatory intelligence to counter AI-powered threats. This requires a national policy that incorporates technology, policy and education.
India can transform its vulnerability to strength with the sustained investment, ethical AI governance, and healthy cooperation between the government and the business sector. The following step in cybersecurity does not concern who possesses more firewalls than the other but aims to learn and adjust more quickly and successfully in a world where machines already belong to the battlefield (Microsoft Digital Defence Report, 2025).
References:
- Microsoft Digital Defense Report 2025
- India Cyber Threat Report 2025, DSCI
- Lucknow based organisations to help strengthen cybercrime research training policy ecosystem
- AI Cyber Attacks Statistics 2025: How Attacks, Deepfakes & Ransomware Have Escalated, SQ Magazine
- Incorporating AI Incident Reporting into Telecommunications Law and Policy: Insights from India.
- The Digital Personal Data Protection Act, 2023
Related Blogs
Introduction
With mobile phones at the centre of our working and personal lives, the SIM card, which was once just a plain chip that links phones with networks, has turned into a vital component of our online identity, SIM cloning has become a sneaky but powerful cyber-attack, where attackers are able to subvert multi-factor authentication (MFA), intercept sensitive messages, and empty bank accounts, frequently without the victim's immediate awareness. As threat actors are becoming more sophisticated, knowing the process, effects, and prevention of SIM cloning is essential for security professionals, telecom operators, and individuals alike.
Understanding SIM Cloning
SIM cloning is the act of making an exact copy of a victim's original SIM card. After cloning, the attacker's phone acts like the victim's, receiving calls, messages, and OTPs. This allows for a variety of cybercrimes, ranging from unauthorised financial transactions to social media account hijacking. The attacker virtually impersonates the victim, often leading to disastrous outcomes.
The cloning can be executed through various means:
● Phishing or Social Engineering: The attack compels the victim or a mobile carrier into divulging personal information or requesting a replacement SIM.
● SIM Swap Requests: Attackers use fake IDs or stolen credentials to make telecom providers port the victim's number to a new SIM.
● SS7 Protocol Exploitation: Certain sophisticated attacks target weaknesses in the Signalling System No. 7 (SS7) protocol employed by cellular networks to communicate.
● Hardware based SIM Cloning: Although uncommon, experienced attackers will clone SIMs through the use of specialized hardware and malware that steals authentication keys.
The Real-World Consequences
The harm inflicted by SIM cloning is systemic as well as personal. The victims are deprived of their phones and online accounts, realising the breach only when improper dealings or login attempts have occurred. The FBI reported over $50 million loss in 2023 from crimes associated with SIM, most of which involved cryptocurrency account and high net-worth persons.
Closer to home, Indian entrepreneurs, journalists, and fintech users have reported losing access to their numbers, only to have their WhatsApp, UPI, and banking apps taken over. In a few instances, the attackers even contacted contacts, posing as the victim to scam others.
Why the Threat Is Growing
Dependence on SMS-based OTPs is still a core vulnerability. Even as there are attempts to move towards app-based two-factor authentication (2FA), most banking, government, and e-commerce websites continue to employ SMS as their main authentication method. This reliance provides an entry point for attackers who can replicate a SIM and obtain OTPs without detection.
Vulnerabilities in telecom infrastructure are also a part of the issue. Insider attacks at telecom operators, where malicious employees handle fraud SIM swap requests, also keep cropping up. On top of that, most users are not even aware of what exactly SIM cloning is or how to identify it, leaving attackers with a head start.
Very often, the victims are only aware that their SIM has been cloned when they lose mobile service or notice unusual activity on their accounts. Red flags include loss of signal, failure to send or receive messages, and inability to receive OTPs. Alerts on password changes or unusual login attempts must never be taken lightly, particularly if this is coupled with loss of mobile service.
How Users Can Protect Themselves
● Use A Strong SIM Pin: This protects your SIM from access by unauthorized users should your phone be lost or stolen.
● Secure Personal Information: Don't post sensitive personal information online that can have a place in social engineering.
● Notify your Carrier of Suspicious Activity: If your phone suddenly has lost service or is behaving strangely, contact your mobile operator immediately.
● Register for Telecom Alerts: Many providers offer alerts to SIM swap or porting requests that are useful to preliminarily detect a possible takeover.
● Verify SIM card status using Sanchar Saathi: Visit [https://sancharsaathi.gov.in](https://sancharsaathi.gov.in) to check how many mobile numbers are issued using your ID. This government portal allows you to identify unauthorized or unknown SIM cards, helping prevent SIM swapping fraud. You can also request to block suspicious numbers linked to your identity.
Conclusion
SIM cloning is not a retrograde nod to vintage cybercrime; it's an effective method of exploitation, especially where there's a strong presence of SMS-based authentication. The attack vector is simple, but the damage it causes can be profound, both financial and reputational. With telecommunication networks forming the backbone of digital identity, users, regulators, and telecom service providers have to move in tandem. For the users, awareness is the best protection. For Telecoms, security must be a baseline requirement, not a value-add option. It's time to redefine mobile security, before your identity is in anyone else's hands.
References
● https://www.trai.gov.in/faqcategory/mobile-number-portability
● https://www.cert-in.org.in/PDF/Digital_Threat_Report_2024.pdf
● https://www.ic3.gov/PSA/2022/PSA220208/
● https://www.hdfcbank.com/personal/useful-links/security/beware-of-fraud/sim-swap
● https://security-gen.com/SecurityGen-Article-Cloning-SimCard.pdf
● https://www.p1sec.com/blog/understanding-ss7-attacks-vulnerabilities-impacts-and-protection-measures
Introduction:
Digital Forensics, as the term goes, “It is the process of collecting, preserving, identifying, analyzing, and presenting digital evidence in a way that the evidence is legally admitted.”
It is like a detective work in the digital realm, where investigators use various specific methods to find deleted files and to reveal destroyed messages.
The reason why Digital Forensics is an important field is because with the advancement of technology and the use of digital devices, the role of Digital Forensics in preserving the evidence and protecting our data from cybercrime is becoming more and more crucial.
Digital Forensics is used in various situations such as:
- Criminal Investigations: Digital Forensics enables investigators to trace back cyber threat actors and further identify victims of the crime to gather evidence needed to punish criminals.
- Legal issues: Digital Forensics might aid in legal matters involving intellectual property infringement and data breaches etc.
Types of Digital Data in Digital Forensics:
1.Persistent (Non-volatile) Data :-
- This type of Data Remains Intact When The Computer Is Turned Off.
- ex. Hard-disk, Flash-drives
2. Volatile Data :-
- These types of Data Would Be Lost When The Computer Is Turned Off.
- ex. Temp. Files, Unsaved OpenFiles, etc.
The Digital Forensics Process
The process is as follows
- Evidence Acquisition: This process involves making an exact copy (forensic image) of the storage devices such as hard drives, SSD or mobile devices. The goal is to preserve the original data without changing it.
- Data Recovery: After acquiring the forensic image, the analysts use tools to recover deleted, hidden or the encrypted data inside the device .
- Timeline Analysis: Analysts use timestamp information from files, and system logs to reconstruct the timeline of activities on a device. This helps in understanding how an incident spanned out and who was involved in it.
- Malware Analysis: In cases involving security breaches, analysts analyze malware samples to understand their behavior, impact, and origins. various reverse engineering techniques are used to analyze the malicious code.
Types of tools:
- Faraday Bags: Faraday bags are generally the first step in digital evidence capture. These bags are generally made of conductive materials, which are used to shield our electronic devices from external waves such as WiFi, Bluetooth, and mobile cellular signals, which in turn protects the digital evidence from external tampering.
- Data recovery : These types of software are generally used for the recovery of deleted files and their associated data. Ex. Magnet Forensics, Access data, X-Ways
- Disk imaging and analysis :These types of softwares are Generally used to replicate the data storage devices and then perform further analysis on it ex. FTKImager, Autopsy, and, Sleuth Kit
- File carving tools: They are generally used to extract information from the embedded files in the image made. Ex.Foremost, Binwalk, Scalpel
Some common tools:
- EnCase: It is a tool for acquiring, analyzing, and reporting digital evidence.
- Autopsy: It is an open-source platform generally used for analyzing hard drives and smartphones.
- Volatility: It is a framework used generally for memory forensics to analyze volatile memory dumps and extract info.
- Sleuth Kit: It is a package of CLI tools for investigating disk images and its associated file systems.
- Cellebrite UFED: It is a tool generally used for mobile forensics.
Challenges in the Field:
- Encryption: Encryption plays a major challenge as the encrypted data requires specialized techniques and tools for decryption.
- Anti-Forensic Techniques: Anti-Forensics techniques play a major challenge as the criminals often use anti-forensic methods to cover their tracks, making it challenging to get the digital evidence.
- Data Volume and Complexity: The large volume of digital data and the diversity of various devices create challenges in evidence collection and analysis.
The Future of Digital Forensics: A Perspective
With the growth of technology and the vast presence of digital data, the challenges and opportunities in Digital Forensics keep on updating themselves. Due to the onset of new technology and the ever growing necessity of cloud storage, mobile devices, and the IoT (Internet of Things), investigators will have to develop new strategies and should be ready to adapt and learn from the new shaping of the tech world.
Conclusion:
Digital Forensics is an essential field in the recent era for ensuring fairness in the digital era. By collecting, inspecting, and analyzing the digital data, the Digital Forensics investigators can arrive lawfully at the prosecution of criminals and the settlement of civil disputes. Nowadays with technology on one hand progressing continuously, the discipline of Digital Forensics will certainly become even more pivotal in the case of investigations in the years to come.
Introduction
In the ever-evolving world of technological innovation, a new chapter is being inscribed by the bold visionaries at Figure AI, a startup that is not merely capitalising on artificial intelligence rage but seeking to crest its very pinnacle. With the recent influx of a staggering $675 million in funding, this Sunnyvale, California-based enterprise has captured the imagination of industry giants and venture capitalists alike, all betting on a future where humanoid robots transcend the realm of science fiction to become an integral part of our daily lives.
The narrative of Figure AI's ascent is punctuated by the names of tech luminaries and corporate giants. Jeff Bezos, through his firm Explore Investments LLC, has infused a hefty $100 million into the venture. Microsoft, not to be outdone, has contributed a cool $95 million. Nvidia and an Amazon-affiliated fund have each bestowed $50 million upon Figure AI's ambitious endeavours. This surge of capital is a testament to the potential seen in the company's mission to develop general-purpose humanoid robots that promise to revolutionise industries and redefine human labour.
The Catalyst for Change
This investment craze can be traced back to the emergence of OpenAI's ChatGPT, a chatbot that caught the public eye in November 2022. Its success has not only ushered in a new era for AI but has also sparked a race among investors eager to stake their claim in startups determined to outshine their more established counterparts. OpenAI itself, once mulling over the acquisition of Figure AI, has now joined the ranks of its benefactors with a $5 million investment.
The roster of backers reads like a who's who of the tech and venture capital world. Intel's venture capital arm, LG Innotek, Samsung's investment group, Parkway Venture Capital, Align Ventures, ARK Venture Fund, Aliya Capital Partners, and Tamarack—all have invested their lot with Figure AI, signalling a broad consensus on the startup's potential to disrupt and innovate.
Yet, when probed for insights, these major players—Amazon, Nvidia, Microsoft, and Intel—have maintained a Sphinx-like silence, while Figure AI and other entities mentioned in the report have refrained from immediate responses to inquiries. This veil of secrecy only adds to the intrigue surrounding the company's prospects and the transformative impact its technology may have on society.
Need For AI Robots
Figure AI's robots are not mere assemblages of metal and circuitry; they are envisioned as versatile beings capable of navigating a multitude of environments and executing a diverse array of tasks. From working at aisles of warehouses to the bustling corridors of retail spaces, these humanoid automatons are being designed to fill the void of millions of jobs projected to remain vacant due to a shrinking human labour force.
The company's long-term mission statement is as audacious as it is altruistic: 'to develop general-purpose humanoids that make a positive impact on humanity and create a better life for future generations.' This noble pursuit is not just about engineering efficiency; it is about reshaping the very fabric of work, liberating humans from hazardous and menial tasks, and propelling us towards a future where our lives are enriched with purpose and fulfilment.
Conclusion
As we stand on the cusp of a new digital world, the strides of Figure AI serve as a beacon, illuminating the path towards machine and human symbiosis. The investment frenzy that has enveloped the company is a clarion call to all dreamers, pragmatists and innovators alike that the age of humanoid helpers is upon us, and the possibilities are as endless as our collective imagination.
Figure AI is forging a future where robots walk among us, not as novelties or overlords but as partners in forging a world where technology and humanity work together to unlock untold potential. The story of Figure AI is not just one of investment and innovation; it is a narrative of hope, a testament to the indomitable spirit of human ingenuity, and a preview of the wondrous epoch that lies just beyond the horizon.
References
- https://cybernews.com/tech/openai-bezos-nvidia-fund-robot-startup-figure-ai/
- https://www.thedailystar.net/business/news/bezos-nvidia-join-openai-funding-humanoid-robot-startup-3551476
- https://www.bloomberg.com/news/articles/2024-02-23/bezos-nvidia-join-openai-microsoft-in-funding-humanoid-robot-startup-figure-ai
- https://economictimes.indiatimes.com/tech/technology/bezos-nvidia-join-openai-in-funding-humanoid-robot-startup-report/articleshow/107967102.cms?from=mdr
