The Year in Cybersecurity

In 2023, as organizations and governments embraced emerging technologies to expedite digital transformations, their vulnerability to cyber threats soared, necessitating the prioritization and implementation of robust cybersecurity measures. The adoption of AI-driven cyberattacks emerged as a notable challenge, empowering hackers to automate threats and devise intricate social engineering attacks. This influx of susceptible digital devices, combined with AI-facilitated cyber threats, led to a substantial increase in digital risks throughout the year, which is expected to exert an alarming US$10.5 billion annual impact on the global economy, according to Infosecurity Mexico.

“The continuous adoption of cloud, hybrid work [models], rapid [integration] of generative AI and [an] evolving regulatory environment are forcing security and risk management leaders to enhance their security and risk management spending,” says Shailendra Upadhyay, Senior Research Principal, Gartner. To thwart these challenges, companies are looking to allocate an additional 14.3% towards end-user security and risk management by 2024, amounting to a total global expenditure of US$215 billion, according to Gartner. 

Security Vulnerabilities and Cyberattacks

Globally, in 2023, there was a 3% increment in cyberattacks, with almost 125 million malicious files identified by Kaspersky. This rise in cyberattacks can be correlated with the expanding attack surface, primarily driven by the proliferation of endpoints.  The most commonly used cyberattack techniques employed by cybercriminals included malware, denial of service (DDoS), phishing, code injection, insider threats and IoT based attacks, according to CrowdStrike. As organizations embrace digital transformation, the increased number of endpoints provides cybercriminals with more potential entry points, amplifying the need for robust cybersecurity measures. This is particularly pertinent in the context of IoT devices, which have offered cybercriminals additional points of entry.

In 2023, the interconnected nature of IoT devices became an enticing target for cybercriminals looking to launch cybersecurity attacks across multiple access points. These devices captured hackers’ interest due to their cost-effective design, often prioritizing convenience over robust security features necessary to protect them against potential cyberthreats. Furthermore, IoT devices showed significant susceptibility to physical tampering, providing cybercriminals with opportunities to introduce malicious malware into a users’ network, making them a low-hanging fruit for specialized cybercriminals.  To effectively safeguard both personal and industrial IoT devices, Kaspersky recommended organizations conduct regular cybersecurity assessments to identify and rectify potential vulnerabilities. 

The United States took immediate measures to mitigate the vulnerabilities of IoT devices, mandating developers to comply with stringent cybersecurity requirements throughout the lifecycle of digital products. The United States' regulatory response demonstrates a growing recognition of the importance of cybersecurity measures, emphasizing the role of government intervention in shaping a secure digital environment. This regulatory response aligns with a broader international trend, reflecting governments' recognition of the imperative to establish comprehensive measures for the ethical and safe innovation of emerging technologies.

Altogether, while emerging technologies offer organizations significant benefits—such as operational efficiency improvement, employee productivity, and reduced costs—companies express concerns that their adoption may not only expose them to a growing array of cyber threats but also elevate the risk of data breaches, operational disturbances, financial setbacks, and reputational damage. This underscores the vital importance of aligning cybersecurity measures with the pace of technological advancements to guard against potential risks, ensuring a harmonious coexistence between technological progress and organizational resilience.

“Business needs have evolved and teams are increasingly deploying new technologies to meet these needs. However, security measures that can support the rise of emerging tech must evolve alongside them,” said Scott Calzia, Marketing VP, HPE Aruba Networking.

AI-Driven Attacks and Hacking-as-a-Service (HaaS)

In 2023, the proliferation of AI-powered cyberattacks led to the emergence of new services on the dark web. This included the availability of hacker services for specific tasks, such as orchestrating sophisticated phishing scams, conducting ransomware attacks, and executing denial-of-service (DoS) attacks. These advancements in technology empowered individuals lacking technical expertise to carry out intricate attacks that were previously time-intensive to orchestrate. The capacity “to carry out scalable and automatable attacks with remarkable simplicity,” effectively increasing the amount of cyberattacks faced by individuals and companies alike, Adolfo Grego, CTO and CISO, Grupo RF told MBN. 

"In this digital age, where threats are constantly evolving, it is essential to stay one step ahead of cybercriminals. The battle against Phishing-as-a-Service depends not only on technology but also on awareness and education," says Mario Micucci, Computer Security Researcher, ESET Latin America. To address the gap in cybersecurity awareness, Google hosted a dark web expedition to demonstrate the ease with which cybercriminals can sell compromised information, access sophisticated malware codes, and offer individuals with techniques to counteract them. 

The exponential growth of the dark web's economy underscores the escalating threat landscape driven by the unprecedented proliferation of digital information, estimated to reach 200 zettabytes by 2025, according to Cybersecurity Ventures. As the volume of data continues to surge, it becomes an increasingly attractive target for cybercriminals seeking illicit gains. The staggering projection of cybercrime services reaching US$8 trillion highlights the pressing need for robust cybersecurity measures, international collaboration, and stringent regulations to curb the flourishing underground economy. This trend emphasizes the imperative for organizations and governments to fortify their cybersecurity defenses and adopt proactive strategies to combat the evolving tactics of cyber adversaries.

Mexico’s Cybersecurity Landscape 

According to Mexico’s Internet Association Cybersecurity Study 2023, the primary concern among individual Mexican internet users in 2023 revolved around financial-related attacks, with 73% of the respondents expressing apprehension. In response, users adopted cybersecurity measures to safeguard their devices, with 53% of participants stating a preference for virtual private networks (VPN’s) and 44% resorting to anti-malware solutions.  However, only 45% believed their devices had sufficient protection against cybersecurity threats, while another 26% felt their devices lacked the necessary cybersecurity to protect them from threats.

In the private sector, Mexican businesses found themselves contending with cybercriminals who targeted their IT infrastructure and the repercussions of cybersecurity lapses, often resulting from simple mistakes made by employees due to a lack of basic cybersecurity awareness. Recognizing the shortage of specialized talent in cybersecurity, the Mexican government proactively invested in Educational Software Industry Development Programs. These initiatives aim to “cultivate a thriving tech ecosystem by encouraging collaboration between academia, industry and government," Pedro Barboglio, CEO, Remote Team Solutions, told MBN. 

Furthermore, in 2023, there was a notable surge in digital surveillance practices conducted by both government entities and private technology companies. A case in point is the revelation by The New York Times in November, reporting that the Mexico City Attorney General's office had petitioned Telcel to surrender the telecommunication records of more than a dozen prominent Mexican politicians and officials. This raised concerns about potential violations of fundamental human rights, including data privacy and free speech. Despite the Attorney General's categorical denial of such allegations, Telcel confirmed in a court document that it had provided multiple records to Mexican authorities from 2021 to the present year. In response to these data privacy violations, Mexican senators established a Digital Rights Committee, which is expected to address issues related to digital privacy, cybersecurity, and access to information, guaranteeing users’ safety when navigating through the internet.

Digital Rights Committee President, Noé Castañon Ramírez, emphasized the committee “will have the extensive task of integrating and protecting the dynamics of technologies, such as artificial intelligence and various subjects of technological innovation, which today are part of the daily lives of Mexicans.”

Nevertheless, industry leaders and software developers argued that Mexico’s current cybersecurity landscape is in dire need of a coherent cybersecurity law. They worry that a continued absence of cybersecurity legislation could undermine Mexico’s economic competitiveness, deterring the country's reputation as a safe and secure destination for innovative and digitally-driven enterprises. However, despite several legislative proposals, none were able to secure approval from the Mexican Senate. 

New CyberSEC Solutions and Measures 

Recent cybersecurity trends and attacks have led organizations to implement innovative solutions to safeguard their data. Among such solutions, preventive measures like risk management assessments and pentesting protocols garnered the attention of multiple organizations. Other solutions include, innovative authentication methods like behavioral biometrics, passwordless authentication, and single sign-on (SSO) were increasingly adopted during 2023 to improve the safety of private and confidential data.  

However, while these authentication methods showed significant promise, they also presented substantial vulnerabilities. For instance, users found out that compromised SSO credentials could allow cybercriminals to gain access to all linked accounts, potentially exposing users to multiple data breaches. 

Beyond these methods, 2023 also witnessed an uptick in the adoption of Zero Trust Network Access (ZTNA) authentication, with Gartner projecting a 31% increase in its integration. In fact, the adoption of this cybersecurity strategy ensured organizations minimal privileged access and device verification, thereby diminishing the vulnerability of potential data breaches. Moreover, ZTNA helped worldwide companies to comply with various industry regulations and standards by enforcing access controls, user authentication, and encryption measures.

"In 2023, the realm of potential exposure is poised to broaden, driven not only by the escalating volume of online data but also by the emergence of AI-powered cyberthreats. For instance, in the context of systems like ChatGPT, the Zero Trust ethos will emerge as pivotal in scrutinizing the reliability of AI-generated content," said André Kupfer, Engineering Leader, Hillstone Networks Latin America.