AI-Driven Cyber Attacks: Why Small Businesses Need to Act Now

A recent survey by the Insurance Bureau of Canada (IBC) reveals a growing concern among small and medium-sized businesses (SMBs) about the increasing threat of cyber attacks fueled by artificial intelligence (AI). According to the survey, 65% of business owners and decision-makers fear that AI and new technologies are making it harder to protect against cyber risks. The risks are not just hypothetical; AI has significantly enhanced the ability of cybercriminals to execute sophisticated attacks that are more difficult to detect.

For example, AI applications like ChatGPT have enabled cybercriminals to create highly convincing phishing emails and social engineering scams. Additionally, some technologies are now able to adapt to a company's security defenses in real time, further complicating efforts to thwart attacks. Yet despite this clear and present danger, the survey indicates that businesses are becoming less prepared for cyber threats. Only 61% of SMBs reported that they are actively working to reduce cyber risks in 2024, down from 69% in 2023.

Even more concerning is that while nearly half of business owners recognize that their company may be vulnerable to a cyber attack, 62% do not consider cybersecurity a financial priority. This gap between awareness and action leaves many businesses at serious risk. Only 45% of respondents have implemented defenses against cyber attacks, and a mere 18% have taken the important step of insuring themselves against these threats.

As cybercriminals continue to advance their capabilities, it is essential for business owners to stay one step ahead. This doesn’t have to be costly or overwhelming. Free resources, such as IBC’s Cyber Savvy campaign, provide business owners with the tools they need to understand and mitigate cyber risks. The campaign also includes a self-assessment tool to help SMBs evaluate whether they should consider cyber insurance and the best practices that cyber insurers look for when assessing risk.

To further support businesses in navigating these growing cyber challenges, Directpath Global Technologies (DGT) offers comprehensive cybersecurity solutions tailored to organizations of all sizes. As a Managed Security Service Provider (MSSP), DGT provides a range of services, including Mobile Threat Defense (MTD), Extended Detection and Response (XDR), Vulnerability Risk Management as a Service (VRMaaS), and virtual Chief Information Security Officer (vCISO) services. Our advanced AI division also helps businesses optimize not only their cybersecurity efforts but various aspects of their operations, ensuring they stay protected and efficient.

The time to act is now. Cyber threats are evolving, and SMBs cannot afford to fall behind. With the right strategy and tools, businesses can stay ahead of cybercriminals and safeguard their future.

Source: Cision and Insurance Bureau of Canada