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NHIs Now the Number One Corporate Entry Point for Hackers
SpyCloud survey finds non-human identities like AI agents and API keys were the primary entry point in 31% of intrusions, nearly double phishing.
SpyCloud's Identity Threat Report, based on a survey of 750 security leaders at organizations with 500+ employees, found non-human identities caused 31% of intrusions versus 17% for social engineering. Only 36% of organizations actually monitor NHIs although 95% believe they have adequate visibility into them. Some 68% of respondents suffered an identity-based event, with NHI-related misuse at 42%, and organizations able to see stolen session cookies reported identity incidents at a lower rate (37% vs 50%).
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The Machine With Many Faces: Post-Exploitation Identity Misuse in SPIFFE/SPIRE
Unit 42 demonstrates that root access on a Kubernetes node lets attackers spoof SPIFFE/SPIRE attestation and harvest co-located workloads' SVIDs.
Palo Alto Networks Unit 42 describes post-exploitation techniques in which an attacker with root on a compromised Kubernetes node spoofs Linux cgroup metadata used by the SPIRE agent during workload attestation, tricking it into issuing a co-located workload's SPIFFE Verifiable Identity Document to an attacker-controlled process. The research shows the core trust assumption of machine-identity systems—that the node is trusted—collapses once root is obtained, exposing all cryptographic identities scoped to that node. Unit 42 released an open-source tool, Spooffe, for defenders to test identity exposure, and notes the technique has not been observed exploited in the wild.
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Autoencoder Is All You Need: Profiling and Detecting Malicious DNS Traffic
Palo Alto Unit 42 details an autoencoder-based method that profiles DNS traffic to detect C2 and malicious domains, blocking ~374,000 malicious DNS requests daily.
Unit 42 built an RNN-based autoencoder that compresses DNS traffic time series into fixed-dimensional 'DNS profiles' for each domain and device. Downstream classification, clustering, and anomaly detection modules flag suspicious domains, capturing 170 emerging suspicious domains in May 2024. Signatures block roughly 374,000 malicious DNS requests daily and run in the Advanced DNS Security service, with detections shared to Advanced URL Filtering. Case studies link DNS traffic patterns to C2 beaconing, dynamic DNS abuse, and DNS tunneling for data exfiltration.
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Beneath the Surface: Detecting and Blocking Hidden Malicious Traffic Distribution Systems
Unit 42 built an ML-based detector for malicious traffic distribution systems, finding malicious TDS chains average longer redirections and more URLs than legitimate ones.
Traffic distribution systems redirect victims through chains of intermediate domains to hide final destinations, serving phishing, malvertising, and online gambling operations. Unit 42's topological analysis of redirection graphs found malicious TDS traffic uses longer chains (about 25% exceed four hops vs 10% benign), more URLs (median 126 vs 80), and fewer isolated subgraphs with higher connectivity. These features power an ML detector integrated into Advanced DNS Security and Advanced URL Filtering to identify and block malicious TDS infrastructure in customer traffic.
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Unmasking Cloud Identities: From Behavioral Clustering to Automated Detection
Unit 42 clusters behavior of 40,000+ AWS identities from 125 cloud environments to map functional roles and enable lightweight SQL-based detection.
Palo Alto Unit 42 built an unsupervised behavioral clustering model using UMAP and HDBSCAN on AWS CloudTrail logs to map cloud identities to functional roles such as administrators, backup services, security tooling and DevOps. The study analyzed over 40,000 identities across 125 cloud environments over two months. The researchers show that heuristics extracted from the clustering map can be implemented in standard SQL, enabling role classification at scale without running a continuous ML pipeline. The methodology extends to audit logs from other cloud providers, SaaS and Kubernetes.
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Automatically Detecting DNS Hijacking in Passive DNS
Unit 42's machine learning pipeline detected 6,729 DNS hijacking events between March and September 2024, hitting political parties, ISPs, and universities.
Unit 42 processes roughly 167 million new DNS records daily and applies a machine learning model using 74 features over 169 TB of passive DNS and geolocation data to flag hijacked domains. From March to September 2024 the pipeline screened over 29 billion records and classified 6,729 as DNS hijacking, averaging 38 detections per day; a new model detects hijacks in customer traffic within about 10 minutes. Notable cases include a Hungarian political party's hijacked domain, defacement of a large utility company and ISP, and university and research center domains repurposed for illicit gambling. DNS hijacking typically relies on stolen registrar or DNS provider credentials or cache poisoning, enabling MitM attacks, phishing, drive-by downloads, and scams.
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When the Whole Company Adopts AI: What It Does to Your SOC
Analysis of 16.9 million SOC alerts finds AI-related alerts at 0.43%, growing 685% since February, with 94.1% noise and 0.02% real attacks.
A review of roughly 16.9 million SOC alerts found about 73,000 (0.43%) were AI-related, a share that grew 685% between February and June 2026. Of AI-related alerts, 94.1% were noise, 5.8% genuine risks, and 0.02% real attacks; 79.8% received benign verdicts, 81.7% were automatically suppressed, and only 5.4% reached a human analyst. The only confirmed attacks were phishing campaigns that weaponized AI brand names as lures, while developer coding agents spawning shells and reading credential stores routinely tripped detections written before AI agents existed.
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Almost Half of Malware Samples Communicate Direct to IP
Unit 42 analysis of 4 million malware reports finds 45% of C2-active samples connect directly to hard-coded IPs, bypassing DNS defenses.
Palo Alto Unit 42 analyzed over 4 million Advanced WildFire dynamic analysis reports and found that 45.32% of malware samples with C2 activity made at least one direct-to-IP connection, accounting for 23.17% of all C2 connection attempts. The firm proposes zero trust IP (ZT-IP), an enforcement approach that verifies whether outbound destinations were ever sanctioned by a DNS response. ZT-IP analysis surfaced Phorpiex ransomware droppers fetching payloads directly from C2 IPs, a persistent data exfiltration campaign using an obfuscated \GET protocol, and Mozi P2P botnet payloads delivered to IoT devices without DNS. Only 1% of benign samples connected directly to untrusted IP addresses.
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