UK cyber agency probes China-linked hacking campaign that used AI agents
Britain's National Cyber Security Centre is checking whether UK organisations were hit by hackers who used AI to break into cloud systems in under three hours.
The short version
- The NCSC, part of GCHQ, is investigating whether British organisations were compromised by Storm-0940.
- Microsoft says the China-state-aligned group has used AI in attacks since at least September.
- US firm ConnectWise, which backs up Microsoft 365 data, was breached and suspended its services.
- Some break-ins into cloud systems took less than three hours, according to Microsoft.
- The UK announced £60m for a National Cyber Shield and £70m for AI tools that spot vulnerabilities.
Why it matters
Attackers can now point AI agents at a target and let them try many routes at once, around the clock. Any AI tool of your own that can reach files, email or code is part of what an attacker might aim at. The story is also a reminder to check what your tools can reach and whether you could reconstruct what they did.
What the UK is investigating
Britain's National Cyber Security Centre (NCSC), an arm of the GCHQ intelligence agency, is urgently looking into a hacking campaign linked to Beijing, as Yahoo reported. The worry is that sensitive secrets may have been taken. The agency is understood to be working with Microsoft and others to establish whether British organisations were affected by a group Microsoft calls Storm-0940.
Microsoft described the group as aligned with the Chinese state and said it had uncovered a global campaign last week. Hundreds of organisations were targeted, spanning defence, energy, finance, government and technology.
The ConnectWise breach
One confirmed victim is ConnectWise, a US company whose cloud service helps big organisations back up their Microsoft 365 email and files. This is a supply-chain attack: instead of attacking many customers one by one, hackers go after a supplier many of them rely on. ConnectWise has told Britain's data watchdog, the Information Commissioner's Office, which is now assessing the breach.
The company suspended its services. It says it has seen no sign that stored backups were compromised. But it also warned that turning the service off does not cancel any access the attackers already obtained inside individual customers' systems. Those customers need to review their own setups separately, according to chief executive Manny Rivelo.
How AI sped the attackers up
Microsoft says the group has used AI in its attacks since at least September. In some cases it got into an organisation's cloud systems in less than three hours. Microsoft's researchers pointed out that AI agents, which are programs that carry out tasks on their own, do not tire. They can work nights, weekends and holidays, and can try several routes into a target at the same time.
The group reportedly relied on a tool called Artex. A Chinese developer released it publicly in July as open-source software, meaning anyone can download and change it for free. It links existing hacking tools to AI agents. A user names a target and a goal, and the agents then try whatever methods they can find.
Prof Alan Woodward of Surrey University said the tool essentially compresses work that human penetration testers, who are paid to probe systems for weaknesses, used to do by hand.
A tool that spread beyond its purpose
Artex was nominally meant for research and drew real interest from security specialists. It also won an award from Baidu before its public release. Even so, it has reportedly been used against South Korean banks and companies in Japan.
The developer took it offline in October. By then more than 12,000 people had copied it, so removing the original did little to stop its use.
A bad week for the web, and the UK response
The campaign arrives during a run of AI-assisted attacks. Millions of hacking attempts hit websites worldwide after AI agents found a flaw in PHP, a programming language behind about 70pc of the world's websites. Governments and companies took sites offline so they could fix the problem first. Experts said the flaw could only be exploited with AI, which raises fears that more such weaknesses will surface.
Jason Clinton, deputy chief information security officer at Anthropic, said problems would get "a lot worse before they get better". Nothing in the reporting links this campaign to Anthropic or any other AI vendor.
On Saturday, UK ministers announced hundreds of millions of pounds for AI security. £60m will fund a National Cyber Shield that uses agentic AI to strengthen defences. A further £70m will go to AI tools that find vulnerabilities across critical infrastructure and the wider economy.
What is still unknown
The investigation is at an early stage. The reporting does not say whether any British organisation was actually breached, how much data may have been taken, or how many ConnectWise customers are affected. Those answers will shape how serious this turns out to be for the UK.
What to watch
- Whether the NCSC or Microsoft confirms any UK organisation was compromised.
- What the Information Commissioner's Office finds in its assessment of the ConnectWise breach.
- Whether more AI-only vulnerabilities, like the PHP flaw, turn up in widely used software.
Try it
List every account, folder and tool your AI assistants can reach, then remove anything the task doesn't need. Also check whether your logs would show what an agent did last Tuesday.
Sources and links
- ReportingYahoo: the article we sourced
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Listen to the daily showsFirst reported by Yahoo · Read the original. Written by the SI Agent News Desk from the reporting above.Written with AI from the source above. Every number is checked against the source. Spot a mistake? Corrections.
