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February 9, 2022

The Impact of Conti Ransomware on OT Systems

Learn how ransomware can spread throughout converged IT/OT environments, and how Self-Learning AI empowers organizations to contain these threats.
Inside the SOC
Darktrace cyber analysts are world-class experts in threat intelligence, threat hunting and incident response, and provide 24/7 SOC support to thousands of Darktrace customers around the globe. Inside the SOC is exclusively authored by these experts, providing analysis of cyber incidents and threat trends, based on real-world experience in the field.
Written by
Oakley Cox
Director of Product
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09
Feb 2022

Ransomware has taken the world by storm, and IT is not the only technology affected. Operational Technology (OT), which is increasingly blending with IT, is also susceptible to ransomware tactics, techniques, and procedures (TTPs). And when ransomware strikes OT, the effects have the potential to be devastating.

Here, we will look at a ransomware attack that spread from IT to OT systems. The attack was detected by Darktrace AI.

This threat find demonstrates a use case of Darktrace’s technology that delivers immense value to organizations with OT: spotting and stopping ransomware at its earliest stages, before the damage is done. This is particularly helpful for organizations with interconnected enterprise and industrial environments, as it means:

  1. Emerging attacks can be contained in IT before they spread laterally into OT, and even before they spread from device to device in IT;
  2. Organizations gain granular visibility into their industrial environments, detecting deviations from normal activity, and quick identification of remediating actions.

Threat find: Ransomware and crypto-mining hijack affecting IT and OT systems

Darktrace recently identified an aggressive attack targeting an OT R&D investment firm in EMEA. The attack originally started as a crypto-mining campaign and later evolved into ransomware. This organization deployed Darktrace in a digital estate containing both IT and OT assets that spanned over 3,000 devices.

If the organization had deployed Darktrace’s Autonomous Response technology in active mode, this threat would have been stopped in its earliest stages. Even in the absence of Autonomous Response, however, mere human attention would have stopped this attack’s progression. Darktrace’s Self-Learning AI gave clear indications of an ongoing compromise in the month prior to the detonation of ransomware. In this case, however, the security team was not monitoring Darktrace’s interface, and so the attack was allowed to proceed.

Compromised OT devices

This threat find will focus on the attack techniques used to take over two OT devices, specifically, a HMI (human machine interface), and an ICS Historian used to collect and log industrial data. These OT devices were both VMware virtual machines running Windows OS, and were compromised as part of a wider Conti ransomware infection. Both devices were being used primarily within an industrial control system (ICS), running a popular ICS software package and making regular connections to an industrial cloud platform.

These devices were thus part of an ICSaaS (ICS-as-a-Service) environment, using virtualised and Cloud platforms to run analytics, update threat intelligence, and control the industrial process. As previously highlighted by Darktrace, the convergence of cloud and ICS increases a network’s attack surface and amplifies cyber risk.

Attack lifecycle

Opening stages

The initial infection of the OT devices occurred when a compromised Domain Controller (DC) made unusual Active Directory requests. The devices made subsequent DCE-RPC binds for epmapper, often used by attackers for command execution, and lsarpc, used by attackers to abuse authentication policies and escalate privileges.

The payload was delivered when the OT devices used SMB to connect to the sysvol folder on the DC and read a malicious executable file, called SetupPrep.exe.

Figure 1: Darktrace model breaches across the whole network from initial infection on October 21 to the detonation on November 15.

Figure 2: ICS reads on the HMI in the lead up, during, and following detonation of the ransomware.

Device encryption and lateral spread

The malicious payload remained dormant on the OT devices for three weeks. It seems the attacker used the time to install crypto-mining malware elsewhere on the network and consolidate their foothold.

On the day the ransomware detonated, the attacker used remote management tools to initiate encryption. The PSEXEC tool was used on an infected server (separate from the original DC) to remotely execute malicious .dll files on the compromised OT devices.

The devices then attempted to make command and control (C2) connections to rare external endpoints using suspicious ports. Like in many ICS networks, sufficient network segregation had been implemented to prevent the HMI device from making successful connections to the Internet and the C2 communications failed. But worryingly, the failed C2 did not prevent the attack from proceeding or the ransomware from detonating.

The Historian device made successful C2 connections to around 40 unique external endpoints. Darktrace detected beaconing-type behavior over suspicious TCP/SSL ports including 465, 995, 2078, and 2222. The connections were made to rare destination IP addresses that did not specify the Server Name Indication (SNI) extension hostname and used self-signed and/or expired SSL certificates.

Both devices enumerated network SMB shares and wrote suspicious shell scripts to network servers. Finally, the devices used SMB to encrypt files stored in network shares, adding a file extension which is likely to be unique to this victim and which will be called ABCXX for the purpose of this blog. Most encrypted files were uploaded to the folder in which the file was originally located, but in some instances were moved to the images folder.

During the encryption, the device was using the machine account to authenticate SMB sessions. This is in contrast to other ransomware incidents that Darktrace has observed, in which admin or service accounts are compromised and abused by the attacker. It is possible that in this instance the attacker was able to use ‘Living off the Land’ techniques (for example the use of lsarpc pipe) to give the machine account admin privileges.

Examples of files being encrypted and moved:

  • SMB move success
  • File: new\spbr0007\0000006A.bak
  • Renamed: new\spbr0007\0000006A.bak.ABCXX
  • SMB move success
  • File: ActiveMQ\readme.txt
  • Renamed: Images\10j0076kS1UA8U975GC2e6IY.488431411265952821382.png.ABCXX

Detonation of ransomware

Upon detonation, the ransomware note readme.txt was written by the ICS to targeted devices as part of the encryption activity.

The final model breached by the device was “Unresponsive ICS Device” as the device either stopped working due to the effects of the ransomware, or was removed from the network.

Figure 3: abc-histdev — external connections filtered on destination port 995 shows C2 connections starting around one hour before encryption began.

How the attack bypassed the rest of the security stack

In this threat find, there were a number of factors which resulted in the OT devices becoming compromised.

The first is IT/OT convergence. The ICS network was insufficiently segregated from the corporate network. This means that devices could be accessed by the compromised DC during the lateral movement stage of the attack. As OT becomes more reliant on IT, ensuring sufficient segregation is in place, or that an attacker can not circumvent such segregation, is becoming an ever increasing challenge for security teams.

Another reason is that the attacker used attack methods which leverage Living off the Land techniques to compromise devices with no discrimination as to whether they were part of an IT or OT network. Many of the machines used to operate ICS networks, including the devices highlighted here, rely on operating systems vulnerable to the kinds of TTPs observed here and that are regularly employed by ransomware groups.

Darktrace insights

Darktrace’s Cyber AI Analyst was able to stitch together many disparate forms of unusual activity across the compromised devices to give a clear security narrative containing details of the attack. The incident report for the Historian server is shown below. This provides a clear illustration of how Cyber AI Analyst can close any skills or communication gap between IT and OT specialists.

Figure 4: Cyber AI Analyst of the Historian server (abc-histdev). It investigated and reported the C2 communication (step 2) that started just before network reconnaissance using TCP scanning (step 3) and the subsequent file encryption over SMB (step 4).

In total, the attacker’s dwell time within the digital estate was 25 days. Unfortunately, it lead to disruption to operational technology, file encryption and financial loss. Altogether, 36 devices were crypto-mining for over 20 days – followed by nearly 100 devices (IT and OT) becoming encrypted following the detonation of the ransomware.

If it were active, Autonomous Response would have neutralized this activity, containing the damage before it could escalate into crisis. Darktrace’s Self-Learning AI gave clear indications of an ongoing compromise in the month prior to the detonation of ransomware, and so any degree of human attention toward Darktrace’s revelations would have stopped the attack.

Autonomous Response is highly configurable, and so, in industrial environments — whether air-gapped OT or converged IT/OT ecosystems — Antigena can be deployed in a variety of manners. In human confirmation mode, human operators need to give the green light before the AI takes action. Antigena can also be deployed only in the higher levels of the Purdue model, or the “IT in OT,” protecting the core assets from fast-moving attacks like ransomware.

Ransomware and interconnected IT/OT systems

ICS networks are often operated by machines that rely on operating systems which can be affected by TTPs regularly employed by ransomware groups — that is, TTPs such as Living off the Land, which do not discriminate between IT and OT.

The threat that ransomware poses to organizations with OT, including critical infrastructure, is so severe that the Cyber Infrastructure and Security Agency (CISA) released a fact sheet concerning these threats in the summer of 2021, noting the risk that IT attacks pose to OT networks:

“OT components are often connected to information technology (IT) networks, providing a path for cyber actors to pivot from IT to OT networks… As demonstrated by recent cyber incidents, intrusions affecting IT networks can also affect critical operational processes even if the intrusion does not directly impact an OT network.”

Major ransomware attacks against the Colonial Pipeline and JBS Foods demonstrate the potential for ransomware affecting OT to cause severe economic disruption on a national and international scale. And ransomware can wreak havoc on OT systems regardless of whether they directly target OT systems.

As industrial environments continue to converge and evolve — be they IT/OT, ICSaaS, or simply poorly segregated legacy systems — Darktrace stands ready to contain attacks before the damage is done. It is time for organizations with industrial environments to take the quantum leap forward that Darktrace’s Self-Learning AI is uniquely positioned to provide.

Thanks to Darktrace analysts Ash Brice and Andras Balogh for their insights on the above threat find.

Discover more on how Darktrace protects OT environments from ransomware

Darktrace model detections

HMI in chronological order at time of detonation:

  • Anomalous Connection / SMB Enumeration
  • Anomalous File / Internal / Unusual SMB Script Write
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • Compromise / Ransomware / Suspicious SMB Activity [Enhanced Monitoring]
  • ICS / Unusual Data Transfer By OT Device
  • ICS / Unusual Unresponsive ICS Device

Historian

  • ICS / Rare External from OT Device
  • Anomalous Connection / Anomalous SSL without SNI to New External
  • Anomalous Connection / Multiple Connections to New External TCP Port
  • ICS / Unusual Activity From OT Device
  • Anomalous Connection / SMB Enumeration
  • Anomalous Connection / Suspicious Activity On High Risk Device
  • Unusual Activity / SMB Access Failures
  • Device / Large Number of Model Breaches
  • ICS / Unusual Data Transfer By OT Device
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • Device / SMB Lateral Movement
  • Compromise / Ransomware / Suspicious SMB Activity [Enhanced Monitoring]
  • Device / Multiple Lateral Movement Model Breaches [Enhanced Monitoring]

Inside the SOC
Darktrace cyber analysts are world-class experts in threat intelligence, threat hunting and incident response, and provide 24/7 SOC support to thousands of Darktrace customers around the globe. Inside the SOC is exclusively authored by these experts, providing analysis of cyber incidents and threat trends, based on real-world experience in the field.
Written by
Oakley Cox
Director of Product

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November 26, 2025

CastleLoader & CastleRAT: Behind TAG150’s Modular Malware Delivery System

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What is TAG-150?

TAG-150, a relatively new Malware-as-a-Service (MaaS) operator, has been active since March 2025, demonstrating rapid development and an expansive, evolving infrastructure designed to support its malicious operations. The group employs two custom malware families, CastleLoader and CastleRAT, to compromise target systems, with a primary focus on the United States [1]. TAG-150’s infrastructure included numerous victim-facing components, such as IP addresses and domains functioning as command-and-control (C2) servers associated with malware families like SecTopRAT and WarmCookie, in addition to CastleLoader and CastleRAT [2].

As of May 2025, CastleLoader alone had infected a reported 469 devices, underscoring the scale and sophistication of TAG-150’s campaign [1].

What are CastleLoader and CastleRAT?

CastleLoader is a loader malware, primarily designed to download and install additional malware, enabling chain infections across compromised systems [3]. TAG-150 employs a technique known as ClickFix, which uses deceptive domains that mimic document verification systems or browser update notifications to trick victims into executing malicious scripts. Furthermore, CastleLoader leverages fake GitHub repositories that impersonate legitimate tools as a distribution method, luring unsuspecting users into downloading and installing malware on their devices [4].

CastleRAT, meanwhile, is a remote access trojan (RAT) that serves as one of the primary payloads delivered by CastleLoader. Once deployed, CastleRAT grants attackers extensive control over the compromised system, enabling capabilities such as keylogging, screen capturing, and remote shell access.

TAG-150 leverages CastleLoader as its initial delivery mechanism, with CastleRAT acting as the main payload. This two-stage attack strategy enhances the resilience and effectiveness of their operations by separating the initial infection vector from the final payload deployment.

How are they deployed?

Castleloader uses code-obfuscation methods such as dead-code insertion and packing to hinder both static and dynamic analysis. After the payload is unpacked, it connects to its command-and-control server to retrieve and running additional, targeted components.

Its modular architecture enables it to function both as a delivery mechanism and a staging utility, allowing threat actors to decouple the initial infection from payload deployment. CastleLoader typically delivers its payloads as Portable Executables (PEs) containing embedded shellcode. This shellcode activates the loader’s core module, which then connects to the C2 server to retrieve and execute the next-stage malware.[6]

Following this, attackers deploy the ClickFix technique, impersonating legitimate software distribution platforms like Google Meet or browser update notifications. These deceptive sites trick victims into copying and executing PowerShell commands, thereby initiating the infection kill chain. [1]

When a user clicks on a spoofed Cloudflare “Verification Stepprompt, a background request is sent to a PHP script on the distribution domain (e.g., /s.php?an=0). The server’s response is then automatically copied to the user’s clipboard using the ‘unsecuredCopyToClipboard()’ function. [7].

The Python-based variant of CastleRAT, known as “PyNightShade,” has been engineered with stealth in mind, showing minimal detection across antivirus platforms [2]. As illustrated in Figure 1, PyNightShade communicates with the geolocation API service ip-api[.]com, demonstrating both request and response behavior

Packet Capture (PCAP) of PyNightShade, the Python-based variant of CastleRAT, communicating with the geolocation API service ip-api[.]com.
Figure 1: Packet Capture (PCAP) of PyNightShade, the Python-based variant of CastleRAT, communicating with the geolocation API service ip-api[.]com.

Darktrace Coverage

In mid-2025, Darktrace observed a range of anomalous activities across its customer base that appeared linked to CastleLoader, including the example below from a US based organization.

The activity began on June 26, when a device on the customer’s network was observed connecting to the IP address 173.44.141[.]89, a previously unseen IP for this network along with the use of multiple user agents, which was also rare for the user.  It was later determined that the IP address was a known indicator of compromise (IoC) associated with TAG-150’s CastleRAT and CastleLoader operations [2][5].

Figure 2: Darktrace’s detection of a device making unusual connections to the malicious endpoint 173.44.141[.]89.

The device was observed downloading two scripts from this endpoint, namely ‘/service/download/data_5x.bin’ and ‘/service/download/data_6x.bin’, which have both been linked to CastleLoader infections by open-source intelligence (OSINT) [8]. The archives contains embedded shellcode, which enables attackers to execute arbitrary code directly in memory, bypassing disk writes and making detection by endpoint detection and response (EDR) tools significantly more difficult [2].

 Darktrace’s detection of two scripts from the malicious endpoint.
Figure 3: Darktrace’s detection of two scripts from the malicious endpoint.

In addition to this, the affected device exhibited a high volume of internal connections to a broad range of endpoints, indicating potential scanning activity. Such behavior is often associated with reconnaissance efforts aimed at mapping internal infrastructure.

Darktrace / NETWORK correlated these behaviors and generated an Enhanced Monitoring model, a high-fidelity security model designed to detect activity consistent with the early stages of an attack. These high-priority models are continuously monitored and triaged by Darktrace’s Security Operations Center (SOC) as part of the Managed Threat Detection and Managed Detection & Response services, ensuring that subscribed customers are promptly alerted to emerging threats.

Darktrace detected an unusual ZIP file download alongside the anomalous script, followed by internal connectivity. This activity was correlated under an Enhanced Monitoring model.
Figure 4: Darktrace detected an unusual ZIP file download alongside the anomalous script, followed by internal connectivity. This activity was correlated under an Enhanced Monitoring model.

Darktrace Autonomous Response

Fortunately, Darktrace’s Autonomous Response capability was fully configured, enabling it to take immediate action against the offending device by blocking any further connections external to the malicious endpoint, 173.44.141[.]89. Additionally, Darktrace enforced a ‘group pattern of life’ on the device, restricting its behavior to match other devices in its peer group, ensuring it could not deviate from expected activity, while also blocking connections over 443, shutting down any unwanted internal scanning.

Figure 5: Actions performed by Darktrace’s Autonomous Response to contain the ongoing attack.

Conclusion

The rise of the MaaS ecosystem, coupled with attackers’ growing ability to customize tools and techniques for specific targets, is making intrusion prevention increasingly challenging for security teams. Many threat actors now leverage modular toolkits, dynamic infrastructure, and tailored payloads to evade static defenses and exploit even minor visibility gaps. In this instance, Darktrace demonstrated its capability to counter these evolving tactics by identifying early-stage attack chain behaviors such as network scanning and the initial infection attempt. Autonomous Response then blocked the CastleLoader IP delivering the malicious ZIP payload, halting the attack before escalation and protecting the organization from a potentially damaging multi-stage compromise

Credit to Ahmed Gardezi (Cyber Analyst) Tyler Rhea (Senior Cyber Analyst)
Edited by Ryan Traill (Analyst Content Lead)

Appendices

Darktrace Model Detections

  • Anomalous Connection / Unusual Internal Connections
  • Anomalous File / Zip or Gzip from Rare External Location
  • Anomalous File / Script from Rare External Location
  • Initial Attack Chain Activity (Enhanced Monitoring Model)

MITRE ATT&CK Mapping

  • T15588.001 - Resource Development – Malware
  • TG1599 – Defence Evasion – Network Boundary Bridging
  • T1046 – Discovery – Network Service Scanning
  • T1189 – Initial Access

List of IoCs
IoC - Type - Description + Confidence

  • 173.44.141[.]89 – IP – CastleLoader C2 Infrastructure
  • 173.44.141[.]89/service/download/data_5x.bin – URI – CastleLoader Script
  • 173.44.141[.]89/service/download/data_6x.bin – URI  - CastleLoader Script
  • wsc.zip – ZIP file – Possible Payload

References

[1] - https://blog.polyswarm.io/castleloader

[2] - https://www.recordedfuture.com/research/from-castleloader-to-castlerat-tag-150-advances-operations

[3] - https://www.pcrisk.com/removal-guides/34160-castleloader-malware

[4] - https://www.scworld.com/brief/malware-loader-castleloader-targets-devices-via-fake-github-clickfix-phishing

[5] https://www.virustotal.com/gui/ip-address/173.44.141.89/community

[6] https://thehackernews.com/2025/07/castleloader-malware-infects-469.html

[7] https://www.cryptika.com/new-castleloader-attack-using-cloudflare-themed-clickfix-technique-to-infect-windows-computers/

[8] https://www.cryptika.com/castlebot-malware-as-a-service-deploys-range-of-payloads-linked-to-ransomware-attacks/

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About the author
Tyler Rhea
Senior Cyber Analyst

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November 26, 2025

UK Cyber Security & Resilience Bill: What Organizations Need to Know

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Why the Bill has been introduced

The UK’s cyber threat landscape has evolved dramatically since the 2018 NIS regime was introduced. Incidents such as the Synnovis attack against hospitals and the British Library ransomware attack show how quickly operational risk can become public harm. In this context, the UK Department for Science, Innovation and Technology estimates that cyber-attacks cost UK businesses around £14.7 billion each year.

At the same time, the widespread adoption of AI has expanded organisations’ attack surfaces and empowered threat actors to launch more effective and sophisticated activities, including crafting convincing phishing campaigns, exploiting vulnerabilities and initiating ransomware attacks at unprecedented speed and scale.  

The CSRB responds to these challenges by widening who is regulated, accelerating incident reporting and tightening supply chain accountability, while enabling rapid updates that keep pace with technology and emerging risks.

Key provisions of the Cyber Security and Resilience Bill

A wider set of organisations in scope

The Bill significantly broadens the range of organisations regulated under the NIS framework.

  • Managed service providers (MSPs) - medium and large MSPs, including MSSPs, managed SOCs, SIEM providers and similar services,will now fall under NIS obligations due to their systemic importance and privileged access to client systems. The Information Commissioner’s Office (ICO) will act as the regulator. Government analysis anticipates that a further 900 to 1,100 MSPs will be in scope.
  • Data infrastructure is now recognised as essential to the functioning of the economy and public services. Medium and large data centres, as well as enterprise facilities meeting specified thresholds, will be required to implement appropriate and proportionate measures to manage cyber risk. Oversight will be shared between DSIT and Ofcom, with Ofcom serving as the operational regulator.
  • Organisations that manage electrical loads for smart appliances, such as those supporting EV charging during peak times, are now within scope.

These additions sit alongside existing NIS-regulated sectors such as transport, energy, water, health, digital infrastructure, and certain digital services (including online marketplaces, search engines, and cloud computing).

Stronger supply chain requirements

Under the CSRB, regulators can now designate third-party suppliers as ‘designated critical suppliers’ (DCS) when certain threshold criteria are met and where disruption could have significant knock-on effects. Designated suppliers will be subject to the same security and incident-reporting obligations as Operators of Essential Services (OES) and Relevant Digital Service Providers (RDSPs).

Government will scope the supply chain duties for OES and RDSPs via secondary legislation, following consultation. infrastructure incidents where a single supplier’s compromise caused widespread disruption.

Faster incident reporting

Sector-specific regulators, 12 in total, will be responsible for implementing the CSRB, allowing for more effective and consistent reporting. In addition, the CSRB introduces a two-stage reporting process and expands incident reporting criteria. Regulated entities must submit an initial notification within 24 hours of becoming aware of a significant incident, followed by an incident report within 72 hours. Incident reporting criteria are also broadened to capture incidents beyond those which actually resulted in an interruption, ensuring earlier visibility for regulators and the National Cyber Security Centre (NCSC). The importance of information sharing across agencies, law enforcement and regulators is also facilitated by the CSRB.

The reforms also require data centres and managed service providers to notify affected customers where they are likely to have been impacted by a cyber incident.

An agile regulatory framework

To keep pace with technological change, the CSRB will enable the Secretary of State to update elements of the framework via secondary legislation. Supporting materials such as the NCSC Cyber Assessment Framework (CAF) are to be "put on a stronger footing” allowing for requirements to be more easily followed, managed and updated. Regulators will also now be able to recover full costs associated with NIS duties meaning they are better resourced to carry out their associated responsibilities.

Relevant Managed Service Providers must identify and take appropriate and proportionate measures to manage risks to the systems they rely on for providing services within the UK. Importantly, these measures must, having regard to the state of the art, ensure a level of security appropriate to the risk posed, and prevent or minimise the impact of incidents.

The Secretary of State will also be empowered to issue a Statement of Strategic Priorities, setting cross-regime outcomes to drive consistency across the 12 competent authorities responsible for implementation.

Penalties

The enforcement framework will be strengthened, with maximum fines aligned with comparable regimes such as the GDPR, which incorporate maximums tied to turnover. Under the CSRB, maximum penalties for more serious breaches could be up to £17 million or 4% of global turnover, whichever is higher.

Next steps

The Bill is expected to progress through Parliament over the course of 2025 and early 2026, with Royal Assent anticipated in 2026. Once enacted, most operational measures will not take immediate effect. Instead, Government will bring key components into force through secondary legislation following further consultation, providing regulators and industry with time to adjust practices and prepare for compliance.

Anticipated timeline

  • 2025-2026: Parliamentary scrutiny and passage;
  • 2026: Royal Assent;  
  • 2026 consultation: DSIT intends to consult on detailed implementation;
  • From 2026 onwards: Phased implementation via secondary legislation, following further consultation led by DSIT.

How Darktrace can help

The CSRB represents a step change in how the UK approaches digital risk, shifting the focus from compliance to resilience.

Darktrace can help organisations operationalise this shift by using AI to detect, investigate and respond to emerging threats at machine speed, before they escalate into incidents requiring regulatory notification. Proactive tools which can be included in the Darktrace platform allow security teams to stress-test defences, map supply chain exposure and rehearse recovery scenarios, directly supporting the CSRB’s focus on resilience, transparency and rapid response. If an incident does occur, Darktrace’s autonomous agent, Cyber AI Analyst, can accelerate investigations and provide a view of every stage of the attack chain, supporting timely reporting.  

Darktrace’s AI can provide organisations with a vital lens into both internal and external cyber risk. By continuously learning patterns of behaviour across interconnected systems, Darktrace can flag potential compromise or disruption to detect supply chain risk before it impacts your organisation.

In a landscape where compliance and resilience go hand in hand, Darktrace can equip organisations to stay ahead of both evolving threats and evolving regulatory requirements.

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