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
Max Heinemeyer
Global Field CISO
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Introduction: Mirai Malware attack on IoT devices
The rise of Internet of Things (IoT) devices, like Internet-connected cameras used in CCTV surveillance, has introduced new vulnerabilities to both personal and business environments.
With attackers exploiting the inadequate security measures typically associated with IoT devices, traditional antivirus and legacy security solutions fall short. To address this critical gap, Darktrace’s Cyber AI Platform provides advanced protection for these increasingly essential yet vulnerable technologies.
Attack Overview: Mirai Malware
In late May, Darktrace detected the Mirai malware infecting an internet-facing DVR camera owned by a logistics company in Canada.
Mirai, first discovered in 2016, continuously scans the Internet for the IP addresses of vulnerable devices in the Internet of Things (IoT), and then turns these devices into bots that can be used as part of botnets for large-scale network attacks. These attacks are often difficult to detect, as IoT devices seamlessly integrate into digital infrastructure, creating a vastly expanded attack surface for organizations.
By drawing on a bespoke, evolving understanding of what is normal for the network, Darktrace caught each stage in this attack’s lifecycle. However, because this company was still conducting their 30-day Proof of Value, Darktrace's Autonomous Response was not in active and the attack continued past the point of initial compromise. Had Darktrace's Autonomous Response been in active mode, the attack would not have advanced past initial compromise.
Attack Timeline
Figure 1: This timeline roughly outlines the major attack phases over three days of activity
Technical analysis
At the time of the initial breach, this specific botnet’s infrastructure was not yet known to open source intelligence (OSINT). Darktrace, however, detected an EXE download from a location not previously visited by the network.
After the first anomalous EXE download, another was downloaded approximately twenty minutes later. The malware then reached out to multiple IP addresses that were statistically rare for the network. Specifically, the compromised device began transferring large amounts of data to an IP address in China.
Figure 2: An overview of Darktrace detections
Darktrace, by leveraging machine learning algorithms in a protocol agnostic capacity, analyzed this individual device’s transfers within the context of a continuously evolving understanding of what is normal both for this device and for the wider organization. It was therefore able to immediately flag all of these transfers as unusual.
This activity was fully investigated and reported on by Darktrace’s Cyber AI Analyst. A sample of the AI Analyst’s report is shown below. The Suspicious File Download, the Unusual Repeated Connections, and the Unusual External Data Transfer are all presented as unexpected events that call for further investigation. The destination IP of the suspicious download was determined to have 100% hostname rarity relative to what is normal for the organization.
Figure 3: Darktrace’s Cyber AI Analyst autonomously triages the attack
Moreover, the hash of the file, highlighted in a red box in the figure above, revealed that it was a well-known file related to the Mirai Botnet. However, with no antivirus or other security defending the IoT camera, this had gone undetected.
A one-click analysis of the infected device shows a timeline of the model breaches that occurred and graphs the activity to give the report’s readers a quick understanding of the successive stages of the attack. Here, we see the second and third stages of the attack’s lifecycle, in which it starts DDoS against other devices in order to complete its mission while simultaneously continuing outgoing connections to rare destinations in order to sustain its presence.
Figure 4: The device event log showing the list of model breaches on May 23
Conclusion
Interestingly, the client saw no indicators of this activity beyond a sluggish network. This change in network activity was only explained after being identified by Darktrace. Once the client was promptly notified, the compromise was deescalated, and discovering it was a DVR security camera, the client took the device offline.
As this customer was still concluding their trial deployment, Darktrace was not in full autonomous mode. However, if it had been, Darktrace would have responded with a two-tiered action to prevent the device from communicating with the malicious endpoint, cutting the compromised connection before the attack had gained its foothold.
Darktrace model breaches:
Anomalous Connection / Uncommon 1GiB Outbound
Unusual Activity / Unusual External Activity
Unusual Activity / Enhanced Unusual External Data Transfer
Unusual Activity / Unusual External Data to New IPs
Device / Initial Breach Chain Compromise
Anomalous Server Activity / Outgoing from Server
Anomalous Connection / Data Sent to New External Device
Anomalous Connection / Multiple Connections to New External UDP Port
Anomalous Connection / Data Sent to Rare Domain
Anomalous File / EXE from Rare External Location
Anomalous File / Internet Facing System File Download
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.
Building Operational Resilience Across Mission-Critical Marine Services
Mission-Critical Marine Services
This marine organization supports offshore energy production, export infrastructure, and regional logistics, delivering critical services through its diverse fleet and a regional shorebase footprint. To power rapid mobilization and 24/7 operational readiness, the organization has embraced cloud adoption and digital transformation, reshaping how crews, contractors, and shore-based teams access services.
While technology modernization has enhanced operations, it has also introduced new security complexities.
From perimeter to identity: As access becomes more distributed, identity has become the primary security control, elevating the risk of credential compromise and privilege misuse.
From confidentiality to availability and resilience: As cloud platforms increasingly underpin fleet and operational systems, cyber incidents can disrupt services and safety.
From isolated tools to unified visibility: Because Information Technology (IT) and Operational Technology (OT) often intersect, and legacy systems coexist with modern cloud platforms, fragmented monitoring makes it harder to understand risk and respond decisively across domains.
“Our cybersecurity priorities expanded along with our business goals, placing availability and resilience at the forefront. The impact of a potential threat became an operational risk, which elevated cybersecurity from an IT issue to an operational safety and resilience enabler.” - Information and Communications Technology (ICT) Manager.
A Unified, AI-Driven Platform for IT and OT
To strengthen visibility, detection, and response across its highly distributed environment, the customer adopted the Darktrace ActiveAI Security Platform™ in 2022.
Darktrace’s contextual detection capability was a key driver. Unlike traditional tools that rely on known threat signatures, Darktrace’s Self-Learning AI learns “normal” behavior to identify emerging threats and correlate visibility across the customer's siloed on-premises and cloud domains.
Today, the customer relies on:
Darktrace / EMAIL™ to reduce phishing risk and minimize disruption from legacy mail controls and false positives
Darktrace / IDENTITY™ to support identity-centric security as cloud access expands across vessels and shore-based operations
Darktrace / NETWORK™ to strengthen oversight across the broader environment, including operational contexts where IT and OT intersect
Darktrace / CLOUD™ (Azure), added in 2024, to extend detection and response into Azure and support cloud transformation without treating cloud as a separate security silo
Darktrace / Incident Readiness & Recovery to strengthen incident readiness and recovery planning
Darktrace Managed Detection and Response Services to provide 24/7/365 monitoring and support
This combination supports a single operating model for the customer: security that can adapt as the environment changes while remaining practical for a lean team responsible for safeguarding both business operations and safety-critical services.
Extending cloud protection without complexity
As the customer accelerated cloud adoption, it expanded coverage in 2024 with Darktrace / CLOUD for Azure to bring cloud workloads under the same AI-driven visibility and response model – without adding operational burden. “This matters in hybrid environments because attacks rarely stay in one place,” explains the ICT Manager. “A compromised identity can trigger activity in the cloud, which can open pathways back into on-premises systems.”
In parallel, Darktrace / CLOUD’s posture management capabilities support governance and audit readiness by surfacing misconfigurations and exposure risks earlier, before they become incidents.
A Stronger, Faster, More Resilient Business
Since adopting Darktrace, the customer has strengthened cyber resilience while reducing operational burden on its small ICT team.
Darktrace continuously analyzes millions of individual events that can contribute to a wider incident. Within a single month, the solution autonomously investigated 88% of all potential threats, taking appropriate action within just 39.4 seconds on average.
Autonomous capabilities ensure threats are stopped and contained until the ICT team can investigate. In one standout instance, Darktrace autonomously blocked malicious links during a mass phishing/spam event before other controls flagged the threat. the ICT Manager later confirmed Microsoft reported the link as malicious, but Darktrace had already acted to prevent delivery and reduce exposure.
“Whether something happens during off hours, while we’re on vacation, or when our attention is focused elsewhere, we’re confident Darktrace will take control and stop a threat before it spreads,” says the ICT Manager.
Darktrace’s Self-Learning AI combines multiple AI methods and advanced techniques to improve threat detection, investigation, and response dramatically reducing alert overload and manual triage. Within a single month, the solution saved the customer's IT group 411 equivalent human investigation hours.
“For a lean team supporting a 24/7 operational footprint, this autonomous action eliminates the constant firefighting and stress, giving us the space to focus on higher-value priorities.”- Information and Communications Technology (ICT) Manager.
Protecting communications without disruption
the customer experienced friction from legacy email and network controls prior to Darktrace, which generated high false positive rates, disrupted legitimate communications, created operational drag, and added workload for ICT. With Darktrace / EMAIL learning normal email behavior and applying context-aware actions, the team reduced unnecessary interruptions while maintaining protection.
“That shift matters in marine services, where business communications directly support coordination across vessels, shore bases, clients, ports, and regulators,” says the ICT Manager. “Darktrace doesn’t just block more threats, it autonomously makes decisions that preserve operational continuity and enable my team to focus on credible threats instead of chasing volume.”
Delivering clarity and confidence
Darktrace has reduced manual triage by correlating activity across email, identity, network, and cloud, providing the context needed to prioritize what matters without requiring the ICT team to stitch together evidence across multiple tools.
“With unified visibility we can identify patterns across domains, make informed decisions about where risk actually exists, and align security actions with operational impact rather than theoretical threats,” explains the ICT Manager. “I can now prioritize effort and investment across our ICT landscape with far greater confidence.”
Regular Executive Threat Reports reinforce operational confidence by giving leadership clear visibility into threats Darktrace has handled autonomously, supporting decisive action when needed and confidence to avoid unnecessary disruption when it isn’t.
Scaling Securely in a Hybrid World
As the customer advances its cloud transformation, the ICT Manager sees the Darktrace partnership evolving into a foundational layer of resilience and assurance, supporting scale, governance, and operational confidence in an increasingly cloud-centric environment.
Key priorities include:
Shifting from hybrid visibility to cloud-first resilience, using continuous monitoring and posture insights to reduce exposure earlier
Strengthening governance and audit readiness, especially as critical workloads and sensitive data expand in Azure and expectations rise under regulatory and client assurance requirements
Increasing reliance on autonomous response and AI investigation as the number of identities, workloads, and access paths grows faster than headcount
Deepening cross-domain correlation so cloud signals further enrich decision-making, supporting faster containment and more confident prioritization
“As we accelerate our cloud strategy, Darktrace will play an even more strategic role,” says the ICT Manager, “providing the guidance, technology, and expertise that allow us to grow with confidence and innovate securely.”
Hiding in Plain Sight: Uncovering a Multi-Stage Ransomware Attack Through Behavioral Detection
Why ransomware has changed
Ransomware attacks have continued to increase globally, with 698 incidents reported in May 2026, representing a 48% rise compared to 472 incidents in May 2025 [1]. At the same time, the ransomware landscape is evolving. Several major ransomware groups, including LockBit [2], have been disrupted by successful joint law enforcement operations, resulting in a shift away from a small number of dominant actors towards a more fragmented and distributed ecosystem. This is increasingly composed of smaller groups who play a specialized role in the attack, such as initial access brokers, affiliates or developers.
As a result, ransomware tactics, techniques, and procedures (TTPs) are becoming more diverse and less predictable. On top of this, adversaries are leveraging native tools and legitimate penetration testing frameworks to evade detection. Anomaly-based detection is therefore critical to identify pre-ransomware activity, rather than relying on signatures associated with a handful of well-known ransomware groups.
As these attacks often unfold over several days, there is a critical window for defenders to act. In this context, behavioral-based detection plays a vital role in identifying suspicious pre-ransomware activity, and enabling early intervention before encryption or exfiltration occurs.
Inside a modern ransomware intrusion
In early 2026, Darktrace detected activity within a customer’s environment related to a multi-stage ransomware intrusion from the initial compromise. This activity does not appear to be attributable to a specific ransomware group, and no known ransomware payload was observed until the final stage.
The attack aligns with a broader industry trend in which compromised virtual private network (VPN) credentials are used as an entry point, followed by rapid internal reconnaissance and lateral movement using legitimate administrative tools. This growing preference for native tools and legitimate frameworks in cyber-attacks illustrates that it is increasingly unreliable to depend solely on traditional indicators of compromise such as known malware signatures or exploit detection.
The intrusion also involved the use of Sliver, an open-source adversary emulation framework, which is increasingly observed in real-world attacks. Originally designed for penetration testing and red teaming, Sliver has gained traction among threat actors as a stealthier alternative to more heavily signatured frameworks such as Cobalt Strike. As a legitimate framework, its use further complicates detection for security tools that rely on known malicious signatures.
Darktrace’s detection of a ransomware event in a customer’s environment
The initial compromise appears to have occurred via compromised credentials used over the VPN shortly before, or at the onset of the first indicators of suspicious activity. While it remains unclear as to how or when the threat actors gained access to these credentials, the use of initial access brokers (IABs) is a common feature of modern ransomware operations. This suggests that access to the environment may have been established several days or weeks beforehand.
The intrusion unfolded over three days, presenting multiple opportunities for early detection and intervention before ransomware deployment. The attack progressed through a compressed but structured sequence: initial access and reconnaissance were completed within hours, followed by privilege escalation and lateral movement the next day, and culminating in data exfiltration and encryption shortly thereafter. Throughout each stage, distinct behavioral anomalies emerged across the network providing clear indicators of malicious activity well before the ransomware was deployed.
While Darktrace’s Autonomous Response capability was enabled within the customer’s environment, it was not fully configured across the impacted devices, allowing the attack to progress to ransomware deployment. Had Autonomous Response been fully deployed across the affected systems, it could have taken targeted action against the earliest stages of malicious activity, potentially disrupting the intrusion before it escalated.
Figure 1: Timeline of the attack progression.
Day 1: Reconnaissance and privilege escalation
The threat actor gained access via compromised VPN credentials and initiated internal reconnaissance. Darktrace detected anomalous scanning behavior, including unusual port scanning activity and widespread network enumeration.
Specifically, Darktrace detected a high volume of east-west scanning activity across a broad range of ports, with TCP connections targeting ports 21, 80, 445, 4899 and 8080. Associated URIs suggested the use of Nmap, a widely used penetration testing tool. This highlights how attackers often leverage legitimate penetration testing tools for malicious reconnaissance, enabling them to blend into normal network activity and evade traditional signature-based detection methods.
Figure 2: Darktrace's detection of a sharp increase in anomalous internal connections, triggering multiple high-severity model alerts associated with reconnaissance activity.
Several devices were observed using administrative credentials to carry out privileged actions in a manner that was highly anomalous for the environment. This activity was accompanied by behavior consistent with SMB authentication scanning, suggesting efforts to identify and access additional systems. As the activity intensified, an increasing number of devices became involved, signalling lateral movement and further spread across the network.
Darktrace also identified privilege escalation through active directory (AD) replication abuse, specifically via the drsuapi::DRSGetNCChanges function. This technique allows an attacker with sufficient privileges to request directory replication data from a domain controller (DC), enabling them to extract credentials, including password hashes, without directly interacting with user accounts. Commonly associated with ‘DCSync’ attacks, this technique is frequently used to obtain highly privileged credentials and enable further escalation within an environment.
Figure 3: Darktrace’s detection of anomalous AD replication activity indicative of privilege escalation.
This activity was seen alongside the use of the now obsolete SMBv1, repeated NTLM authentication attempts using multiple variations of ‘Administrator’ credentials, reverse DNS scanning, and large-scale network scanning. Darktrace observed widespread use of SMBv1 across the customer’s environment, exposing a significant security weakness. As a legacy protocol with well-documented weaknesses, SMBv1 can be exploited to facilitate lateral movement, allowing the attackers to expand their access following initial compromise.
Day 3: Lateral Movement, Command & Control, and Exfiltration
Two days later, the attacker escalated privileges and expanded their foothold using living-off-the-land (LOTL) techniques such as PSExec, WMI, and RDP. Concurrently, Darktrace identified command-and-control (C2)-style communications consistent with the Sliver framework, alongside rare outbound connections to cloud infrastructure indicating potential data exfiltration. The volume and severity of observed activity increased as attack behavior intensified.
The device was observed conducting extensive lateral movement, leveraging LOTL techniques to evade detection. Activity included WMI execution (e.g. ExecQuery), DCE-RPC activity, SMB sessions and file writes, most of which were successful, as well as the deployment of PSEXESVC.exe via ADMIN$ shares and prolonged RDP sessions. Darktrace identified this behavior as highly anomalous for the environment. Such activity is commonly associated with the transfer of attacker tooling, remote command execution, and the establishment of persistent access across compromised systems.
Figure 4: Darktrace’s detection of a spike in RPC binding events indicative of potential lateral movement.
On the same day, Darktrace detected C2-style SSL communications originating from multiple internal devices to rare external endpoints. These connections exhibited anomalous characteristics, including invalid SSL certificates and repeated connection patterns resembling beaconing. Analysis of the observed JA3 fingerprint further linked the activity to Sliver, the adversary simulation framework referenced earlier, as the hash has previously been associated with Sliver-related infrastructure [3]. The use of this framework reflects a broader trend of attackers repurposing legitimate offensive security tools for stealthy C2 communications. Connections to 137[.]220[.]59[.]55 (ASN AS20473 AS-VULTR) indicated that the communications were likely routed via a virtual private server (VPS) hosted by Vultr. Attackers often utilize VPS infrastructure from legitimate cloud providers like Vultr to obscure their true origin, blend into benign traffic, and evade IP-based detection mechanisms [4].
Figure 5: Darktrace’s Cyber AI Analyst detection of two linked unusual connections to Vultr infrastructure.
Darktrace also observed a device initiating SSL connections to safedata.s3[.]wasabisys[.]com, an endpoint associated with Wasabi cloud storage. Darktrace recognized that neither the destination nor the associated IP address had previously been observed within the environment. More than 200 MB of data was subsequently uploaded externally to endpoints sharing the same JA3 client hash, indicating a sustained transfer session and potential data exfiltration to third-party storage. The apparent exfiltration prior to encryption is consistent with a double-extortion ransomware strategy.
Figure 6: Darktrace’s Cyber AI Analyst detection of more than 30 rare outbound connections to a Wasabi cloud storage endpoint, indicative of potential data exfiltration
Day 4: Encryption
The attack culminated in ransomware deployment, marking the transition from suspicious network activity to a business-impacting incident. Using SMB-based propagation, the threat actor encrypted thousands of files across the network, affecting multiple systems and disrupting normal operations. Throughout the encryption event, the legacy SMBv1 protocol was used extensively across multiple internal systems, resulting in a significant increase in newly encrypted files.
Figure 7: Darktrace’s detection of abnormal spikes in SMB activity and associated model alerts, indicative of ransomware encryption and propagation.
Darktrace’s Cyber AI Analyst automatically investigated and correlated the encryption activity and related events into a single incident narrative, providing the customer with real-time visibility into the attack while significantly reducing investigation time.
Figure 8: Darktrace’s Cyber AI Analyst’s investigation into the encryption activity. AI Analyst incident detailing example encryption activity in real time. Related events are automatically correlated and summarized into a clear narrative, reducing investigation time.
Defender action recommendations
What Could Have Stopped the Attack Earlier?
Although the attack ultimately resulted in ransomware deployment, there were multiple opportunities to detect, contain, and disrupt the intrusion before encryption occurred. The following actions could have significantly reduced the overall impact:
Detect and investigate indicators of reconnaissance and lateral movement
Unusual scanning
Active Directory replication anomalies consistent with DCSync activity
Anomalous use of native tools and processes indicative of LOTL attacks
Unusual use of common reconnaissance tools such as Nmap and NetScan
Contain compromised credentials and affected devices
Disable and reset compromised VPN credentials
Isolate devices performing anomalous scanning and lateral movement activity
Block suspicious external communications and data exfiltration
Use anomaly-based detection to detect and block repeated outbound connections to rare external infrastructure
Prevent data exfiltration to unauthorized cloud storage services such as Wasabi
Conclusion
The incident highlights the importance of anomaly-based detection, particularly against attacks that primarily use native or legitimate tools to evade traditional security measures. Darktrace identified suspicious activity from the first day of the compromise, providing multiple opportunities to disrupt the intrusion before it progressed to lateral movement and data exfiltration.
In this instance, detection was not the limiting factor; response time was. Prompt investigation and containment of devices exhibiting anomalous behavior could have prevented lateral movement, data exfiltration, and ultimately ransomware deployment.
As adversaries increasingly prioritize stealth over custom malware, relying instead on legitimate tools, valid credentials, and trusted infrastructure, traditional signature-based detection becomes less effective. Identifying subtle behavioral deviations early remains critical to disrupting attacks before they escalate into full-scale ransomware incidents.
Credit to Alexandra Evzona (Cyber Analyst), Priya Thapa (Senior Cyber Analyst) Edited by Ryan Traill (Content Manager)
