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Key Findings
- The number of newly formed ransomware groups increased by 30% during the 12 months to the end of October 2025
- New, white-label Ransomware-as-a-Service (RaaS) platforms now enable cybercriminal groups to create their own brands
- Cybercriminal groups are abandoning encryption in favour of pure data exfiltration for faster, lower-cost cyber-attacks
- Global vulnerability disclosures rose 21% to exceed 35,000 in the year to the end of October 2025
- First evidence of a nation-state-backed threat group leveraging Claude’s agentic capabilities to orchestrate attacks, with AI agents performing up to 90% of the intrusion activity
- Threat actors from Russia, China, and Iran remain the top threats to the public sector as they sustain large cyber espionage campaigns, while nation-state-sponsored bad actors likely earned over $2 billion from cybercrime in 2025.
- China, North Korea, and organised crime groups continue to be substantial threats to the professional services and legal sectors
- Cyber activity targeting the professional services and legal sectors rose sharply through 2025, with a 43% increase in observed incidents
- Ransomware targeting grew by 43%
- Data breaches rose by 20%
- The sector was targeted across 43 countries, with organisations based in the US, Canada, and Brazil hit the most

Looking Ahead to 2026
Despite these challenges, we’re optimistic that the tide is turning in favour of defenders. Cross-sector collaboration is strengthening, and more organisations are shifting from reactive defences to proactive resilience strategies – a direction we believe is essential for the future of cyber security.
Meanwhile, defensive AI continues to mature, enabling earlier detection of anomalous behaviour, more efficient investigation, and empowering all analysts to raise their game.

Take Action
Every sector faces cyber security challenges. Our range of managed security services and incident response services are designed to defend and protect organisations wherever they are on their security journey.
To explore how intelligence-led security approaches translate into practical defensive outcomes, organisations are encouraged to participate in the Microsoft Threat Protection Workshop.





