Google spots malware in the wild that morphs mid-attack, thanks to AI

The use of artificial intelligence (AI) in cyberattacks has entered a new phase: the development of novel malware actively used in the wild.

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It was only a month or so ago when OpenAI published a report on how AI is being used by threat actors, outlining key trends including malicious workflow efficiency, phishing, and surveillance. OpenAI -- the developer behind ChatGPT -- said at the time that there was no evidence existing AI models were being used in novel attacks.

(Disclosure: Ziff Davis, ZDNET's parent company, filed an April 2025 lawsuit against OpenAI, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.)

But according to an update from Google's Threat Intelligence Group (GTIG), AI is now being weaponized to develop adaptive malware.

The update , published on Nov. 5, outlines how AI and large language models (LLMs) are being used in new ways to refine malware and create entirely new families.

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Several malware strains have been detected in the wild that use AI to dynamically generate malicious scripts, create prompts for data theft, obfuscate code, evade detection, and alter malware behavior during the attack phase.

Google outlined novel AI features in the following strains of malware:

"This marks a new operational phase of AI abuse, involving tools that dynamically alter behavior mid-execution," Google researchers say.

Google says that while some of these malicious projects appear to be experimental, they highlight a shift away from using AI and LLMs purely for phishing or technical code improvements through what is known as " vibe coding ," the practice of using AI to generate code based on a concept or idea.

The researchers expect to see more use of AI in specific malicious functions in the future.

Google's report explored several other key trends in the world of AI cyberattacks.

The first is the increasing adoption of "social engineering-like pretexts" in prompts to bypass AI safety guardrails. For example, prompts have been used to try to lure Gemini into providing data that is usually restricted to the general public. In some cases, threat actors pose as cybersecurity researchers or students participating in capture-the-flag competitions.

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Another key trend, also noted by OpenAI researchers, is the abuse of AI models to refine existing malicious programs and infrastructure. Google says that state- groups from countries including North Korea, Iran, and China are using AI to enhance reconnaissance, phishing, and command-and-control (C2) centers.

There are also notable shifts taking place in the cybercriminal underground. AI-enabled tools and services are beginning to emerge in underground forums, including deepfake and malware generators, phishing kits, reconnaissance tools, vulnerability exploits, and technical support.

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"This evolution underscores how AI makes modern malware more effective. Attackers are now using AI to generate smarter code for data extraction, session hijacking, and credential theft, giving them faster access to identity providers and SaaS platforms where critical data and workflows live," commented Cory Michal, CSO at AppOmni.

"AI doesn't just make phishing emails more convincing; it makes intrusion, privilege abuse, and session theft more adaptive and scalable. The result is a new generation of AI-augmented attacks that directly threaten the core of enterprise SaaS operations, data integrity, and extortion resilience."

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