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November 29, 2020

Darktrace Cyber Analyst Investigates Sodinokibi Ransomware

Darktrace’s Cyber AI Analyst uncovers the intricate details of a Sodinokibi ransomware attack on a retail organization. Dive into this real-time incident.
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
Max Heinemeyer
Global Field CISO
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29
Nov 2020

Sodinokibi is one of the most lucrative ransomware strains of 2020, with its creators, cyber-criminal gang REvil, recently claiming over $100 million in profits this year alone. The prevalent threat is known to wipe backup files, encrypt files on local shares and exfiltrate data.

Exfiltration before encryption is a technique being increasingly adopted by profit-seeking cyber-criminals, who can threaten to leak the stolen data should a target organization not comply with their demands. Sodinobiki also makes heavy use of code obfuscation and encryption techniques to evade detection by signature-based, anti-virus solutions.

Darktrace’s AI recently detected Sodinokibi targeting a retail organization in the US. Prior to this year, the company operated primarily face-to-face in physical stores, but have conducted the majority of their business in the digital realm since the onset of the pandemic.

Cyber AI Analyst automatically launched a full investigation into this incident in real time, as the attack was unfolding. The technology provided summary reports of the entire incident which the security team could immediately action for incident response. This blog explores its findings.

Sodinokibi timeline

Darktrace automatically investigated on the full scope of the Sodinokibi attack, with Cyber AI Analyst clearly identifying and summarising every stage of the attack lifecycle, which played out over the course of three weeks as below:

Figure 1: A timeline of the attack

Darktrace produced a large number of security-relevant anomalies associated with just three credentials, and displayed these along a common timeline shown below:

Figure 2: A timeline view of anomaly detections separated by users. Note the clusters of model breaches for the compromised credentials leading up to October 14.

While a human analyst might have been able to identify these unusual patterns and investigate what caused the clusters of anomalous activity, this process would have taken precious hours during a crisis. Cyber AI Analyst automatically performed the same analysis using supervised machine learning trained on Darktrace’s world-leading analysts, generating meaningful summaries of each stage of the event in real time, as the incident unfolded.

REvil ransomware attack

The following events occurred during a free trial period, and Darktrace was not being actively monitored. Its Autonomous Response technology, Darktrace Antigena, was installed in passive mode, and in the absence of automatic interference at an early stage, this compromise was allowed to unfold without interruption. However, with Darktrace’s AI learning normal ‘patterns of life’ for every device in the background, identifying anomalies, and launching an automated investigation into the attack, we are able to go back into the Threat Visualizer and see how the incident unfolded.

The attack began when the credentials of a highly privileged member of the retail organization’s IT team were compromised. REvil is known to make use of phishing emails, exploit kits, server vulnerabilities, and compromised MSP networks for initial intrusion.

In this case, the attacker used the IT credential to compromise a domain controller and exfiltrate data directly after initial reconnaissance. Darktrace’s AI detected the attacker logging into the domain controller via SMB, writing suspicious files and then deleting batch scripts and log files in the root directory to clear their tracks.

The domain controller then made connections to several rare external endpoints, and Darktrace witnessed a 28MB upload that was likely exfiltration of initial reconnaissance data. Four days later, the attacker connected to the same endpoint (sadstat[.]com) – likely a stager download for C2, which was then initiated via connections on port 443 later that same day.

A week on from the intial C2 connection, a SQL server was detected engaging in network scanning as the attacker sought to move laterally in search of sensitive and valuable data. Over the course of two weeks, Darktrace witnessed unusual internal RDP connections using administrative credentials, before data was uploaded to multiple cloud storage endpoints as well as an SSH server. PsExec was used to deploy the ransomware, resulting in file encryption.

The evasive nature of modern ransomware

REvil started with an inherent advantage in that they were armed with the credentials of a highly privileged IT admin. Nevertheless, they still made several attempts to evade traditional, signature-based tools, such as ‘Living off the Land’ – using common tools such PsExec, WMI, RDP to blend into to legitimate activity.

They leveraged frequently-used cloud storage solutions like Dropbox and pCloud for data transfer, and they conducted SSH on port 443, blending in with SSL connections on the same port. They used a newly-registered domain for C2 communication, meaning Open Source Intelligence Tools (OSINT) were blind to the threat.

Finally, the malware itself was evasive in that it made use of code obfuscation and encryption, and had no need for a system library or API imports. This is the basis for most modern ransomware attacks, and the reality is signature-based tools cannot keep up. Darktrace’s AI not only detected the anomalous activity associated with every stage of the attack, but generated fleshed-out summaries of each stage of the attack with Cyber AI Analyst.

Cyber AI Analyst: Real-time incident reporting

Between September 21 and October 12, Cyber AI Analyst created 15 incidents, investigating dozens of point detections and creating a coherent attack narrative.

Figure 3: Cyber AI Incident log of the first compromised DC. This incident tab details the connections to sadstat[.]com

Figure 4: The DC establishes C2 to the first GHOSTnet GmbH IP

Figure 5: This incident tab highlights the file encryption of files on network shares

Figure 6: Darktrace surfaces the IT admin account takeover

Figure 7: Example of a client type device involved in extensive administrative RDP and SMB activity, as well as data uploads to Dropbox (this upload to Dropbox occurs few seconds before file encryption begins)

REvil vs AI

This Sodinokibi ransomware attack slipped under the radar of a range of traditional tools deployed by the retail organization. However, despite the threat dwelling in the retail organization’s digital environment for over a month, and REvil using local tools to blend in to regular traffic, from Darktrace’s perspective these actions were noisy in comparison to the organization’s normal ‘pattern of life’, setting off a series of alerts and investigations.

Darktrace’s Cyber AI Analyst was able to autonomously investigate nearly every attack phase of the ransomware. The technology works around the clock, without requiring training or time off, and can often reduce hours or days of incident response into just minutes, reducing time to triage by up to 92% and augmenting the capabilities of the human security team.

Thanks to Darktrace analyst Joel Lee for his insights on the above threat find.

Learn more about Cyber AI Analyst

Darktrace model detections:

  • Anomalous Connection / Active Remote Desktop Tunnel
  • Anomalous Connection / Data Sent To New External Device
  • Anomalous Connection / Data Sent to Rare Domain
  • Anomalous Connection / High Volume of New or Uncommon Service Control
  • Anomalous Connection / SMB Enumeration
  • Anomalous Connection / Uncommon 1 GiB Outbound
  • Anomalous Connection / Unusual Admin RDP Session
  • Anomalous Connection / Unusual Admin SMB Session
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • Anomalous Server Activity / Anomalous External Activity from Critical Network Device
  • Compliance / SMB Drive Write
  • Compliance / Possible Tor Usage
  • Compromise / Ransomware / Ransom or Offensive Words Written to SMB
  • Compromise / Ransomware / Suspicious SMB Activity
  • Device / ICMP Address Scan
  • Device / Multiple Lateral Movement Model Breaches
  • Device / Network Scan
  • Device / New or Uncommon WMI Activity
  • Device / New or Unusual Remote Command Execution
  • Device / RDP Scan
  • Device / Suspicious Network Scan Activity
  • Unusual Activity / Enhanced Unusual External Data Transfer
  • Unusual Activity / Unusual Internal Connections
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
Max Heinemeyer
Global Field CISO

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April 2, 2026

How Chinese-Nexus Cyber Operations Have Evolved – And What It Means For Cyber Risk and Resilience 

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Cybersecurity has traditionally organized risk around incidents, breaches, campaigns, and threat groups. Those elements still matter—but if we fixate on individual incidents, we risk missing the shaping of the entire ecosystem. Nation‑state–aligned operators are increasingly using cyber operations to establish long-term strategic leverage, not just to execute isolated attacks or short‑term objectives.  

Our latest research, Crimson Echo, shifts the lens accordingly. Instead of dissecting campaigns, malware families, or actor labels as discrete events, the threat research team analyzed Chinese‑nexus activity as a continuum of behaviors over time. That broader view reveals how these operators position themselves within environments: quietly, patiently, and persistently—often preparing the ground long before any recognizable “incident” occurs.  

How Chinese-nexus cyber threats have changed over time

Chinese-nexus cyber activity has evolved in four phases over the past two decades. This ranges from early, high-volume operations in the 1990s and early 2000s to more structured, strategically-aligned activity in the 2010s, and now toward highly adaptive, identity-centric intrusions.  

Today’s phase is defined by scale, operational restraint, and persistence. Attackers are establishing access, evaluating its strategic value, and maintaining it over time. This reflects a broader shift: cyber operations are increasingly integrated into long-term economic and geopolitical strategies. Access to digital environments, specifically those tied to critical national infrastructure, supply chains, and advanced technology, has become a form of strategic leverage for the long-term.  

How Darktrace analysts took a behavioral approach to a complex problem

One of the challenges in analyzing nation-state cyber activity is attribution. Traditional approaches often rely on tracking specific threat groups, malware families, or infrastructure. But these change constantly, and in the case of Chinese-nexus operations, they often overlap.

Crimson Echo is the result of a retrospective analysis of three years of anomalous activity observed across the Darktrace fleet between July 2022 and September 2025. Using behavioral detection, threat hunting, open-source intelligence, and a structured attribution framework (the Darktrace Cybersecurity Attribution Framework), the team identified dozens of medium- to high-confidence cases and analyzed them for recurring operational patterns.  

This long-horizon, behavior-centric approach allows Darktrace to identify consistent patterns in how intrusions unfold, reinforcing that behavioral patterns that matter.  

What the data shows

Several clear trends emerged from the analysis:

  • Targeting is concentrated in strategically important sectors. Across the dataset, 88% of intrusions occurred in organizations classified as critical infrastructure, including transportation, critical manufacturing, telecommunications, government, healthcare, and Information Technology (IT) services.  
  • Strategically important Western economies are a primary focus. The US alone accounted for 22.5% of observed cases, and when combined with major European economies including Germany, Italy, Spain and the UK, over half of all intrusions (55%) were concentrated in these regions.  
  • Nearly 63% of intrusions of intrusions began with the exploitation of internet-facing systems, reinforcing the continued risk posed by externally exposed infrastructure.  

Two models of cyber operations

Across the dataset, Chinese-nexus activity followed two operational models.  

The first is best described as “smash and grab.” These are short-horizon intrusions optimized for speed. Attackers move quickly – often exfiltrating data within 48 hours – and prioritize scale over stealth. The median duration of these compromises is around 10 days. It’s clear they are willing to risk detection for short-term gain.  

The second is “low and slow.” These operations were less prevalent in the dataset, but potentially more consequential. Here, attackers prioritize persistence, establishing durable access through identity systems and legitimate administrative tools, so they can maintain access undetected for months or even years. In one notable case, the actor had fully compromised the environment and established persistence, only to resurface in the environment more than 600 days after. The operational pause underscores both the depth of the intrusion and the actor’s long‑term strategic intent. This suggests that cyber access is a strategic asset to preserve and leverage over time, and we observed these attacks most often inin sectors of the high strategic importance.  

It’s important to note that the same operational ecosystem can employ both models concurrently, selecting the appropriate model based on target value, urgency, intended access. The observation of a “smash and grab” model should not be solely interpreted as a failure of tradecraft, but instead an operational choice likely aligned with objectives. Where “low and slow” operations are optimized for patience, smash and grab is optimized for speed; both seemingly are deliberate operational choices, not necessarily indicators of capability.  

Rethinking cyber risk

For many organizations, cyber risk is still framed as a series of discrete events. Something happens, it is detected and contained, and the organization moves on. But persistent access, particularly in deeply interconnected environments that span cloud, identity-based SaaS and agentic systems, and complex supply chain networks, creates a major ongoing exposure risk. Even in the absence of disruption or data theft, that access can provide insight into operations, dependencies, and strategic decision-making. Cyber risk increasingly resembles long-term competitive intelligence.  

This has impact beyond the Security Operations Center. Organizations need to shift how they think about governance, visibility, and resilience, and treat cyber exposure as a structural business risk instead of an incident response challenge.  

What comes next

The goal of this research is to provide a clearer understanding of how these operations work, so defenders can recognize them earlier and respond more effectively. That includes shifting from tracking indicators to understanding behaviors, treating identity providers as critical infrastructure risks, expanding supplier oversight, investing in rapid containment capabilities, and more.  

Learn more about the findings of Darktrace’s latest research, Crimson Echo: Understanding Chinese-nexus Cyber Operations Through Behavioral Analysis, by downloading the full report and summaries for business leaders, CISOs, and SOC analysts here.  

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About the author
Nathaniel Jones
VP, Security & AI Strategy, Field CISO

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April 1, 2026

AI-powered security for a rapidly growing grocery enterprise

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Protecting a complex, fast-growing retail organization

For this multi-banner grocery holding organization, cybersecurity is considered an essential business enabler, protecting operations, growth, and customer trust. The organization’s lean IT team manages a highly distributed environment spanning corporate offices, 100+ stores, distribution centers and  thousands of endpoints, users, and third-party connections.

Mergers and acquisitions fueled rapid growth, but they also introduced escalating complexity that constrained visibility into users, endpoints, and security risks inherited across acquired environments.

Closing critical visibility gaps with limited resources

Enterprise-wide visibility is a top priority for the organization, says the  Vice President of Information Technology. “We needed insights beyond the perimeter into how users and devices were behaving across the organization.”

A security breach that occurred before the current IT leadership joined the company reinforced the urgency and elevated cybersecurity to an executive-level priority with a focus on protecting customer trust. The goal was to build a multi-layered security model that could deliver autonomous, enterprise-wide protection without adding headcount.

Managing cyber risk in M&A

Mergers and acquisitions are central to the grocery holding company’s growth strategy. But each transaction introduces new cyber risk, including inherited network architectures, inconsistent tooling, excessive privileges, and remnants of prior security incidents that were never fully remediated.

“Our M&A targets range from small chains with a single IT person and limited cyber tools to large chains with more developed IT teams, toolsets and instrumentation,” explains the VP of IT. “We needed a fast, repeatable, and reliable way to assess cyber risk before transactions closed.”

AI-driven security built for scale, speed, and resilience

Rather than layering additional point tools onto an already complex environment, the retailer adopted the Darktrace ActiveAI Security Platform™ in 2020 as part of a broader modernization effort to improve resilience, close visibility gaps, and establish a security foundation that could scale with growth.

“Darktrace’s AI-driven approach provided the ideal solution to these challenges,” shares the VP of IT. “It has empowered our organization to maintain a robust security strategy, ensuring the protection of our network and the smooth operation of our business.”

Enterprise-wide visibility into traffic  

By monitoring both north-south and east-west traffic and applying Self-Learning AI, Darktrace develops a dynamic understanding of how users and devices normally behave across locations, roles, and systems.

“Modeling normal behavior across the environment enables us to quickly spot behavior that doesn’t fit. Even subtle changes that could signal a threat but appear legitimate at first glance,” explains the VP of IT.

Real-time threat containment, 24/7

Adopting autonomous response has created operational breathing room for the security team, says the company’s Cybersecurity  Engineer.

“Early on, we enabled full Darktrace autonomous mode and we continue to do so today,” shares the IT Security Architect. “Allowing the technology to act first gives us the time we need to investigate incidents during business hours without putting the business at risk.”

Unified, actionable view of security ecosystem

The grocery retailer integrated Darktrace with its existing security ecosystem of firewalls, vulnerability management tools, and endpoint detection and response, and the VP of IT described the adoption process as “exceptionally smooth.”

The team can correlate enterprise-wide security data for a unified and actionable picture of all activity and risk. Using this “single pane of glass” approach, the retailer trains Level 1 and Level 2 operations staff to assist with investigations and user follow-ups, effectively extending the reach of the security function without expanding headcount.

From reactive defense to security at scale

With Darktrace delivering continuous visibility, autonomous containment, and integrated security workflows, the organization has strengthened its cybersecurity posture while improving operational efficiency. The result is a security model that not only reduces risk, but also supports growth, resilience, and informed decision-making at the business level.

Faster detection, faster resolution

With autonomous detection and response, the retailer can immediately contain risk while analysts investigate and validate activity. With this approach, the company can maintain continuous protection even outside business hours and reduce the chance of lateral spread across systems or locations.

Enterprise-grade protection with a lean team

From cloud environments to clients to SaaS collaboration tools, Darktrace provides holistic autonomous AI defense, processing petabytes of the organization’s network traffic and investigating millions of individual events that could be indicative of a wider incident.

Today, Darktrace autonomously conducts the majority of all investigations on behalf of the IT team, escalating only a tiny fraction for analyst review. The impact has been profound, freeing analysts from endless alerts and hours of triage so they can focus on more valuable, proactive, and gratifying work.

“From an operational perspective, Darktrace gives us time back,” says the Cybersecurity Engineer. More importantly, says the VP of IT, “it gives us peace of mind that we’re protected even if we’re not actively monitoring every alert.”

A strategic input for M&A decision-making

One of the most strategic outcomes has been the role of cybersecurity on M&A. 90 days prior to closing a transaction, the security team uses Darktrace alongside other tools to perform a cyber risk assessment of the potential acquisition. “Our approach with Darktrace has consistently identified gaps and exposed risks,” says the VP of IT, including:

  • Remnants of previous incidents that were never fully remediated
  • Network configurations with direct internet exposure
  • Excessive administrative privileges in Active Directory or on critical hosts

While security findings may not alter deal timelines, the VP of IT says they can have enormous business implications. “With early visibility into these risks, we can reduce exposure to inherited cyber threats, strengthen our position during negotiations, and establish clear remediation requirements.”

A security strategy built to evolve with the business

As the holding group expands its cloud footprint, it will extend Darktrace protections into Azure, applying the same AI-driven visibility and autonomous response to cloud workloads. The VP of IT says Darktrace's evolving capabilities will be instrumental in addressing the organization’s future cybersecurity needs and ability to adapt to the dynamic nature of cloud security.

“With Darktrace’s AI-driven approach, we have moved beyond reactive defense, establishing a resilient security foundation for confident expansion and modernization.”

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