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February 25, 2021

LockBit Ransomware Analysis: Compromised Credentials

Darktrace examines how a LockBit ransomware attack that took place over just four hours was caused by one compromised credential. Read more here.
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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25
Feb 2021

Lockbit ransomware found

LockBit ransomware was recently identified by Darktrace's Cyber AI during a trial with a retail company in the US. After an initial foothold was established via a compromised administrative credential, internal reconnaissance, lateral movement, and encryption of files occurred simultaneously, allowing the ransomware to steamroll through the digital system in just a few hours.

This incident serves as the latest reminder that ransomware campaigns now move through organizations at a speed that far outpaces human responders, demonstrating the need for machine-speed Autonomous Response to contain the threat before damage is done.

Lockbit ransomware defined

First discovered in 2019, LockBit is a relatively new family of ransomware that quickly exploits commonly available protocols and tools like SMB and PowerShell. It was originally known as ‘ABCD’ due the filename extension of the encrypted files, before it started using the current .lockbit extension. Since those early beginnings, it has evolved into one of the most calamitous strains of malware to date, asking for an average ransom of around $40,000 per organization.

As cyber-criminals level up the speed and scale of their attacks, ransomware remains a critical concern for organizations across every industry. In the past 12 months, Darktrace has observed an increase of over 20% in ransomware incidents across its customer base. Attackers are constantly developing new threat variants targeting exploits, utilizing off-the-shelf tools, and profiting from the burgeoning Ransomware-as-a-Service (RaaS) business model.

How does LockBit work?

In a typical attack, a threat actor will spend days or weeks inside a system, manually screening for the best way to grind the victim’s business to a halt. This phase tends to expose multiple indicators of compromise such as command and control (C2) beaconing, which Darktrace AI identifies in real time.

LockBit, however, only requires the presence of a human for a number of hours, after which it propagates through a system and infects other hosts on its own, without the need for human oversight. Crucially, the malware performs reconnaissance and continues to spread during the encryption phase. This allows it to cause maximal damage faster than other manual approaches.

AI-powered defense is essential in fighting back against these machine-driven attacks, which have the capacity to spread at speed and scale, and often go undetected by signature-based security tools. Cyber AI augments human teams by not only detecting the subtle signs of a threat, but autonomously responding in seconds, quicker than any human can be expected to react.

Ransomware analysis: Breaking down a LockBit attack with AI

Figure 1: Timeline of attack on the infected host and the encryption host. The infected host was the device initially infected with LockBit, which then spread to the encryption host, the device which performed the encryption.

Initial compromise

The attack commenced when a cyber-criminal gained access to a single privileged credential – either through a brute-force attack on an externally facing device, as seen in previous LockBit ransomware attacks, or simply with a phishing email. With the use of this credential, the device was able to spread and encrypt files within hours of the initial infection.

Had the method of infiltration been via phishing attack, a route that has become increasingly popular in recent months, Darktrace/Email would have withheld the email and stripped the malicious payloads, and so prevented the attack from the outset.

Limiting permissions, the use of strong passwords, and multi-factor authentication (MFA), are critical in preventing the exploitation of standard network protocols in such attacks.

Internal reconnaissance

At 14:19 local time, the first of many WMI commands (ExecMethod) to multiple internal destinations was performed by an internal IP address over DCE-RPC. This series of commands occurred throughout the encryption process. Given these commands were unusual in the context of the normal ‘pattern of life’ for the organization, Darktrace DETECT alerted the security team to each of these connections.

Within three minutes, the device had started to write executable files over SMB to hidden shares on multiple destinations – many of which were the same. File writes to hidden shares are ordinarily restricted. However, the unauthorized use of an administrative credential granted these privileges. The executable files were written to the Windows / Temp directory. Filenames had a similar formatting: .*eck[0-9]?.exe

Darktrace identified each of these SMB writes as a potential threat, since such administrative activity was unexpected from the compromised device.

The WMI commands and executable file writes continued to be made to multiple destinations. In less than two hours, the ExecMethod command was delivered to a critical device – the ‘encryption host’ – shortly followed by an executable file write (eck3.exe) to its hidden c$ share.

LockBit’s script has the capability to check its current privileges and, if non-administrative, it attempts to bypass using Windows User Account Control (UAC). This particular host did provide the required privileges to the process. Once this device was infected, encryption began.

File encryption

Only one second after encryption had started, Darktrace alerted on the unusual file extension appendage in addition to the previous, high-fidelity alerts for earlier stages of the attack lifecycle.

A recovery file – ‘Restore-My-Files.txt’ – was identified by Darktrace one second after the first encryption event. 8,998 recovery files were written, one to each encrypted folder.

Figure 2: An example of Darktrace’s Threat Visualizer showcasing anomalous SMB connections, with model breaches represented by dots.

The encryption host was a critical device that regularly utilized SMB. Exploiting SMB is a popular tactic for cyber-criminals. Such tools are so frequently used that it is difficult for signature-based detection methods to identify quickly whether their activity is malicious or not. In this case, Darktrace’s ‘Unusual Activity’ score for the device was elevated within two seconds of the first encryption, indicating that the device was deviating from its usual pattern of behavior.

Throughout the encryption process, Darktrace also detected the device performing network reconnaissance, enumerating shares on 55 devices (via srvsvc) and scanning over 1,000 internal IP addresses on nine critical TCP ports.

During this time, ‘Patient Zero’ – the initially infected device – continued to write executable files to hidden file shares. LockBit was using the initial device to spread the malware across the digital estate, while the ‘encryption host’ performed reconnaissance and encrypted the files simultaneously.

Despite Cyber AI detecting the threat even before the encryption had begun, the security team did not have eyes on Darktrace at the time of the attack. The intrusion was thus allowed to continue and over 300,000 files were encrypted and appended with the .lockbit extension. Four servers and 15 desktop devices were affected, before the attack was stopped by the administrators.

The rise of ‘hit and run’ ransomware

While most ransomware resides inside an organization for days or weeks, LockBit’s self-governing nature allows the attacker to ‘hit and run’, deploying the ransomware with minimal interaction required after the initial intrusion. The ability to detect anomalous activity across the entire digital infrastructure in real time is therefore crucial in LockBit’s prevention.

WMI and SMB are relied upon by the vast majority of companies around the world, and yet they were utilized in this attack to propagate through the system and encrypt hundreds of thousands of files. The prevalence and volume of these connections make them near-impossible to monitor with humans or signature-based detection techniques alone.

Moreover, the uniqueness of every enterprise’s digital estate impedes signature-based detection from effectively alerting on internal connections and the volume of such connections. Darktrace, however, uses machine learning to understand the individual pattern of behavior for each device, in this case allowing it to highlight the unusual internal activity as it occurred.

The organization involved did not have Darktrace RESPOND – Darktrace’s Autonomous Response technology – configured in active mode. If enabled, RESPOND would have surgically blocked the initial WMI operations and SMB drive writes that triggered the attack whilst allowing the critical network devices to continue standard operations. Even if the foothold had been established, RESPOND would have enforced the ‘pattern of life’ of the encryption host, preventing the cascade of encryption over SMB. This demonstrates the importance of meeting machine-speed attacks with autonomous cyber security, which reacts in real time to sophisticated threats when human security teams cannot.

LockBit has the ability to encrypt thousands of files in just seconds, even when targeting well-prepared organizations. This type of ransomware, with built-in worm-like functionality, is expected to become increasingly common over 2021. Such attacks can move at a speed which no human security team alone can match. Darktrace’s approach, which uses unsupervised machine learning, can respond in seconds to these rapid attacks and shut them down in their earliest stages.

Thanks to Darktrace analyst Isabel Finn for her insights on the above threat find.

Darktrace model detections:

  • Device / New or Uncommon WMI Activity
  • Compliance / SMB Drive Write
  • Compromise / Ransomware / Suspicious SMB Activity
  • Compromise / Ransomware / Ransom or Offensive Words Written to SMB
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • Anomalous Connection / SMB Enumeration
  • Device / Network Scan – Low Anomaly Score
  • Anomalous Connection / Sustained MIME Type Conversion
  • Anomalous Connection / Suspicious Read Write Ratio
  • Unusual Activity / Sustained Anomalous SMB Activity
  • Device / Large Number of Model Breaches

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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July 22, 2026

When AI Agents Go Off Script: What the OpenAI and Hugging Face Incident Means for Defenders

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The recent security incident disclosed jointly by OpenAI and Hugging Face is quickly becoming one of the most discussed AI security stories of the year; it's one that has generated great discussion amongst our researchers and technical teams here at Darktrace.

During an internal evaluation of advanced OpenAI models, an autonomous agent reportedly escaped its intended testing boundaries, obtained internet access, and compromised Hugging Face infrastructure while attempting to evaluate and benchmark the model's cyber capabilities. OpenAI has described it as an unprecedented cyber incident and is collaborating with Hugging Face to investigate and share its findings publicly to help defenders understand the implications and improve AI safety across the community.

What this means for organizations deploying AI agents

The most important takeaway for security leaders is not that the AI model is capable of complex and effective chained attacks. It's what this tells us about the guardrails and protections that need to be put in place to ensure these increasingly capable models are safely used within our businesses.

According to OpenAI's investigation, the models were not acting with malicious intent. They were attempting to achieve a legitimate assigned objective. In pursuing that objective, they identified a path that involved obtaining information from a third party's environment and followed it to completion. From the model's perspective, that appears to have been an effective solution to the problem it was given.

Many organizations still hold the assumption that giving an AI agent a legitimate goal will naturally result in legitimate behavior. Increasingly, that is not something defenders can safely assume.

A human who encounters a "permission denied" message generally understands the technical restriction as well as the social meaning behind it. An agent may interpret that message only as evidence that one method to achieve its objective has failed. What makes this incident notable is the agent’s ability to keep pursuing the objective, revise its plan, and combine many individually useful actions into an outcome its designers did not intend.

This is not an isolated challenge. Recent research from the UK's AI Security Institute found that frontier models often attempt to "cheat" evaluations by finding unintended shortcuts to success. More interestingly, that behavior is not always reflected in chain-of-thought outputs and is not always admitted when models are questioned about their actions. One lesson for defenders is that understanding what an AI system says it is doing is not always the same as understanding its behavior and what it is actually doing.

Why behavioral security is an essential security foundation

That's the principle behind Darktrace / SECURE AI and our broader approach to behavioral security. Understanding intent or putting in place static guardrails is not enough; security teams need visibility into how agents behave over time, what resources they interact with, how their behavior changes, and whether they begin pursuing objectives in unexpected ways. Research released by NIST earlier this summer reinforced that rules alone are not sufficient to defend against AI threats, with one conclusion being that "there will always be a way to prompt an AI system to disregard its rules - it's just a matter of finding it."

Another interesting lesson is that nothing described in OpenAI's preliminary findings appears fundamentally impossible for a skilled human attacker. But it does highlight the accessibility and scale that could be unlocked for attackers as increasingly capable models become more widely available. Resource constraints that attackers deal with will decrease as frontier models can help execute elements of those attack workflows autonomously, persist through failure, and iterate towards an objective. Capabilities that were once limited to skilled attackers can increasingly be supplemented with these systems, lowering the barrier to entry to conduct complex cyber operations.

It is incredibly positive to see OpenAI and Hugging Face investigating this incident collaboratively and sharing their findings publicly. Transparency and collaboration around incidents like these helps the entire security community better understand how rapidly AI capabilities are evolving and where we need to improve safeguards. It also reinforces why Darktrace is excited to be partnering with OpenAI through the Daybreak Cyber Partner Program: to explore how advanced AI can be used safely and responsibly in support of defenders while developing the visibility, governance, and security controls needed for increasingly autonomous systems.

This incident is an important reminder that capable AI systems will not always behave in the ways we expect. As organizations deploy AI agents across critical workflows, understanding behavior is an even more important foundation for effective security.

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July 22, 2026

How to Secure AI in Stadium Operations?

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Key takeaways

  • AI is entering high-impact stadium functions such as access control, crowd management, ticketing, facilities, and surveillance.  
  • Shadow AI and third-party AI use can create risks that stadium security teams cannot readily see.  
  • Security teams must understand not only which AI systems exist, but also what they can access and what actions they can take.  
  • Live-event resilience requires continuous monitoring and response across AI, IT, OT, identities, and third parties.

Modern stadiums are infrastructure unlike any other. I’ve written before on event day sparking stadiums into life with shops and food stands, transport hubs, vast telecommunications infrastructure, field-side technology and beyond, acting as one super-sized, connected ecosystem. Stadiums’ scale and complexity make them some of the toughest environments in cybersecurity. Now, we’re adding AI to those operations and bringing a new dimension of risk.

The benefits of AI in stadium operations are easy to see. It can help stadium operators move fans safely through crowded gates, forecast demand at concession stands, support biometric entry, identify suspicious behavior on CCTV, and manage heating and ventilation. Used well, it can make live events safer, faster, and more efficient.

But it also changes the security model.

In Darktrace’s recent research into the threat landscape surrounding sports, we asked cybersecurity professionals protecting professional sports organizations where in their footprint a cyber compromise would have the greatest impact. The area they named most, highlighted by 34% of the professionals we spoke to, was stadium operations. At the same time, 35% said their organizations are already using AI in stadium operations, or plan to do so in the next 12 months.

Security teams are no longer just protecting traditional IT systems around a stadium. They are increasingly being asked to protect AI systems that are operating in the stadium’s most fundamental functions.

Approved AI vs. shadow AI in stadium operations

There is a clear difference between AI a stadium’s security team knows about and AI it does not.

Approved AI is the AI that has been reviewed, tested, and integrated into the venue’s operating environment. It may support CCTV analytics, access control, facility management, ticketing, logistics, broadcast operations, or anti-piracy monitoring. It should have clear ownership, access controls, logging, vendor review, and data protection rules. That does not make it risk-free, but it allows security teams to institute proper governance.

Shadow AI is different. It is the unapproved use of AI tools by employees, contractors, or suppliers. It often starts with good intent. Someone wants to work faster. A staff member pastes internal information into a public AI tool to draft a briefing. A developer uses an AI assistant to debug ticketing code. A supplier connects an AI scheduling tool to delivery routes. A designer uploads unreleased venue plans or sponsor material to generate a mockup.

None of those actions may feel like a security decision to the person doing them. But each one can move sensitive operational data into an environment the stadium does not control, creating hidden risk.

The approved AI stack may be visible to security teams. The shadow AI stack often is not.

Why game day increases AI cybersecurity risk

In a typical enterprise environment, a security team may have hours to investigate a strange login or an unexpected connection to a third-party service. Within a stadium, the moment an incident is likely to occur is also the moment when teams are at their most stretched and the incident can have the greatest repercussions: game day.

If an AI system used for crowd management behaves unexpectedly, the issue is not only technical. It may affect physical movement inside the venue.

If a supplier tool is sending operational data to an unapproved AI platform, the issue is not only data governance. It may expose delivery routes, restricted access schedules, or staffing plans.

The most dangerous scenario is not always a loud, dramatic attack but a hidden dependency that no one has mapped such as a vendor adding an AI feature through a software update or a staff workflow using an unapproved tool.

By the time the venue is live, those hidden connections can become operational risk.

The supply chain is part of the stadium attack surface

Any major sporting event is made by its supply chain and partnerships: catering firms, transport providers, broadcast systems, facilities teams. Every piece is necessary and each creates a security channel. The risk of supply chain compromise has been well established for some time and has been the source of some of the most high-profile breaches we’ve seen. The data breach at MSG Entertainment, owner of Madison Square Garden, that was widely reported in March, originated in a breach of Oracle’s E-Business Suite, used in MSG Entertainment’s back-office systems, while the 2018 Olympic Destroyer attack on the Pyeongchang Winter Olympics reportedly began with the compromise of the main IT service provider for the Games. The addition of AI is heightening the risk.

A stadium can have strict rules for its own AI systems, but its vendors may be using separate tools. Some may use AI to manage staffing, delivery windows, inventory, or customer communications. Others may not realize that AI features have been added into software they already use.

This is one of the hardest parts of securing AI in stadium operations. The risk does not always come from a tool the venue selected. It may come from a tool a supplier selected or a feature the supplier did not know had been turned on.

Security teams need to treat vendor AI the same way they treat vendor access. They need to know what suppliers can connect to, what data they can see, what tools they use, and whether those tools introduce new routes for data exposure or lateral movement.

A third-party AI tool does not need deep access to create risk. Sometimes it only needs the right operational detail at the wrong time.

Four questions for securing AI in stadium operations

As AI becomes part of stadium operations, security teams need to move beyond basic approval lists. There are four questions they need to ask:

1. Where is AI being used?

This includes obvious tools, such as computer vision, access control, ticketing, logistics, and facility management. But it also includes less visible AI inside SaaS platforms, vendor tools, browser extensions, developer workflows, smart building systems, and collaboration tools.

2. What can the AI access?

Can it see incident logs, staffing plans, ticketing data, video feeds, building controls, fan information, credentials, or supplier systems? Can it only analyze information, or can it also trigger actions?

3. What can the AI do?

AI agents are not just passive tools. Some can call APIs, update records, generate instructions, trigger workflows, or act with the permissions of a user or service account. In a stadium, that distinction is critical. There is a big difference between an AI system that recommends an action and one that can take an action.

4. What does normal look like?

In your security architecture, static rules will not be enough. AI use changes quickly: tools appear inside existing platforms, vendors add new services, and staff find workarounds when they are under pressure. Security teams need to understand normal behavior across people, identities, devices, networks, cloud services, suppliers, and AI tools so they can spot when something changes.

That is especially important in live-event environments, where small anomalies can matter. A connection to an unapproved AI service may be harmless in one context and serious in another, and an AI agent taking action at 3 a.m. may be expected during setup but suspicious during a match. Context is what turns raw activity into useful security insight. It’s also what enables rapid response. Your own AI-based security systems can respond to threats at machine speed if they can build the live context to know action needs to be taken.

AI can make stadiums safer, but only if it is secured

AI has a real role to play in stadium operations. It can help teams detect crowd pressure earlier, reduce bottlenecks, manage facilities more efficiently, improve the fan experience, and support event teams during high-pressure moments.

The answer is not to slow all AI adoption. That's not the goal. The answer is to make AI visible, governed, and secure before it becomes part of match-day operations.

For stadium operators and event organizers, that means mapping AI use across the venue and supplier ecosystem. It means understanding what each AI system can access and what actions it can take. It means giving staff approved tools that meet their needs, rather than leaving them to find workarounds. It means writing AI use into vendor contracts and audits. And it means monitoring behavior across the full environment, not only the systems that are easiest to see. A stadium cannot secure what it cannot see.

When AI becomes part of how a stadium moves people, controls access, manages facilities, supports suppliers, and protects media rights, it stops being a side project. It becomes part of the event infrastructure.

Event infrastructure must be thoroughly prepared before venue gates open and sustained with the operational resilience required to support a secure, seamless, and reliable event experience.

How Darktrace helps secure AI in stadium operations

Darktrace brings more than a decade of behavioral AI expertise, built on an enterprise‑wide platform designed to operate in complex, ambiguous environments. We protect the large-scale integrated IT and OT environments that underpin stadium operations from the 2022 FIFA World Cup in Qatar, to Formula 1 Grand Prixes around the world and stadiums across the USA.

Other cybersecurity technologies try to predict each new attack based on historical attacks. The problem is that AI operates like humans do. Every action introduces new information that changes how AI behaves, making it unpredictable in nature. Historical attack tactics are now only a small part of the equation, forcing vendors to retrofit unproven acquisitions to secure AI.  

Darktrace is fundamentally different. Our Adaptive AI continuously learns how your people and AI behave, building an understanding of your organization so it can detect and respond autonomously when behavior deviates. Our Behavioral Defense Platform secures your AI, people, and infrastructure as you onboard new workflows, agents, and applications, enabling your AI transformation at scale.

As AI changes what organizations can do, Darktrace helps them move forward with confidence. We give the security teams defending the people and technology within stadium infrastructure the understanding, visibility, and autonomous action they need to protect new technologies as they are integrated into operations, so their organizations drive the progress that will define the AI era.

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