Top Eight Threats to SaaS Security and How to Combat Them
SaaS security requires new methods to keep up with evolving threats and business infrastructure. In this blog, learn the top eight threats to identity security and how AI-based solutions can help.
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
Carlos Gray
Senior Product Marketing Manager, Email
Share
03
Jul 2025
The latest on the identity security landscape
Following the mass adoption of remote and hybrid working patterns, more critical data than ever resides in cloud applications – from Salesforce and Google Workspace, to Box, Dropbox, and Microsoft 365.
As SaaS applications look set to remain an integral part of the digital estate, organizations are being forced to rethink how they protect their users and data in this area.
What is SaaS security?
SaaS security is the protection of cloud applications. It includes securing the apps themselves as well as the user identities that engage with them.
Below are the top eight threats that target SaaS security and user identities.
1. Account Takeover (ATO)
Attackers gain unauthorized access to a user’s SaaS or cloud account by stealing credentials through phishing, brute-force attacks, or credential stuffing. Once inside, they can exfiltrate data, send malicious emails, or escalate privileges to maintain persistent access.
2. Privilege escalation
Cybercriminals exploit misconfigurations, weak access controls, or vulnerabilities to increase their access privileges within a SaaS or cloud environment. Gaining admin or superuser rights allows attackers to disable security settings, create new accounts, or move laterally across the organization.
3. Lateral movement
Once inside a network or SaaS platform, attackers move between accounts, applications, and cloud workloads to expand their foot- hold. Compromised OAuth tokens, session hijacking, or exploited API connections can enable adversaries to escalate access and exfiltrate sensitive data.
4. Multi-Factor Authentication (MFA) bypass and session hijacking
Threat actors bypass MFA through SIM swapping, push bombing, or exploiting session cookies. By stealing an active authentication session, they can access SaaS environments without needing the original credentials or MFA approval.
5. OAuth token abuse
Attackers exploit OAuth authentication mechanisms by stealing or abusing tokens that grant persistent access to SaaS applications. This allows them to maintain access even if the original user resets their password, making detection and mitigation difficult.
6. Insider threats
Malicious or negligent insiders misuse their legitimate access to SaaS applications or cloud platforms to leak data, alter configurations, or assist external attackers. Over-provisioned accounts and poor access control policies make it easier for insiders to exploit SaaS environments.
SaaS applications rely on APIs for integration and automation, but attackers exploit insecure endpoints, excessive permissions, and unmonitored API calls to gain unauthorized access. API abuse can lead to data exfiltration, privilege escalation, and service disruption.
Adversaries compromise SaaS-based email platforms (e.g., Microsoft 365 and Google Workspace) to send phishing emails, conduct invoice fraud, or steal sensitive communications. BEC attacks often involve financial fraud or data theft by impersonating executives or suppliers.
BEC heavily uses social engineering techniques, tailoring messages for a specific audience and context. And with the growing use of generative AI by threat actors, BEC is becoming even harder to detect. By adding ingenuity and machine speed, generative AI tools give threat actors the ability to create more personalized, targeted, and convincing attacks at scale.
Protecting against these SaaS threats
Traditionally, security leaders relied on tools that were focused on the attack, reliant on threat intelligence, and confined to a single area of the digital estate.
However, these tools have limitations, and often prove inadequate for contemporary situations, environments, and threats. For example, they may lack advanced threat detection, have limited visibility and scope, and struggle to integrate with other tools and infrastructure, especially cloud platforms.
AI-powered SaaS security stays ahead of the threat landscape
New, more effective approaches involve AI-powered defense solutions that understand the digital business, reveal subtle deviations that indicate cyber-threats, and action autonomous, targeted responses.
[related-resource]
Beyond Boundaries: Fortifying Identity Security in the Cloud Era
Learn more about AI-powered solutions for SaaS security and find a checklist for what to look for in vendors in this white paper.
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.
From VPS to Phishing: How Darktrace Uncovered SaaS Hijacks through Virtual Infrastructure Abuse
Darktrace identified coordinated SaaS account compromises across multiple customer environments. The incidents involved suspicious logins from VPS-linked infrastructure followed by unauthorized inbox rule creation and deletion of phishing-related emails. These consistent behaviors across devices point to a targeted phishing campaign leveraging virtual infrastructure for access and concealment. Discover how Darktrace uncovered this activity and what it means for the future of SaaS security.
Defending the Cloud: Stopping Cyber Threats in Azure and AWS with Darktrace
This blog examines three real-world cloud-based attacks in Azure and AWS environments, including credential compromise, data exfiltration, and ransomware detonation. Learn how Darktrace’s AI-driven threat detection and Autonomous Response capabilities help organizations defend against evolving threats in complex cloud environments.
From Rockstar2FA to FlowerStorm: Investigating a Blooming Phishing-as-a-Service Platform
FlowerStorm is a phishing-as-a-service platform that leverages Adversary-in-the-Middle attacks to steal Microsoft 365 credentials and bypass MFA. Darktrace detected a SaaS compromise linked to FlowerStorm, identifying suspicious logins, password resets, and privilege escalation attempts, enabling early containment through AI-driven threat detection and response.
Botnet Behind the Camera: Mirai Katana Activity on a Video Recording Device
Key takeaways
Darktrace identified a camera device infected with the Mirai/Katana botnet in a sports-sector customer environment, showing how exposed IoT devices can become active participants in wider attack chains.
The compromise involved suspicious Wget behavior, file downloads from rare external IPs, unusual incoming HTTP connections to video recorder management interfaces, and large outbound data transfers to infrastructure associated with botnet activity.
The incident highlights the importance of extending visibility and response beyond traditional endpoints, as unmanaged or overlooked connected devices can be exploited for command-and-control, malware delivery, and data exfiltration.
Mirai and the Katana variant
Mirai is a botnet that first emerged in August 2016 and is well known for launching large-scale distributed-denial-of-service (DDoS) attacks, typically targeting exposed Internet of Things (IoT) devices. It identifies vulnerable IoT devices ,often by abusing default credentials or exposed services, and recruiting them into a remotely controlled botnet that can be used in DDoS campaigns [1].
Katana, one of the many variants that arose after Mirai’s source code was released publicly, was first observed in late 2020 and has been seen using more advanced capabilities, including custom command-and-control (C2), persistence mechanisms, and DDoS functionality [2].
In March 2026, research from the Nokia Deepfield Emergency Response Team (ERT) identified Katana as a Mirai-derived DDoS botnet targeting Android-based TV set-top boxes through exposed Android Debug Bridge (ADB) access. Observed capabilities included custom C2, runtime domain rotation, multiple DDoS methods, and an on-device compiled kernel rootkit used for persistence and stealth [3].
Darktrace’s detection of Mirai Botnet activity on a camera device
In early 2026, Darktrace identified a Network/Digital Video Recorder (NVR/DVR) on the network of a sports-sector customer that had been infected with the Mirai Katana botnet and subsequently used to exfiltrate data from the customer’s environment. Seemingly related follow-up activity was observed on the same device several months later.
In both instances, the Darktrace Security Operations Centre (SOC) alerted the customer as part of the Managed Threat Detection (MTD) service. However, as Darktrace’s Autonomous Response capability was not fully enabled on the affected device, Darktrace was unable to proactively block the suspicious activity or prevent the compromise from continuing and recurring.
The initial compromise appears to have occurred when the affected device was seen using Wget to download Linux-based Executable and Linkable Format (ELF) files from a rare external IP, 195.177.94[.]105, which had not previously been observed in the customer’s network. Further analysis downloaded file hashes identified files related to the Mirai botnet.
Figure 1: Darktrace’s Real-Time AI Analyst investigation into the unusual outbound connection where the ELF files were downloaded.
Within a few hours, Darktrace detected the device uploading close to 3GB of data to another external IP, 50.7.49[.]4:3017 (ASN AS30058 FDCSERVERS), suggesting that the activity was likely routed via a virtual private server (VPS) hosted by FDC Servers [2]. Attackers often abuse VPS infrastructure from legitimate cloud providers to blend in with legitimate traffic and evade IP reputation and geolocation-based detections.
Figure 2: Darktrace’s detection of the unusual data upload activity by the affected camera device.
Darktrace continued to observe similar data transfers to multiple rare endpoints including 171.225.223[.]53, 95.161.128[.]62, 61.7.209[.]88, 95.161.128[.]62, which have been linked to Mirai by open-source intelligence (OSINT).
Figure 3: Darktrace’s detection of spikes in unusual external data transfer activity from the camera device.
Exploitation continued
Several months later, Darktrace identified the same exfiltration pattern on the device again, this time with stronger indications of associations with Mirai Katana botnet infection.
The device received incoming HTTP connections from 129.121.114[.]124, an external IP known to be associated with the Katana botnet IP [3]. The connections targeted the ‘/dvr/cmd’ path using the root username and user agent Mozilla/5.0 (Windows NT 10.0; Win64; x64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/42.0.2311.135 Safari/537.36 Edge/12.246.
The ‘/dvr/cmd’ path appears to be associated with the affected device’s web management functionality. This API endpoint has historically been targeted by Mirai and other IoT botnets through the exploitation of critical command injection vulnerabilities and automated botnet exploitation [4].
Figure 4: Darktrace’s detection of HTTP connectivity from the external IP associated with Mirai Katana Botnet.
A few days later, Darktrace observed the Wget utility being used to download ELF files, including “/lil”, from the IP 129.121.114[.]124. OSINT reporting has since associated this IP address with the Mirai Katana botnet. Notably, the IP observed earlier in the year, 195.177.94[.]105, had also hosted a file named “lil”, indicating a link between the observed activity.
Over the following days, the device received a sudden spike in connections from multiple rare external endpoints, suggesting a possible successful brute force attack. Darktrace also observed the device exfiltrating just under 4GB of data to another Mirai-associated IP address, 66.92.198[.]194, over ports 3344, 954922, and 80. Finally, the device was seen uploading data to the Mirai botnet IP 5.175.249[.]53 over port138 and exhibited an increase in UDP connections to 34.18.28[.]10 over port 9068.
Following both file download events, Darktrace identified spikes in external data transfers and connection attempts to rare destinations. While Darktrace’s Threat Research team could not confirm with high confidence that this to activity was directly associated with Mirai, it may indicate that Mirai Katana includes data exfiltration functionality.
Darktrace’s threat researchers also identified an internet-facing NTP server belonging to a separate customer receiving incoming connection attempts from the same initially observed IP, 195.177.94[.]105,over the port 123. This suggests that Mirai Katana may not exclusively target IoT devices.
Conclusion
This case demonstrates how threat actors can exploit overlooked IoT and OT devices to support broader malicious objectives. Here, a camera device infected with a botnet was used to exfiltrate data from the customer's environment, showing how peripheral assets can become active participants in an attack chain.
This case also reinforces a challenge many organizations face today: extending security visibility beyond traditional endpoints and servers. Cameras, sensors, and other connected devices often operate with limited monitoring and may fall outside established security processes, despite maintaining network connectivity and access to potentially sensitive environments. This is particularly relevant in the sports sector, where growing reliance on connected cameras, smart stadium technologies, and other IoT devices continues to expand the attack surface, as highlighted in Darktrace's Sports Sector Threat Report.
As botnets like Kata and Mirai continue to evolve, defenders need visibility across unmanaged IoT and edge devices, as well as security solutions that can recognize subtle deviations in device behavior that may indicate an emerging compromise.
Credit to Parvatha Ananthakannan (Cyber Analyst), Signe Zaharka (Principal Analyst)
Edited by Ryan Traill (Content Manager)
Appendices
Darktrace Model Detections
· Anomalous File / EXE from Rare External Location
· Anomalous File / Multiple EXE from Rare External Locations
· Device / Initial Attack Chain Activity
· Unusual Activity / Unusual External Data to New Endpoint
· Anomalous Connection / Data Sent to Rare Domain
· Unusual Activity / Enhanced Unusual External Data Transfer
· Anomalous Connection / Uncommon 1 GiB Outbound
· Device / Significant UDP Increase
· Anomalous Connection / Low and Slow Exfiltration to IP
· Compromise / Large Number of Suspicious Failed Connections
· Compromise / Large Number of Suspicious Successful Connections
AI Agents: Securing the Path from Intent to Action
The UK’s National Cyber Security Centre (NCSC) recently published guidance on managing the cyber risk of agentic AI. While the document is framed as interim advice as more formal guidance is developed, the framing reflects the current state of the industry: organizations are already deploying agents into production environments while standards, controls, and operating models for autonomous systems remain unsettled. Governance is evolving alongside adoption rather than preceding it, a reality which underscores the importance of robust controls.
The NCSC’s guidance recommends aligning controls to an agent's level of autonomy, assigning distinct identities, limiting permissions, constraining access to systems and data, monitoring activity, maintaining human oversight, and preserving the ability to intervene when necessary. Most of these recommendations will sound familiar to security teams. The challenge is not the novelty of the controls. It is the type of system those controls now need to govern.
The shift from model security to agent security
For several years, AI security discussions have focused heavily on models. Can a model be manipulated? Jailbroken? Trusted? Can it expose information it should not? Those questions remain important, but they capture only part of the problem. A model generating text is one thing. A system connected to identities, applications, tools, workflows, and business data is another.
The difference becomes clearer when comparing a chatbot that answers questions with an agent that can retrieve customer records, update tickets, invoke tools, trigger workflows, and interact with external systems. The underlying model may be identical. Its access is not. The security question begins to shift from what the model knows to what the system can do.
The same theme appears in the Five Eyes statement released earlier this year, describing AI as a force multiplier that is accelerating both offensive and defensive cyber operations. The NCSC guidance explores what that reality looks like when autonomous systems begin operating inside enterprise environments.
Securing AI agents in operation
The NCSC spends relatively little time debating model behavior and considerably more time discussing identity, permissions, monitoring, oversight, containment, and response. Agents are treated as participants within an environment rather than isolated pieces of technology.
That's broadly consistent with how we think about the problem at Darktrace.
An agent should not be treated as an extension of a user account. It develops its own behavioral patterns. It accesses systems, interacts with data, invokes tools, and moves across workflows in ways that can be observed independently. Understanding what an agent is permitted to do matters. Understanding how it actually behaves once deployed, and whether that behavior aligns with business intent, matters just as much.
Identity provides an obvious example. The NCSC recommends assigning distinct identities to agents rather than allowing them to disappear into surrounding human or service accounts. Most importantly, assigning agents distinct identities enables independent behavioral monitoring.
Development assumptions vs. real-world behavior
The same principle extends to monitoring. NCSC guidance places agent activity within normal security operations rather than treating it as a separate AI governance function. Many of the controls described are put in place before an agent begins operating. Sandboxing, credential design, approval workflows and human oversight all reflect judgments about how the system is expected to behave and what risks it is likely to create.
Actual use may challenge those assumptions. Access patterns change. Workflows expand. Systems begin interacting with resources they have never touched before. Processes that appeared reasonable during design behave differently in production. Human oversight requirements may turn out to be either excessive or inadequate once the system is operating at scale and operating within the context of unique business processes.
The Five Eyes statement points to a similar issue: organizations need confidence that controls continue to work as intended once systems are exposed to real users, data, tools and operational pressures. Often, the question is not whether an agent is technically allowed to perform an action, but whether its behavior remains consistent with the role it was intended to play.
Monitoring and governance of AI agents go hand-in-hand
This problem is exactly why monitoring and governance should be treated as part of the same process. Governance sets the initial parameters for deployment, while monitoring provides evidence about whether those parameters remain appropriate. That evidence should, in turn, inform changes to permissions, controls and oversight.
This matters increasingly as autonomous systems are integrated into business processes. The relevant risk is shaped not only by the model or agent itself, but by what it can access, what actions it can take, and how its behavior changes in practice.
Developing continuous oversight of AI agent behavior
The implication is clear: governance cannot end at deployment. Organizations need a way to understand how agents behave after deployment, test whether controls remain appropriate, and adjust them as conditions change. That requires visibility not just into technical activity, but into whether that activity makes sense in the context of the business process the agent is intended to support.
This is where business-centric behavioral security can become critical. Risk does not emerge from the model itself: it emerges from the actions an autonomous system takes within the enterprise and the downstream consequences of those actions.
An agent can operate exactly as intended and still create risk if it accesses sensitive information in an unexpected context, exercises permissions in ways that create unintended exposure, or influences business processes in ways that were not anticipated during design and review.
Traditional governance vs. behavioral security
Traditional governance frameworks provide assurance at a point in time. Behavioral security can provide ongoing visibility into how autonomous systems interact with the organization they are meant to serve. Rather than focusing exclusively on model performance or policy compliance, organizations need to understand whether an agent's behavior aligns with business intent, operational expectations, and acceptable risk tolerances as conditions change.
As enterprises move from isolated AI deployments to interconnected ecosystems of agents, visibility into behavior becomes as important as visibility into code. Governance determines what an autonomous system is permitted to do. Behavioral analytics helps determine what it is doing, what business outcomes it is producing, and whether those outcomes remain aligned with the organization's objectives.
