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FBI's new warning about AI-driven scams that are after your cash

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FBI's new warning about AI-driven scams that are after your cash

The FBI is issuing a warning that criminals are increasingly using generative AI technologies, particularly deepfakes, to exploit unsuspecting individuals. This alert serves as a reminder of the growing sophistication and accessibility of these technologies and the urgent need for vigilance in protecting ourselves from potential scams. Let’s explore what deepfakes are, how they’re being used by criminals and what steps you can take to safeguard your personal information.

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FBI building in D.C. (Kurt “CyberGuy” Knutsson)

The rise of deepfake technology

Deepfakes refer to AI-generated content that can convincingly mimic real people, including their voices, images and videos. Criminals are using these techniques to impersonate individuals, often in crisis situations. For instance, they might generate audio clips that sound like a loved one asking for urgent financial assistance or even create real-time video calls that appear to involve company executives or law enforcement officials. The FBI has identified 17 common techniques used by criminals to create these deceptive materials.

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Image of AI illustration (Kurt “CyberGuy” Knutsson)

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Key tactics used by criminals

The FBI has identified 17 common techniques that criminals are using to exploit generative AI technologies, particularly deepfakes, for fraudulent activities. Here is a comprehensive list of these techniques.

1) Voice cloning: Generating audio clips that mimic the voice of a family member or other trusted individuals to manipulate victims.

2) Real-time video calls: Creating fake video interactions that appear to involve authority figures, such as law enforcement or corporate executives.

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3) Social engineering: Utilizing emotional appeals to manipulate victims into revealing personal information or transferring funds.

4) AI-generated text: Crafting realistic written messages for phishing attacks and social engineering schemes, making them appear credible.

5) AI-generated images: Using synthetic images to create believable profiles on social media or fraudulent websites.

6) AI-generated videos: Producing convincing videos that can be used in scams, including investment frauds or impersonation schemes.

7) Creating fake social media profiles: Establishing fraudulent accounts that use AI-generated content to deceive others.

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8) Phishing emails: Sending emails that appear legitimate but are crafted using AI to trick recipients into providing sensitive information.

9) Impersonation of public figures: Using deepfake technology to create videos or audio clips that mimic well-known personalities for scams.

10) Fake identification documents: Generating fraudulent IDs, such as driver’s licenses or credentials, for identity fraud and impersonation.

11) Investment fraud schemes: Deploying AI-generated materials to convince victims to invest in non-existent opportunities.

12) Ransom demands: Impersonating loved ones in distress to solicit ransom payments from victims.

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13) Manipulating voice recognition systems: Using cloned voices to bypass security measures that rely on voice authentication.

14) Fake charity appeals: Creating deepfake content that solicits donations under false pretenses, often during crises.

15) Business email compromise: Crafting emails that appear to come from executives or trusted contacts to authorize fraudulent transactions.

16) Creating misinformation campaigns: Utilizing deepfake videos as part of broader disinformation efforts, particularly around significant events like elections.

17) Exploiting crisis situations: Generating urgent requests for help or money during emergencies, leveraging emotional manipulation.

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Image of AI illustration (Kurt “CyberGuy” Knutsson)

These tactics highlight the increasing sophistication of fraud schemes facilitated by generative AI and the importance of vigilance in protecting personal information.

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Tips for protecting yourself from deepfakes

Implementing the following strategies can enhance your security and awareness against deepfake-related fraud.

1) Limit your online presence: Reduce the amount of personal information, especially high-quality images and videos, available on social media by adjusting privacy settings.

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2) Invest in personal data removal services: The less information is out there, the harder it is for someone to create a deepfake of you. While no service promises to remove all your data from the internet, having a removal service is great if you want to constantly monitor and automate the process of removing your information from hundreds of sites continuously over a longer period of time. Check out my top picks for data removal services here.

3) Avoid sharing sensitive information: Never disclose personal details or financial information to strangers online or over the phone.

4) Stay vigilant with new connections: Be cautious when accepting new friends or connections on social media; verify their authenticity before engaging.

5) Check privacy settings on social media: Ensure that your profiles are set to private and that you only accept friend requests from trusted individuals. Here’s how to switch any social media accounts, including Facebook, Instagram, Twitter and any others you may use, to private.

6) Use two-factor authentication (2FA): Implement 2FA on your accounts to add an extra layer of security against unauthorized access.

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7) Verify callers: If you receive a suspicious call, hang up and independently verify the caller’s identity by contacting their organization through official channels.

8) Watermark your media: When sharing photos or videos online, consider using digital watermarks to deter unauthorized use.

9) Monitor your accounts regularly: Keep an eye on your financial and online accounts for any unusual activity that could indicate fraud.

10) Use strong and unique passwords: Employ different passwords for various accounts to prevent a single breach from compromising multiple services. Consider using a password manager to generate and store complex passwords.

11) Regularly backup your data: Maintain backups of important data to protect against ransomware attacks and ensure recovery in case of data loss.

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12) Create a secret verification phrase: Establish a unique word or phrase with family and friends to verify identities during unexpected communications.

13) Be aware of visual imperfections: Look for subtle flaws in images or videos, such as distorted features or unnatural movements, which may indicate manipulation.

14) Listen for anomalies in voice: Pay attention to the tone, pitch and choice of words in audio clips. AI-generated voices may sound unnatural or robotic.

15) Don’t click on links or download attachments from suspicious sources: Be cautious when receiving emails, direct messages, texts, phone calls or other digital communications if the source is unknown. This is especially true if the message is demanding that you act fast, such as claiming your computer has been hacked or that you have won a prize. Deepfake creators attempt to manipulate your emotions, so you download malware or share personal information. Always think before you click.

The best way to safeguard yourself from malicious links that install malware, potentially accessing your private information, is to have antivirus software installed on all your devices. This protection can also alert you to phishing emails and ransomware scams, keeping your personal information and digital assets safe. Get my picks for the best 2025 antivirus protection winners for your Windows, Mac, Android and iOS devices.

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16) Be cautious with money transfers: Do not send money, gift cards or cryptocurrencies to people you do not know or have met only online or over the phone.

17) Report suspicious activity: If you suspect that you have been targeted by scammers or have fallen victim to a fraud scheme, report it to the FBI’s Internet Crime Complaint Center

A woman typing on her laptop (Kurt “CyberGuy” Knutsson)

By following these tips, individuals can better protect themselves from the risks associated with deepfake technology and related scams.

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Kurt’s key takeaways

The increasing use of generative AI technologies, particularly deepfakes, by criminals highlights a pressing need for awareness and caution. As the FBI warns, these sophisticated tools enable fraudsters to impersonate individuals convincingly, making scams harder to detect and more believable than ever. It’s crucial for everyone to understand the tactics employed by these criminals and to take proactive steps to protect their personal information. By staying informed about the risks and implementing security measures, such as verifying identities and limiting online exposure, we can better safeguard ourselves against these emerging threats.

In what ways do you think businesses and governments should respond to the growing threat of AI-powered fraud? Let us know by writing us at Cyberguy.com/Contact.

For more of my tech tips and security alerts, subscribe to my free CyberGuy Report Newsletter by heading to Cyberguy.com/Newsletter.

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Technology

Xiaomi 17 is a small(ish) phone with a big(ish) battery

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Xiaomi 17 is a small(ish) phone with a big(ish) battery

Xiaomi has just given a global launch to two of its latest flagship phones, the Xiaomi 17 and 17 Ultra, along with a Leica-branded Leitzphone edition of the Ultra. There’s no sign, however, of the 17 Pro, which launched in China with an additional display mounted next to the rear cameras.

The 17 and 17 Ultra will apparently be available soon in the UK, Europe, and select other markets. The 17 — pitched as a rival to the likes of the iPhone 17 and Samsung Galaxy S26 — will cost £899 / €999 (about $1,200), while the larger and more capable Ultra starts from £1,299 / €1,499 ($1,750). The limited-edition Leitzphone will be substantially more expensive at £1,699 / €1,999 ($2,300), though it includes 16GB of RAM and 1TB of storage, along with a few extra accessories.

I like the simple, sleek aesthetic of the phone.
Photo of Xiaomi 17 homescreen on a wooden table outdoors

The 6.3-inch display isn’t tiny, but it does make the phone small by modern standards.
Closeup on Xiaomi 17 rear camera

All three of the phone’s rear cameras are 50-megapixel.

The 17 is an extremely capable small-ish flagship, with a 6.3-inch OLED display, Qualcomm Snapdragon 8 Elite Gen 5, and large 6,330mAh silicon-carbon battery (though sadly smaller than the 7,000mAh version launched in China). I won’t be writing a full review of the 17, but did spend a week using it as my main phone, and found that the battery cruised past the full-day mark, though wasn’t quite enough for two full days of my typical usage. That’s far better battery life than you’d find in similarly sized phones from Apple, Samsung, or Google.

The cameras impress too, with 50-megapixel sensors behind each of the four lenses, selfie included. Pound for pound, you won’t find many better camera systems in any phone this size.

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1/10

I’ve been largely impressed by the Xiaomi 17’s cameras.

The Ultra, unsurprisingly, takes things to another level. It’s much larger, with a 6.9-inch display, and weighs a hefty 218g. Despite that, the 6,000mAh is actually smaller, though I found it delivered pretty similar longevity.

Photo of Xiaomi 17 and 17 Ultra on a table, closeup on the cameras

The 17 Ultra is larger in just about every respect, but strangely has a smaller battery.

The enormous camera is, as ever for Xiaomi’s Ultra phones, the highlight. There are 50-megapixel sensors for each of the main, ultrawide, and selfie cameras, with a large 1-inch-type sensor behind the primary lens. The periscope telephoto is even more impressive: 200-megapixel resolution, a large 1/1.4-inch sensor, and continuous optical zoom from 3.2x to 4.3x, the equivalent of 75-100mm. Xiaomi isn’t the first to pull off a true zoom phone — Sony’s Xperia 1 IV got there first in 2022 — but the telephoto camera here is far more capable than that phone’s, with natural bokeh and impressive performance even in low light.

Photo of Xiaomi 17 Ultra Leitzphone outdoors

This is the Leica-branded Leitzphone version of the 17 Ultra.

The camera capabilities are supported by Xiaomi’s ongoing photography partner Leica, but it’s the pair’s Leitzphone that really emphasizes that. Slightly redesigned from the 17 Ultra Leica Edition that was released in China last December, this includes Leica branding across the hardware and software, a range of Leica filters and shooting styles, and a rotatable rear camera ring that can be used to control the zoom. It’s the first Leica Leitzphone produced by Xiaomi — after a trio of Japan-only Sharp models — and comes with additional branded accessories, including a case with a lens cap and a microfiber cleaning cloth.

Xiaomi has plenty of other announcements alongside the 17 series phones at MWC this year, including a super-slim magnetic power bank, the Pad 8 and Pad 8 Pro tablets, and a smart tag that supports both Google and Apple’s tech-tracking networks.

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Photography by Dominic Preston / The Verge

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Google dismantles 9M-device Android hijack network

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Google dismantles 9M-device Android hijack network

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Free apps are supposed to cost you nothing but storage space. But in this case, they may have cost millions of people control over their own internet connections.

Google says it has disrupted what it believes was the world’s largest residential proxy network, one that secretly hijacked around 9 million Android devices, along with computers and smart home gadgets. Most people had no idea their devices were being used since the apps worked normally, and nothing looked broken.

But behind the scenes, those devices were quietly routing traffic for strangers, including cybercriminals.

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Google says it disrupted a massive residential proxy network that secretly hijacked about 9 million Android and smart devices. (AaronP/Bauer-Griffin/GC Images)

How your device became part of a proxy network

According to Google’s Threat Intelligence Group, the network was tied to a company known as IPIDEA. Instead of spreading through obvious malware, it relied on hidden software development kits, or SDKs, that were embedded inside more than 600 apps. These apps ranged from simple utilities to VPN tools and other free downloads. When you installed one, the app performed its advertised function. But it also enrolled your device into a residential proxy network.

That means your phone, computer or smart device could be used as a relay point for someone else’s internet traffic. That traffic might include scraping websites, launching automated login attempts or masking the identity of someone conducting shady online activity. From the outside, it looked like that activity came from your home IP address. You wouldn’t see it happening, and in many cases, you wouldn’t notice any major performance issues.

Google says in a single seven-day period earlier this year, more than 550 separate threat groups were observed using IP addresses linked to this infrastructure. That includes cybercrime operations and state-linked actors. Residential proxy networks are attractive because they make malicious traffic look like normal consumer activity. Instead of coming from a suspicious data center, it appears to come from someone’s living room.

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What Google did to shut it down

Google says it took legal action in a U.S. federal court to seize domains used to control the infected devices and route proxy traffic. It also worked with companies like Cloudflare and other security firms to disrupt the network’s command-and-control systems. Google claims it also updated Play Protect, the built-in Android security system, so that certified devices would automatically detect and remove apps known to include the malicious SDKs.

However, Google also warned that many of these apps were distributed outside the official Play Store. That matters because Play Protect can only scan and block threats tied to apps installed through Google Play. Third-party app stores, unofficial downloads and uncertified Android devices carry far greater risk.

IPIDEA has claimed its service was meant for legitimate business use, such as web research and data collection. But Google’s research suggests the network was heavily abused by criminals. Even if some users knowingly installed bandwidth-sharing apps in exchange for rewards, many did not receive clear disclosure about how their devices were being used.

Google’s investigation also found significant overlap between different proxy brands and SDK names. What looked like separate services were often tied to the same infrastructure. That makes it harder for consumers to know which apps are safe and which are quietly monetizing their connection.

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Hidden software inside more than 600 apps allegedly turned phones and computers into internet relays for cybercriminals. (David Paul Morris/Bloomberg via Getty Images)

7 ways you can protect yourself from Android proxy attacks

If millions of devices can be quietly turned into internet relay points, the big question is, how do you make sure yours isn’t one of them? These steps reduce the risk that your phone, TV box or smart device gets pulled into a proxy network without you realizing it.

1) Stick to official app stores

Only download apps from the Google Play Store or other trusted app marketplaces. Some apps hide small pieces of code that can secretly use your internet connection. These are often spread through third-party app stores or direct app files called “APKs,” which are Android app files installed manually instead of through the Play Store. When you sideload apps this way, you bypass Google’s built-in security checks. Sticking to official stores helps keep those hidden threats off your device.

2) Avoid “earn money by sharing bandwidth” apps

If an app promises rewards for sharing your unused internet bandwidth, that’s a major red flag. In many cases, that is exactly how residential proxy networks recruit devices. Even if it sounds legitimate, you are effectively renting out your IP address. That can expose you to abuse, blacklisting or deeper network vulnerabilities.

3) Review app permissions carefully

Before installing any app, check what permissions it requests. A simple wallpaper app should not need full network control or background execution privileges. After installation, go into your phone’s settings and audit which apps have constant internet access, background activity rights or special device permissions.

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4) Install strong antivirus software

Today’s mobile security tools can detect suspicious app behavior, unusual internet activity and hidden background services. Strong antivirus software adds an extra layer of protection beyond what’s built into your device, especially if you’ve installed apps in the past that you’re unsure about. Get my picks for the best 2026 antivirus protection winners for your Windows, Mac, Android and iOS devices at Cyberguy.com.

5) Keep your devices updated

Android security updates patch vulnerabilities that proxy operators may exploit. If you’re using an older phone, tablet or Android TV box that no longer receives updates, it may be time to upgrade. Unpatched devices are easier targets for hidden SDK abuse and botnet enrollment.

6) Use a strong password manager

If your device ever becomes part of a proxy network or is otherwise compromised, attackers often try to pivot into your accounts next. That’s why you should never reuse passwords. A password manager generates long, unique passwords for every account and stores them securely, so one breach does not unlock your email, banking or social media. Many password managers also include breach monitoring tools that alert you if your credentials appear in leaked databases, giving you a chance to act before real damage is done. Check out the best expert-reviewed password managers of 2026 at Cyberguy.com.

7) Remove apps you don’t fully trust

Go through your installed apps and delete or uninstall anything you don’t recognize or haven’t used in months. The fewer apps running on your device, the fewer opportunities there are for hidden SDKs to operate. If you suspect your device has been compromised, consider a full reset and reinstall only essential apps from trusted sources.

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Threat groups and state-linked actors allegedly used compromised devices to mask online activity and automate attacks. (Photo Illustration by Serene Lee/SOPA Images/LightRocket via Getty Images)

Kurt’s key takeaway

Residential proxy networks operate in a gray area that sounds harmless on paper but can quickly become a shield for cybercrime. In this case, millions of everyday devices were quietly enrolled into a system that attackers used to hide their tracks. Google’s takedown is a major move, but the broader market for residential proxies is still growing. That means you need to be cautious about what you install and what permissions you grant. Free apps are rarely truly free. Sometimes, the product being sold is you and your internet connection.

Have you ever installed an app that promised rewards for sharing bandwidth, or used a free VPN without thinking twice about it? Let us know your thoughts by writing to us at Cyberguy.com.

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Defense secretary Pete Hegseth designates Anthropic a supply chain risk

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Defense secretary Pete Hegseth designates Anthropic a supply chain risk

This week, Anthropic delivered a master class in arrogance and betrayal as well as a textbook case of how not to do business with the United States Government or the Pentagon.

Our position has never wavered and will never waver: the Department of War must have full, unrestricted access to Anthropic’s models for every LAWFUL purpose in defense of the Republic.

Instead, @AnthropicAI and its CEO @DarioAmodei, have chosen duplicity. Cloaked in the sanctimonious rhetoric of “effective altruism,” they have attempted to strong-arm the United States military into submission – a cowardly act of corporate virtue-signaling that places Silicon Valley ideology above American lives.

The Terms of Service of Anthropic’s defective altruism will never outweigh the safety, the readiness, or the lives of American troops on the battlefield.

Their true objective is unmistakable: to seize veto power over the operational decisions of the United States military. That is unacceptable.

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As President Trump stated on Truth Social, the Commander-in-Chief and the American people alone will determine the destiny of our armed forces, not unelected tech executives.

Anthropic’s stance is fundamentally incompatible with American principles. Their relationship with the United States Armed Forces and the Federal Government has therefore been permanently altered.

In conjunction with the President’s directive for the Federal Government to cease all use of Anthropic’s technology, I am directing the Department of War to designate Anthropic a Supply-Chain Risk to National Security. Effective immediately, no contractor, supplier, or partner that does business with the United States military may conduct any commercial activity with Anthropic. Anthropic will continue to provide the Department of War its services for a period of no more than six months to allow for a seamless transition to a better and more patriotic service.

America’s warfighters will never be held hostage by the ideological whims of Big Tech. This decision is final.

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