Article
AI Deep Dive Part 1: The History of AI
Arete Analysis
Cyber Threats

Artificial intelligence (AI) is a subset of computer science that focuses on creating systems that can replicate human intelligence and problem-solving capabilities. This is accomplished by feeding large amounts of data into machine learning models (MLMs) and processing the data. The result is technology that can simulate human learning, comprehension, problem-solving, decision-making, creativity, and autonomy.
While often seen as new, cutting-edge technology, AI has been around far longer than most would think. While the concept of AI goes back to ancient philosophers theorizing on life and death, AI as we know it began in the early 1900s. The conception of what AI is began to be portrayed in science fiction by various authors and artists throughout the early 1900s prior to what is commonly known as “the birth of AI.”
AI Through the Ages
The Birth of AI: 1950 – 1956
Computer scientists such as Alan Turing, Arthur Samuel, and John McCarthy set the stage for the beginning of AI. Turing published “Computer Machinery and Intelligence,” which annotated a test of machine intelligence called the Imitation Game. Turing theorized that any machine able to fool a human judge would be classified as artificial intelligence.
AI Maturation: 1957 – 1979
The next twenty years showed little growth for AI at a technical level. While the concept of AI became popular in pop culture, funding-backed research was minimal during this period. However, that is not to say that strides towards what AI is today were not made. The first programming languages were created, paving the way for future development. The first AI chatbot was created, which adopted a new approach to AI that we now call deep learning, and the first examples of an autonomous vehicle were created.
AI Boom: 1980 – 1987
During the seven-year period known as the AI boom, government funding and associated research significantly increased. The first Association for the Advancement of Artificial Intelligence (AAAI) conference was held at Sanford, and the first driverless car demonstrated its ability to drive up to 55 mph on empty roads.
AI Winter: 1987 – 1993
Overall, funding and interest in AI decreased during this period, leading to fewer advancements in the technology than in years prior.
AI agents: 1993 – 2011
Despite the initial lack of investment in AI, the technology as a whole significantly increased its capabilities during this time period. Most notably, this is when AI began being integrated into people’s daily lives with items such as the Roomba and the release of Apple’s virtual assistant, Siri.
Early Generative Artificial Intelligence: 2012 – Present
This brings us up to the current state of AI. The last decade has shown impressive leaps in AI’s ability to aid humans in day-to-day functions. This is also accompanied by enormous data collection from well-known companies that are able to train their AI models, which has led to the release of consumer-facing AI models such as ChatGPT, Copilot, and more.
Conclusion
AI as a whole is a fast-changing, fluid concept. Organizations regularly unveil new capabilities and breakthroughs. This was especially evident in the recent unveiling of Deepseek and the subsequent data privacy concerns. In a single day, this overturned the sector in one fell swoop. AI will likely remain a constantly changing field in the near term.
What’s Next?
Part 2 of Arete’s AI Deep Dive will examine the risks and benefits of organizations adopting AI into their business models
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Article
Critical MOVEit Automation Vulnerabilities Disclosed
A security advisory released by Progress Software details critical and high-severity vulnerabilities affecting their MOVEit Automation managed file transfer (MFT) solution. The vulnerabilities, tracked as CVE-2026-4670 and CVE-2026-5174, could allow a threat actor to bypass authentication and escalate privileges, leading to unauthorized access, administrative control, and data exposure. Cybercriminals have leveraged several MFT tools in previous campaigns, including the Accellion File Transfer Application (FTA), Fortra GoAnywhere MFT, and Cleo MFT. Flaws in MFT software are highly targeted by cybercriminals due to the volume and sensitivity of the data they control.
What’s Notable and Unique
MOVEit Transfer was heavily exploited by the Cl0p ransomware group in the summer of 2023. While the window of exploit activity lasted only a few weeks, victim extortion and data leaks continued throughout the remainder of the year, leading to more than 70 class-action lawsuits filed in the U.S.
There is no workaround or hotfix for these vulnerabilities. To fully patch the flaws, MOVEit administrators need to perform a "full install" of the latest version, which will require taking the system offline.
Security researchers have discovered ~1,400 MOVEit Automation instances exposed to the internet, with dozens belonging to U.S. local and state government agencies.
Analyst Comments
While the vulnerabilities patched in Progress Software's recent release differ from the SQL injection vulnerability exploited by the Cl0p ransomware group in 2023, exploitation of CVE-2026-4670 and CVE-2026-5174 could lead to equally impactful outcomes. Beyond the immediate impacts on affected organizations, trusted data-exchange platforms provide threat actors with an avenue to obtain sensitive information and infect partner and supplier environments. Furthermore, Arete has seen the time window between disclosure and weaponization of critical vulnerabilities continue to shrink, especially as threat actors increasingly adopt AI-enabled tooling. As such, organizations should not only implement the patches released by Progress Software, but also hunt for typical post-compromise behavior like enumeration of the underlying database, the creation of new user accounts or users operating with unexpected administrator privileges, and the presence of unauthorized remote monitoring and management (RMM) tools.
Sources
MOVEit Automation Critical Security Alert Bulletin – April 2026 – (CVE-2026-4670, CVE-2026-5174)
From Breach to Courtroom: Inside the MOVEit Exploitation and Mass Litigation
Progress warns of critical MOVEit Automation auth bypass flaw
Article
Ransomware Trends & Data Insights: April 2026
The threat landscape has remained relatively predictable thus far in 2026. In April, Qilin dethroned Akira as the most active threat group for the month. Akira, who had been the top ransomware threat each month since July 2025, was still only slightly behind Qilin and had roughly the same activity level as in March. INC Ransom and DragonForce also remained active threats in April, with those four ransomware groups accounting for half of all ransomware and extortion activity observed by Arete.

Figure 1. Activity from the top 3 threat groups in April 2026
Throughout the month, analysts at Arete identified several trends behind the threat actors perpetrating cybercrime activities:
Multiple ransomware operations continue to leverage the Bring Your Own Vulnerable Driver (BYOVD) technique to disable endpoint security controls prior to ransomware deployment. Qilin has recently been observed leveraging a malicious file loaded via DLL side-loading along with vulnerable drivers, including rwdrv.sys and hlpdrv.sys, to gain kernel-level access and disable security processes. Arete observed Akira using the same vulnerable drivers in multiple engagements dating back to Q3 2025.
DragonForce has leveraged several of the same tools in recent engagements, including the remote desktop application Remotely Agent and the PoisonX.sys vulnerable driver. Additionally, open-source reporting indicates that the group recently used a Python-based backdoor known as VIPERTUNNEL to maintain reliable operator access and evade detection. DragonForce was responsible for over 7% of Arete ransomware engagements in April, and Arete notes increased activity from the group this year compared to 2025.
A social engineering tactic has reemerged in recent months in which threat actors impersonate IT and helpdesk staff via Microsoft Teams to contact employees and attempt to convince them to install remote access tools like Quick Assist, giving the threat actors remote access to the victim’s environment. This tactic was initially observed in late 2024 and early 2025 and was linked to now-defunct groups like Black Basta and Cactus, but has more recently been observed in intrusions linked to the Akira and Payouts King ransomware groups.
Sources
Arete Internal
Article
Payouts King Utilizes QEMU Emulator to Bypass EDR
Researchers recently identified threat actor campaigns leveraging QEMU, a free open-source virtual machine (VM) emulator, to evade endpoint security solutions. Since QEMU acts as a VM within the target environment, endpoint detection tools cannot scan inside the emulator or detect any malicious files or payloads QEMU contains. Although threat actors have been utilizing QEMU maliciously since 2020, recent activity is attributed to the Payouts King ransomware group and a cluster of threat actors believed to be initial access brokers who have also been exploiting the CitrixBleed2 vulnerability CVE-2025-5777.
What’s Notable and Unique
Payouts King has been observed deploying QEMU since November and uses the VM to create a reverse SSH backdoor to evade detection and install various tools, including Rclone, Chisel, and BusyBox.
In a separate campaign, threat actors are exploiting CVE-2025-5777, a Citrix NetScaler vulnerability that allows attackers to bypass authentication. Once they’ve gained initial access, the threat actors use QEMU to deploy tools inside the VM, which are then used to steal credentials, identify Kerberos usernames, perform Active Directory reconnaissance, and set up FTP servers for staging or data exfiltration.
Analyst Comments
Threat actors continue to focus their efforts on defense evasion, often leveraging legitimate, easily accessible tools such as QEMU. The continued use of QEMU by multiple threat actors highlights the effectiveness of these tactics and the difficulty in detecting and defending against them. To counter this campaign, organizations should proactively monitor for unauthorized QEMU installations, abnormal scheduled tasks, and port forwarding rules.
Sources
QEMU abused to evade detection and enable ransomware delivery
Article
Microsoft Teams Continues to be Leveraged in Social Engineering Attacks
Microsoft warns that threat actors are increasingly abusing Microsoft Teams and relying on legitimate tools to gain access and conduct lateral movement within enterprise networks. The threat actors impersonate IT or helpdesk staff to contact employees via cross-tenant chats and trick them into granting remote access for data theft. Microsoft has observed multiple intrusions with a similar attack chain that utilized commercial remote management software, like Quick Assist and the Rclone utility, to transfer files to an external cloud storage service. This tactic, notably associated with Black Basta and Cactus ransomware operations in late 2024 and early 2025, appears to have resurfaced, with similar activity more recently observed in intrusions linked to the Akira and Payouts King ransomware groups.
What’s Notable and Unique
Initial access is achieved by leveraging external collaboration features in Microsoft Teams to allow impersonation of internal support personnel, tricking users into bypassing security warnings. This reflects abuse of legitimate functionality rather than exploitation of a Microsoft Teams vulnerability.
Following initial access, attackers conduct rapid reconnaissance using Command Prompt and PowerShell to assess privileges, domain membership, and opportunities for lateral movement. Persistence is maintained through Windows Registry modifications, after which attackers leveraged WinRM for lateral movement, targeting domain-joined systems and high-value assets, including domain controllers.
Malicious payloads were staged in user-writable directories and executed through DLL side-loading via trusted, signed applications, enabling covert code execution while blending with legitimate activity. Additional remote management tools were also deployed to support broader access, while Rclone or similar utilities were used to stage and exfiltrate sensitive data to external cloud storage.
Analyst Comments
This activity highlights how modern threat actors can leverage trusted collaboration workflows, remote management tools, and stealthy exfiltration techniques to conduct intrusions through a combination of social engineering and misuse of legitimate functionality. Effective defense depends on layered mitigations that combine identity controls, restricted remote administration, endpoint hardening, network protections, and user awareness measures to disrupt attacker activity at multiple stages of the intrusion lifecycle. To mitigate the risk of this and similar campaigns, users should treat external Teams contacts as untrusted by default, and administrators should restrict or closely monitor remote assistance tools while limiting WinRM usage to controlled systems.
Sources
Cross‑tenant helpdesk impersonation to data exfiltration: A human-operated intrusion playbook
Microsoft: Teams increasingly abused in helpdesk impersonation attacks
Payouts King Takes Aim at the Ransomware Throne



