Press Release

 

A New Report Reveals How AI is Empowering Cybercrime and What India Must Do About It

 

With over ₹22,812 crore ($2.78B) lost in digital frauds in 2024 alone, the report highlights how AI-driven scams, ransomware, and cyber slavery are exploiting India’s booming online population.

 

Bengaluru, 25 June 2025– GIREM (Global Initiative for Restructuring Environment and Management), in partnership with automotive retail tech company Tekion, today unveiled “The State of AI-Powered Cybercrime: Threat & Mitigation Report 2025.” The report was officially unveiled by Dr. M.A. Saleem, Director-General & Inspector-General of Police of Karnataka. This ground-breaking report provides a stark analysis of India’s rapidly evolving digital threat landscape, emphasizing how Artificial Intelligence (AI) is becoming a formidable tool in the hands of cybercriminals and outlining crucial mitigation strategies.

 

The report serves as an urgent call to action, detailing the sophisticated tactics employed by threat actors and the significant financial and social impact on Indian citizens. It comes at a critical juncture as India’s digital transformation accelerates, with over 900 million projected internet users by 2025.

 

“India’s emergence as a digital-first nation represents unprecedented promise and profound vulnerability,” said Honorable Mr. Justice SR Krishna Kumar, Judge, High Court of Karnataka. “The way forward requires a broader ecosystem of preparedness: proactive judicial oversight, real-time threat intelligence, community education, public-private collaboration, and the institutional capacity to anticipate rather than merely react. Judicial interpretation will be critical in shaping the legal principles that govern this space.”

 

“This report is not just a catalog of threats; it is a call to action. It exposes the human cost of AI-powered phishing scams, identity fraud, and cyber extortion,” stated Jay Vijayan, Founder & CEO, Tekion Corp. “The urgency of this moment cannot be overstated. Cybersecurity is not a nice-to-have; it is a necessary pillar for resilience for every individual and organization.”

 

“I appreciate Tekion and GIREM for bringing out this research report. Cybercrimes are increasingly penetrating society, targeting even vulnerable senior citizens. Awareness must be created to educate society about the emerging threats. Karnataka has been at the forefront of tackling cybercrimes. This report will complement our efforts,” said Dr. M.A. Saleem, Director-General & Inspector-General of Police of Karnataka, after releasing the report.                                                                                                                                                                                                               

Key Findings of the Report: 

• AI-Driven Scams Dominate: According to recent findings from KnowBe4’s 2025 Phishing Threat Trends Report, AI tools were involved in approximately 82.6% of all phishing emails, positioning AI in nearly 8 out of every 10 phishing campaigns. Our research partner, Alerta Cyber Solutions LLP, also tracked threat actor FIN7 (the Carbanak Group) deploying well-crafted phishing emails to hotel chains and restaurants, often mimicking trusted brands using AI-generated templates. Beyond email text, AI is used to spin up realistic dashboards, register typo-squatting domains, and create dynamic, interactive phishing pages, making these attempts far more convincing and effective.                                                                                              

• Escalating Cybercrime & Unprecedented Financial Losses: India registered over 19.18 lakh (1.91 million) cybercrime complaints in 2024, up from 15.56 lakh (1.55 million) in 2023, reflecting a tenfold jump since 2019. Financial fraud remains the dominant motive, with Indian citizens losing an unprecedented ₹22,812 crore ($2.78B) to cybercrime in 2024, nearly three times the losses recorded in 2023 (₹7,496 crore) and almost ten times that of 2022 (₹2,306 crore). Over the past four years, cybercriminals have siphoned off a staggering ₹33,165 crore from individuals and businesses across the country, with “digital arrest” fraud alone contributing nearly ₹1,936 crore in 2024.

• India as a Prime Target & Threat Surge: Reflecting a pervasive and evolving threat landscape, India ranks as the second most targeted nation globally for crypto attacks in 2024, with 95 incidents, following the U.S. The country has also witnessed significant year-on-year increases in malware (11%), ransomware (22%), Internet of Things (IoT) attacks (59%), and an overall staggering 409% surge in crypto attacks.

• Disproportionate Impact on Vulnerable Demographics & Rural Areas: Senior citizens, women, and children are increasingly targeted by specific forms of cybercrime, including financial scams, harassment, and blackmail. Geographically, while urban centers like Bengaluru saw a 77% increase (9,940 cases in 2022 to 17,623 cases in 2023), cybercrime in rural Karnataka nearly doubled (880 in 2022 to 1,600 in 2024), and tribal areas reported incidents (12 cases in 2024 vs. none in 2022).

• Advanced Deception Tactics: Mimicking Apps & PsyOps: Cybercriminals are increasingly deploying fake applications that mimic legitimate government platforms (like the Parivahan app) or bank helpdesks to install malware and steal sensitive data, UPI IDs, and PINs. Concurrently, digital PsyOps leveraging disinformation, deepfakes, and manipulated narratives across social media are gaining traction, inciting public outrage and mistrust, often supported by state-backed actors.

• Emergence of Cyber Slavery: The report sheds light on “cyber slavery,” a modern form of human trafficking where victims are forcibly used to conduct cybercrimes like online scams and phishing, often from compounds in lawless zones like Cambodia and Myanmar. Tens of thousands of victims are believed to be trapped, including India                                                                         
• Actionable Roadmap: The report provides clear recommendations to strengthen cyber resilience, including advocating for increased digital literacy in schools, improved police training, mandatory cybersecurity education in workplaces, establishing cybersecurity labs in educational institutions, developing AI-based threat detection tools, monitoring cyber terrorism, and enhancing alert mechanisms for preparedness.

Shyam Sundar S Pani, Chairman, GIREM, added, “India’s digital revolution is accelerating at an unprecedented pace, yet this surge in connectivity has also triggered a sharp rise in cyber threats. The alarming statistic of ₹22,812 crore lost in digital arrest fraud alone underscores the critical need for stronger cybersecurity measures and robust awareness at every level of society. This report marks just the beginning; we are committed to continuing our deep dive into these evolving threats and educating the public on how to effectively safeguard themselves against cyberattacks.“

                                                                                                    

The report calls for a collective responsibility, advocating for increased digital literacy, agile policy frameworks, and collaborative efforts between the government, private sector, and civil society to secure India’s digital future against these intelligent adversaries.

 

To download the full report or request interviews with the authors, visit: https://www.girem.in/wp-content/uploads/2025/06/GIREM-Report-Print.pdf

 

Photograph Caption:  Left to Right: Jay Vijayan, Founder & CEO, Tekion Corp, Dr. M.A. Saleem, Director-General & Inspector-General of Police of Karnataka, Shyam Sundar S Pani, Chairman, GIREM

 

About GIREM

GLOBAL INITIATIVE FOR RESTRUCTURING ENVIRONMENT AND MANAGEMENT (GIREM) is a not-for-profit registered under the Society Act of Karnataka, focused on creating thought leadership and innovation ecosystems in the field of education, health and wellness and urbanisation. 

About Tekion Corp

Positively disrupting an industry that has not seen disruption in over 50 years, Tekion has challenged the paradigm with the first and fastest cloud-native automotive platform that includes the revolutionary Automotive Retail Cloud (ARC) for retailers, Automotive Enterprise Cloud (AEC) for manufacturers and other large automotive enterprises and Automotive Partner Cloud (APC) for technology and industry partners. Tekion connects the entire spectrum of the automotive retail ecosystem through one seamless platform. The transformative platform uses cutting-edge technology, big data, machine learning, and AI to seamlessly bring together OEMs, retailers/dealers and consumers. With its highly configurable integration and greater customer engagement capabilities, Tekion is enabling the best automotive retail experiences ever. For more information, visit www.tekion.com.

Media Contact: Amit Jain +919886062866