‘AI, geopolitics and online fraud reshaping cyber risk landscape’

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Swiss police patrol outside the Congress Center ahead of the World Economic Forum (WEF) in Davos, Switzerland on January 19, 2025. — Reuters/Yves Herman
Swiss police patrol outside the Congress Center ahead of the World Economic Forum (WEF) in Davos, Switzerland on January 19, 2025. — Reuters/Yves Herman

• WEF report says artificial intelligence ‘supercharging both offensive and defensive cyber capabilities’
• Notes cybersecurity has become a ‘core strategic concern’ for govts, businesses and societies
• Highlights cyber-enabled fraud has become a ‘pervasive threat’

ISLAMABAD: Artificial intelligence, geopolitical fragmentation and a surge in cyber-enabled fraud are redefining the global cyber risk landscape at unprecedented speed, according to a report released by the World Economic Forum (WEF) on Monday.

“Cybersecurity [this year] is accelerating amid growing threats, geopolitical fragmentation and a widening technological divide. AI is transforming cyber on both sides of the fight — strengthening defence while enabling more sophisticated attacks,” the report, titled ‘Global Cybersecurity Outlook 2026’, says.

It adds that organisations are striving to balance innovation with security by embracing AI and automation at scale, even as governance frameworks and human expertise struggle to keep pace.

The result is a fast-evolving, metamorphic landscape where disruptions move swiftly across borders, even as technology offers new potential for resilience.

According to the outlook, geopolitics will remain the top factor influencing cyber risk mitigation strategies in 2026. Around 64 per cent of organisations are accounting for geopolitically motivated cyberattacks — such as critical infrastructure disruption and espionage.

This year, the report says, cybersecurity will continue to evolve across technological, geopolitical, economic and strategic dimensions.

“In this landscape, cybersecurity is no longer a backroom technical function; it is a core strategic concern for governments, businesses and societies,” it adds.

‘Pervasive threat’

Developed in collaboration with Accenture, the report highlights that cyber-enabled fraud has become a pervasive threat. “This shift underscores the growing societal and economic impact of fraud as it spreads across regions and sectors,” it says.

It also underscores how AI is su­­percharging both offensive and def­ensive cyber capabilities. “Geopoli­tical fragmentation is further compounding these risks, reshaping cy­­bersecurity strategies and widening preparedness gaps across regions.”

The new findings point to a cyber landscape undergoing profound structural shifts, where cyber resilience can no longer be treated as a technical issue alone but as a strategic requirement. AI-related vulnerabilities rose faster than any other category in 2025, with 87pc of respondents reporting an increase. Data leaks linked to generative AI (34pc) and advancing adversarial capabilities (29pc) are among the leading concerns for 2026.

Meanwhile, 94pc of leaders expect AI to be the most consequential force shaping cybersecurity this year. Organisations are responding, nearly doubling the share assessing AI security, from 37pc to 64pc.

Supply chains remain a major systemic vulnerability. Among large companies, 65pc cite third-party and supply chain risks as their greatest cyber resilience barrier, up from 54pc last year. Concentration risk is also intensifying, with incidents at major cloud and internet service providers demonstrating how infrastructure-level failures can trigger widespread downstream impacts across interconnected digital ecosystems.

“As cyber risks become more interconnected and consequential, cyber-enabled fraud has emerged as one of the most disruptive forces in the digital economy, undermining trust and directly affecting people’s lives,” said WEF MD Director Jeremy Jurgens.

Published in Dawn, January 13th, 2026

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