Artificial intelligence (AI) is rapidly becoming a weapon of choice for cybercriminals, with one in every four malicious data breaches now involving AI-assisted attacks, according to a new report from International Business Machines (IBM).

The findings carry growing significance for Nigerian organisations as businesses, banks, telecom operators, fintechs and government agencies accelerate AI adoption and digital transformation, expanding both the opportunities and risks created by emerging technologies.

Released on Wednesday, IBM’s 2026 Cost of a Data Breach Report reveals that AI-enabled attacks now account for approximately 25% of malicious data breaches worldwide, highlighting how cybercriminals are using generative AI to make attacks faster, more convincing and more difficult to detect.

The report attributes the increase to the growing use of generative AI by threat actors to automate cyberattacks, develop sophisticated malware, produce convincing phishing emails and create deepfake content capable of deceiving employees and bypassing conventional security controls.

AI making cyberattacks more sophisticated

According to IBM, organisations hit by AI-assisted cyberattacks incur an average cost of US$6 million per breach, around US$1 million higher than the global average cost of a data breach.

The report attributes the increase to the growing use of generative AI by threat actors to automate cyberattacks, develop sophisticated malware, produce convincing phishing emails and create deepfake content capable of deceiving employees and bypassing conventional security controls.

As AI tools become more accessible, the barrier to launching advanced cyberattacks continues to fall, enabling cybercriminals to operate with greater speed, scale and precision.

Why Nigerian organisations should pay attention

Although the report presents global findings, its implications are particularly relevant for Nigeria, where rapid digitalisation is exposing organisations to increasingly sophisticated cyber threats.

Banks, fintech companies, telecommunications operators, healthcare providers, government institutions and cloud service providers are processing growing volumes of sensitive customer data while adopting artificial intelligence to improve operations and service delivery.

These same sectors are becoming more attractive targets for cybercriminals seeking financial gain, identity theft, ransomware payments or disruption of critical digital infrastructure.

With Nigeria expanding digital public infrastructure, electronic payments, digital identity systems and AI-powered services, cybersecurity experts say organisations must ensure security investments keep pace with digital innovation.

AI also becoming a powerful cybersecurity tool

While AI is strengthening the capabilities of cybercriminals, IBM says the technology is proving equally valuable in defending organisations against increasingly complex attacks.

According to the report, organisations that have integrated artificial intelligence and automation into their cybersecurity operations are detecting and containing security incidents significantly faster than those relying on traditional security approaches.

Earlier detection reduces operational disruption, lowers recovery costs and limits the financial impact of data breaches.

The findings suggest that AI is increasingly becoming a competitive advantage for cybersecurity teams, enabling faster threat detection, automated incident response and continuous monitoring of enterprise environments.

IBM identified financial services, telecommunications, healthcare, government agencies and operators of critical infrastructure among the sectors facing the greatest exposure to AI-assisted cyber threats. These organisations manage vast repositories of sensitive personal, financial and operational data, making them attractive targets for attackers seeking valuable information or opportunities to disrupt essential services.

Critical sectors remain high-value targets

IBM identified financial services, telecommunications, healthcare, government agencies and operators of critical infrastructure among the sectors facing the greatest exposure to AI-assisted cyber threats.

These organisations manage vast repositories of sensitive personal, financial and operational data, making them attractive targets for attackers seeking valuable information or opportunities to disrupt essential services.

For Nigeria, the warning comes as regulators continue to strengthen cybersecurity, data protection and critical national information infrastructure frameworks amid growing concerns over ransomware, phishing attacks and data breaches.

IBM said the findings reinforce the need for organisations to modernise their cybersecurity strategies as artificial intelligence reshapes the global threat landscape.

The company urged businesses to strengthen identity and access management, deploy advanced threat detection capabilities and invest in AI-powered security platforms capable of identifying and responding to emerging threats in real time.

Beyond technology investments, organisations are also encouraged to improve employee cyber awareness, strengthen governance frameworks and regularly assess vulnerabilities across increasingly interconnected digital environments.

AI changing both sides of the cybersecurity battle

IBM’s Cost of a Data Breach Report is widely regarded as one of the technology industry’s leading benchmarks for measuring the financial and operational impact of cybersecurity incidents.

The 2026 edition highlights a growing reality confronting organisations worldwide: as artificial intelligence transforms industries and accelerates digital innovation, it is also changing the economics of cybercrime.

For Nigerian organisations pursuing AI-driven growth, the report sends a clear message that cybersecurity can no longer be treated as a back-office IT function. Instead, it has become a strategic business priority that will determine how successfully enterprises, financial institutions and public agencies can protect customer trust, comply with regulatory requirements and build long-term digital resilience in an increasingly AI-powered economy.