Cybersecurity breaches increasingly come from stolen credentials and weak identity controls as AI snakes its way into everyday work. PwC’s Annual Threat Dynamics 2026 report says bad actors are bypassing traditional security defenses, noting that identity compromise and ransomware have become chief concerns. “AI has become a force multiplier for threat actors, shrinking the time between when capabilities are released by AI companies and how quickly threat actors are able to weaponize them,” the report says. On the other hand, AI — when deployed effectively — can also prevent breaches. PwC urges organizations to take aggressive security measures by strengthening identity management and investing in continuous monitoring.

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