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Microsoft Warns AI Is Making Online Scams Smarter and More Dangerous
Microsoft’s latest Cyber Signals report has raised red flags about how artificial intelligence is now being used by cybercriminals to launch highly convincing scams across the internet. From fake online stores to bogus job offers and tech support fraud, scammers are turning to AI to create content that looks real and fools more people than ever before.
Between April 2024 and April 2025, Microsoft stopped more than $4 billion in fraud attempts through its security tools—up from $2 billion just two years ago. The company is urging both individuals and businesses to take these threats seriously and update their defenses.
Fake Online Stores Powered by AI
Scammers are now using AI tools like large language models and image generators to quickly build fake e-commerce websites. These fake online stores look just like real ones—with AI-generated product descriptions, logos, and customer reviews.
These sites often sell popular electronics or trending items at unbelievably low prices to lure buyers. AI-powered chatbots are also used to handle customer inquiries, making the site seem more legitimate. By the time someone realizes the site is fake, their money and personal data are often already gone.
Job Scams Are Getting More Sophisticated
Microsoft’s report also highlights the rise of AI-generated job scams. Criminals are creating fake job listings that look like they're from well-known companies. AI is used to write convincing job descriptions, resumes, emails, and even interview scripts.
Some scams go as far as conducting fake video interviews using deepfake avatars. Victims are asked to pay upfront for training materials or to share personal data like Social Security numbers and bank details. These scams especially target people looking for remote jobs or those in financial need.
Tech Support Scams Are Now AI-Enhanced
Another growing area of concern is tech support scams. Scammers use AI to create fake pop-up alerts on users’ screens, telling them their device has a virus or security issue. These pop-ups urge people to call a toll-free number or click on a support link.
Once the victim contacts the scammer, they’re tricked into giving remote access to their computer. Some are even convinced to pay for unnecessary services or software, all while their personal data is being stolen in the background.
What Microsoft Is Doing to Fight Back
Microsoft says it's using AI to fight fire with fire. The company has built advanced fraud detection into products like Microsoft Defender for Cloud and Microsoft Edge.
New features include:
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Typo protection that warns you if you're about to visit a suspicious website.
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Impersonation detection that flags fake sites pretending to be legitimate brands.
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Threat intelligence sharing to help other platforms detect fraud faster.
Microsoft also encourages users to keep their devices and software updated and to turn on multi-factor authentication for all accounts.
