Chinese hackers spied on thousands of companies after breaching IT giant ConnectWise

3 hours ago 7

In Brief

Posted:

9:47 AM PDT · October 22, 2026

Cybercriminal, hacker China emblem  background.Image Credits:Getty Images
  • Zack Whittaker

The bad week for cybersecurity conscionable got worse for thousands much companies, who were spied connected by Chinese hackers pursuing the breach of IT absorption and distant entree elephantine ConnectWise.

Security researchers astatine Microsoft say the China state-aligned hackers broke into ConnectWise’s unreality backup work and stole exertion credentials that are utilized to found information links betwixt ConnectWise and its firm customers, who trust connected the unreality work to backup their company’s data. 

By stealing the credentials, the hackers could log successful to the customer’s Microsoft-hosted situation arsenic if they were an authorized idiosyncratic and entree their emails and different files.

According to Microsoft, the hackers utilized AI agents to rapidly hack into astir 2,250 organizations astatine a complaint of astir 3,000 attempted sign-ins per minute. Microsoft said this velocity gives defenders “little clip to observe and respond.”

The velocity of the mass-hacks were attributed to the usage of AI agents, specifically ARTEX, an open-source AI model that works with AI models to stress-test cyber defenses. The aforesaid AI bundle was used successful a caller compromise of South Korea’s fiscal systems, galore of which had weak security and lacked multi-factor authentication.

ConnectWise said it’s paused entree to its unreality backup strategy and is investigating the breach. As of Thursday, the institution said it was moving connected restoring the service. 

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