Global cybersecurity threat landscape

The Microsoft Digital Defense Report covering the period from July 2025 to June 2026 highlights a significant rise in global cybersecurity threats, driven largely by geopolitical tensions and the emergence of artificial intelligence.

In the first half of 2026, the United States was identified as the most targeted nation, accounting for 25.5% of all observed malicious activity. Russian attackers focused on Ukraine and NATO members, while Chinese state-backed groups targeted the United States, Taiwan, and Indo-Pacific technology hubs. Taiwan was specifically noted as ranking fourth globally and first in the Asia-Pacific region for threat frequency, with 193 incidents related to nation-state activities.

Broadly, government agencies and public services saw their share of impacted sectors rise from 17% in 2025 to 27% in 2026. The report observed an increase in ‘dwell time’ and a sharp rise in phishing attacks, which grew from 7% of intrusions in 2025 to 23% in 2026. Additionally, the use of AI is enabling attackers to execute campaigns that are faster, cheaper, and more difficult to detect.

Subsequent data from Microsoft and the European Union Agency for Cybersecurity (ENISA) reinforces these trends, noting that phishing has more than tripled as an entry point. The exploitation of internet-exposed applications has also risen to 24%. The United States remains the primary target at 25.5%, followed by Israel at 7.6% and Ukraine at 4.8%. In the first quarter of 2026, the U.S. recorded over 60 million compromised accounts. AI continues to accelerate these threats by compressing attack phases from days to seconds, with identity-related risks averaging 31 million detections globally every day.