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Open-source software’s archenemy TeamPCP goes back further than anyone thought

TeamPCP, the threat actor behind an unrelenting flurry of attacks on open-source software this year, has been active much longer than previously thought, according to research Oligo Security shared exclusively with CyberScoop. 

The threat actor, which gained notoriety and has captivated threat hunters as it compromised and injected malicious code into more than 1,000 software packages in less than four months earlier this year, was also responsible for attacks dating back to 2020, Oligo Security found. 

The security vendor’s research team found multiple attacks that bear the markings of TeamPCP, including a late 2025 campaign involving the exploitation of a ShadowRay vulnerability that resulted in the first self-propogating botnet running on hijacked AI infrastructure.

Evidence uncovered during that investigation into the ShadowRay 2.0 campaign was linked to more historical attacks originating from the same IPs, domains and other infrastructure TeamPCP used in attacks that captured widespread attention earlier this year. 

“The scariest thing in this campaign is the speed at which the payloads evolved and changed and adapted to the environment they run in. We saw changes in the speed that we’re not used to seeing in these kinds of attacks. They’re usually slow, careful,” said Uri Katz, director of research at Oligo Security. “This was clearly with the help of AI — the payloads changed rapidly to adjust and change to the environment that they were trying to attack.”

One of the domains that Oligo Security identified in July 2025 was in the profile of TeamPCP’s official GitHub account, said Avi Lumelsky, AI security researcher at Oligo Security. “It’s public, they’re not even trying to hide their identity,” he said. 

From there, Oligo linked TeamPCP to activity tracked under multiple names, including TA-NATALSTATUS and IronErn, spanning from 2020 to late 2025. Much of that activity was traced to the same IPs, domain names, a file server and command-and-control server, researchers said. 

TeamPCP emerged publicly as a brand in late 2025. Soon after, “TeamPCP started to go really broad and do campaigns, which are much more noisy,” said Gal Elbaz, co-founder and CTO at Oligo Security. 

Widespread adoption of AI and TeamPCP’s use of the technology supported this growth as the threat actor built a brand, got more active on social media and boasted publicly about its activities and claimed victims.

“The ability to control the infrastructure and orchestrate the attack with AI was also super new, and I’m sure it helps them,” Elbaz said. 

“All of the companies in the world are in this race to adopt AI because they are afraid their business will die, and they understand, of course, the opportunity. But it’s also what gives the attacker this power to go into it,” he added. “If you don’t really have visibility in what’s going on there or how it behaves, that’s exactly what attackers are after.”

TeamPCP’s more recent attacks have capitalized on new security gaps created by developers’ increasing reliance on AI and the automated systems companies use to deploy code. The threat actor is also consistently wrecking the open-source frameworks and software packages these systems rely on. 

“Most AI infrastructure is open source by design because nobody has the manpower and money to develop everything from scratch,” Lumelsky said. 

“We love open source. We use many of these products ourselves, but it’s all about reading the documentation, and I think many of these tools place the responsibility of using it right and security on the user, and developers are not used to these new kinds of animals,” he added. “That’s why the trust can be exploited at scale.”

As it uncovered a long operational history spanning multiple campaigns, Oligo Security has gained more confidence in understanding how TeamPCP operates. It also means TeamPCP was likely involved in other attacks that haven’t been attributed to it yet or attacks that haven’t been detected. 

“There’s a lot more out there that we haven’t caught or been able to prove up until now,” Elbaz said.

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AISI, OpenAI report more ‘unsanctioned’ model hacks

The UK’s AI Security Institute said that their AI research system took “unsanctioned” actions over the internet to engage in “sustained, potentially harmful activity directed at real people.”

According to a blog post and technical report released Tuesday, the organization noticed “unusual data transfers” leaving their research systems through the pseudo-anonymous Tor network on July 28. The models, which included Anthropic’s Mythos 5 and OpenAI’s GPT-5.6-Sol models, were being tested for their cybersecurity capabilities.

Like the OpenAI and Anthropic incidents before it, the offending agents were attempting to solve a challenge. On 10 of 122 runs taken by two models, they took a combined 19 malicious actions, including attempting to insert malicious code into a real open-source software project and creating fake online identities to contact human maintainers and press them to approve it.

It also inserted malicious prompt injection instructions in places “where it reasoned that other automated AI systems might pick them up and execute them.” Sometimes multiple agents would collaborate on a task, with one model leaving public messages or notes for the other on GitHub.

However, AISI said their incident differs in one critical way.

“Importantly, this was not a case of a model escaping its secure test environment, or ‘sandbox,’” the institute wrote in an unsigned blog. “As was standard in our cyber testing, we had intentionally permitted internet access, and model-provider cyber classifiers were deliberately disabled – conditions that do not reflect how frontier models are made available to the public.”

The institute said that while their own design and evaluation choices “to some degree” enabled the malicious behavior, the models still displayed “novel, potentially deceptive behaviors” and were executed “to an extent and severity that we did not anticipate.”

The same day, OpenAI acknowledged AISI and another third-party cybersecurity tester,  private firm Irregular, had recently reported incidents where their models exceeded “beyond their intended testing boundaries.”

That included GPT-5.6-Sol reusing GitHub tokens left by another agent to attempt to recover accounts and to access a DNS server that contained malicious payloads meant to exploit a software vulnerability.

The setup did not work, there is no evidence any real resolver queried it, and the infrastructure was removed when the evaluation ended,” the company wrote in an unsigned blog post Tuesday.

OpenAI said it would review its own third-party testing procedures to focus on higher risk evaluations, assess requests by third-parties to enable internet access, stop conditions and other features for their models.

The incident with Irregular occurred on July 29 during a Capture-the-Flag cybersecurity evaluation of OpenAI’s models. Due to a “misconfiguration” the models were allowed to access the public internet, where they encountered and exploited a real domain, mistakenly believing it was still in a test environment.

OpenAI said an investigation by Irregular is ongoing, but also found that the models had found and used credentials for the site at one point. The blog also references other additional potential cybersecurity incidents.

“Irregular has informed us that all of the issues identified pertaining to the incident are no longer active and relevant safeguards were added to the testing environment,” the blog said. “Irregular has also communicated about related incidents involving other labs from the same testing environment.”

CyberScoop has reached out to Irregular for comment.

The incidents were made public the same day that the White House met with Anthropic, Open AI and other frontier AI companies to preview a new framework for evaluating models before they’re released publicly. Some media outlets have reported that after an executive order, export controls and other actions, the administration does not plan to make the new framework public.

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OpenAI says model test was behind Hugging Face hack

A cyberattack that poisoned the data pipeline of a major AI code platform was carried out using OpenAI’s ChatGPT, the company said Tuesday.

Last week, Hugging Face, a platform for sharing and working on AI code, disclosed that an external attacker had compromised its data processing pipeline. According to a July 21 blog post, the attacker poisoned a dataset to run code on a processing worker, eventually gaining node-level access and stealing cloud credentials.

The attack is notable, the blog said, because it appears to have been carried out by an autonomous AI system, which executed “many thousands of individual actions across a swarm of short-lived sandboxes, with self-migrating command-and-control staged on public services.”

At the time, Hugging Face said it wasn’t clear which LLM was used in the attack, but noted that their own attempts to recreate parts of the attack using an in-house commercial model failed due to guardrail restrictions.

The incident and its ultimate impact are still being investigated, and Hugging Face said it reported the incident  to law enforcement and is engaging with third-party cybersecurity forensic specialists to learn more.  

“This experience points to a gap worth planning for,” the company wrote. “We do not know which model powered the attacker’s agents, whether a jailbroken hosted model or an unrestricted open-weight one; either way, the attacker was bound by no usage policy, while our own forensic work was blocked by the guardrails of the hosted models we first tried.”

Now OpenAI is confirming one of their models was used in the attack.   

“After investigating, we now know that this particular incident was driven by a combination of OpenAI models — including GPT‑5.6 Sol and an even more capable pre-release model, all with reduced cyber refusals for evaluation purposes — while being internally tested on a benchmark of cyber capabilities,” the company wrote in a blog post Tuesday.

OpenAI called the incident “unprecedented” but also predicted that such attacks would  become increasingly more common as AI adoption continues to grow.

According to the company , the incident happened during an internal evaluation,  where the company deliberately prompts models to “pursue advanced exploitation using complex attack paths” in order for the company to study and measure the model’s cybersecurity capabilities.

To assess the model’s full potential, the team disabled the production classifiers that normally prevent OpenAI models from carrying out high-risk cyber activity. Without these safeguards,  the models were able to install software packages through registries like Hugging Face.

The model collected and chained vulnerabilities from OpenAI’s systems as well as Hugging Face’s production infrastructure.

OpenAI further explained that the activity stemmed from models attempting to solve a specific challenge posed by ExploitGym, a benchmarking system for AI agents.While such tests normally run in isolated environments, in this instance,  the model spent a “substantial” amount of compute resources figuring  out how to access the open internet. It did so by using a zero-day vulnerability in a third-party vendor’s system used by OpenAI (the company said it disclosed the flaw to the vendor).

“After gaining Internet access, the models inferred that Hugging Face potentially hosted models, datasets and solutions for ExploitGym,” OpenAI wrote. “Knowing this, the model searched for and successfully found ways to gain access to secret information that it could use to cheat the evaluation.”

In one instance, the model chained together multiple stolen credentials and zero-day vulnerabilities to find a remote code execution path on Hugging Face servers.

OpenAI said it was implementing new controls for infrastructure configuration, something that would come at “the cost of research velocity while the vulnerabilities are patched.” 

Hugging Face was also added to OpenAI’s Trusted Access for Cyber program, which will give them access to more advanced models like Daybreak to scour their systems for other AI-discovered vulnerabilities.

The post OpenAI says model test was behind Hugging Face hack appeared first on CyberScoop.

Where’s the Trump administration line on AI regulation?

After a year and a half spent downplaying calls for AI safety regulations, the Trump administration has sharply reversed course, embracing a level of government scrutiny of frontier AI systems before public release–a far stricter stance than the Biden administration took.

An executive order designed to be friendly to the AI industry was meant to let the federal government briefly review some new models on a voluntary basis.

When the Trump administration, suddenly and without much warning, slapped export controls on Anthropic’s Fable 5 and Mythos 5 in response to private sector threat intelligence reporting, the U.S. AI industry officially entered its regulatory era.

But key questions and gaps remain. It’s not clear why the administration drew the line where it did, or whether they will move it again in the future.

While newer models like Mythos and OpenAI’s Daybreak do have stronger cybersecurity capabilities, the private sector reports the administration relied on describe capabilities already available in older commercial, open-source and Chinese models that nearly anyone can access.

CyberScoop spoke with current users of the latest frontier models, including OpenAI’s ChatGPT 5.5 and Fable 5, to learn more about what these models are currently capable of in offensive and defensive cybersecurity.

Cybersecurity experts and former government officials say the administration may be playing catch up on threats that have been building for years as it has more fully realized the national security implications of the technology.

Are the models breaking new ground or just breaking things? 

Users of Chat GPT 5.5, introduced this past April, and Fable 5 tell CyberScoop those models have been largely helpful to their work, even as they complained about high token usage and safety guardrails that hinder,  but don’t meaningfully prevent, defensive cyber tasks.

Eyal Webber Zvik, chief strategy officer at Cato Networks, a cloud and cybersecurity network provider in OpenAI’s Trusted Access in Cyber program, said they use GPT 5.5 and later OpenAI models to scan and triage internal codebases for vulnerabilities, test new safeguards and provide “highly autonomized service” to their customers.

Zvik wouldn’t disclose how many bugs 5.5 has found but said the company’s view is that it helps both find bugs that humans missed and rank which ones to patch based on factors like each bug’s exploitability.

“It is now a native part of our development environment and cycles, and we use those models to scale our entire codebase and make sure what we release into the service that our customers use to run their networks and network security has the least likelihood of having any vulnerabilities that can be exploited,” said Zvik.

John Hopper, vice president of engineering at SpecterOps, an identity security company, said newer models like GPT 5.5 are sharper and more persistent in pursuing their tasks.

“That can be a good or bad thing,” he noted.

One metric that SpecterOps tracks is how long it can keep a particular agent working before it moves off task or fails. That metric “matters a lot” because the longer an agent works without human help , the more agents a single operator can run at once.

Hopper said this provides defenders with immense value, and pushed back on the idea that the offensive capabilities the models offer are automatically more beneficial to malicious hackers. There is “a modicum of grounding that the industry needs when we talk about these models.”

“Yes, AI frontier tools will lower the barrier of entry, but these problems have always existed,” he said. “I don’t actually believe that AI is going to remove the needle in the haystack problem, but by howdy, using my two hands to find that damn needle, compared to using a backhoe, I can tell you which one I’d rather be driving.”

Eran Kinsbruner, vice president of product marketing at software security firm Checkmarx, told CyberScoop that later models like OpenAI’s Codex Security and GPT 5.5 are noticeably easier to set up and run with local systems, even for less technical users. That alone gives them an edge over many cybersecurity tools where interoperability is a constant concern.

However, GPT 5.5 burns through tokens at a much faster rate. He recalled one instance of using it to scan a medium-sized repository in three different programming languages.

“After 26 minutes I almost ran out of tokens, and it didn’t provide anything, just created a threat model for me and told me you want to buy more tokens?” he said.

In other instances, some of the scan results he received were not comprehensive.

Further, he expressed frustration with some of the guardrails designed to prevent risk – like only allowing users to scan local files but not code repositories like GitHub – “makes not too much sense” given how often developers must work with remote code.

Those kinds of guardrails – which can prevent models or developers from injecting malicious code or prompting into their models – sit at the heart of the debate in Washington D.C. and around the world. Some users feel differently about their utility.

Kinsbruner said that doesn’t make sense for organizations like his, which work with thousands of different enterprise organizations with  thousands of different code repositories spread across the internet.

“I cannot imagine how large-scale developers could just jump into this solution and make it an enterprise-grade, enterprise-level, de facto cybersecurity solution” out of it, said Kinsbruner.

OpenAI did not respond to a request from CyberScoop for an interview on GPT 5.5. The company has since released another model, GPT 5.6, that they said is more efficient at token use.

The White House’s crash course in AI cyber risk 

 The White House keeps changing its line on whether and how the U.S. government should limit the release of commercial frontier models. The shift comes from lessons learned since coming into office in Jan. 2025. Trump threw out Biden-era regulations meant to steer the industry toward safer models. Top officials like Vice President JD Vance argued against restricting industry progress.

Less than two years later, administration officials worry about the impact of speed and scale – two things AI excels at – in cyberspace.

According to Will Loucks, senior director of intelligence at the Office of the National Cyber Director, over the past two years the number of exposed and known vulnerabilities has shot up. Threat actors exploit those flaws faster before defenders can fix them. Once inside, the time from initial access to full network control shrinks.

“So in other words, every stage of the cyber operations lifecycle that a threat actor has to move through to get to a victim network and achieve an outcome, they’re just moving through more quickly faster,” said Loucks at a July 16 event in Washington D.C.

Speaking about AI in particular, Loucks said one of the defining characteristics of the technology is its ability to lower barriers for threat actors.

“Sometimes speed and volume have a threatening aspect alone, even if sophistication isn’t quite increasing in the same way, and the reason for that is because it places pressure on defenders…to triage alerts more quickly,” he said.

Jordan Rae Kelly, former director for cyber and incident response on the White House’s National Security Council during Trump’s first term, told CyberScoop that the changes over the past two years reflect the lessons the White House has learned on the issue since returning to office.

In the early days of this administration, Kelly said, “there is a sense and a spirit that the Biden administration was limiting AI and there was a kind of a rip-it-all-off [attitude], everybody go and do whatever, we will be the biggest and boldest and brightest.”

“I love that talking point, but I think what you’ve seen is probably an education over the last 19 months, where people [in the White House] have said that’s a challenging premise to put into place, knowing about the potential downsides and capabilities,” she added.

Michael Daniel, former White House cyber coordinator under President Barack Obama, thinks the horse may already be out of the barn.

Daniel, now head of the Cyber Threat Alliance, a membership nonprofit group focused on cyber threat information sharing between industry and government, said his members report that AI is being used to do things “faster and at a slightly bigger scale” but aren’t yet seeing the flood of exploitation that analysts have warned about. Not yet.

“I think what we’re seeing right now [and] talking about is ‘okay, where are the step changes [in the cyber threat landscape] actually going to occur?” said Daniel. “Are we and when will we see the explosion in vulnerability reporting from these Mythos-like capabilities? That’s what’s really got their attention right now.”

But Mythos and OpenAI’s Daybreak models are restricted to select organizations, and neither has publicly released its most powerful cybersecurity models to the public. That dynamic won’t last.

The UK’s AI Security Institute estimates that open source and foreign LLM models are between 4-7 months behind frontier U.S. models. In that setting, it’s hard to stop the development of AI models worldwide through export controls or other limits.

“It’s not like we’re buying ourselves five to ten years on this,” he said. “We’re not, and so I’m not sure the impact on the defenders who are trying to obey the law is worth whatever small hiccup we cause for our adversaries.”

Kelly said there’s merit to the administration’s current position, even if it took time to get there. Many federal cybersecurity procedures that operated even a decade ago – such as a Vulnerabilities Equities Process that could take days or weeks to consider the pros and cons of keeping an exploit – are no longer practical.

“All of that work to some degree, is out the window, because you can’t meet with the regularity you would need to meet to adjudicate vulnerabilities that are being found in seconds and exploited in minutes,” said Kelly.

But Kelly and others say that’s also because AI capabilities in cybersecurity are developing faster than policymakers can react, even in the best of times.

Key questions remain and the administration’s balance between national security and backing domestic industry will likely shift  in response to new events.  The administration wants a framework that can predict and manage the risks of AI models today and tomorrow. That may be harder than it sounds.

“Do I think they’ve been clear? No,” said Kelly. “But I think it’s a place where clarity is really hard to achieve.”

The post Where’s the Trump administration line on AI regulation? appeared first on CyberScoop.

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