Identity is still the primary entry point for cyberattacks, according to Palo Alto Networks’ threat intelligence firm Unit 42. In its annual incident response report released Tuesday, Unit 42 found that identity-based techniques accounted for nearly two-thirds of all initial network intrusions last year. 

Social engineering was the leading attack method, accounting for one-third of the 750 incidents Unit 42 responded to in the one-year period ending in September 2025. Attackers also bypassed security controls with compromised credentials, brute-force attacks, overly permissive identity policies and insider threats, researchers said.

The persistent pitfalls of identity extended beyond initial access, with an identity-related element playing a critical role in nearly 90% of all incidents last year. Unit 42’s report highlights the explosive impact of identity abuse, and pins much of the problem on poor security controls and misconfigurations across interconnected tools and systems.

“Across the attack lifecycle, the biggest thing is that once you have an identity, you’ve got everything, you’ve got the key and you’re in,” Sam Rubin, senior vice president of consulting and threat intelligence at Unit 42, told CyberScoop. “From a defense standpoint, enterprises are still not very good at finding the signal in the noise, essentially the detection when an identity-based tactic is used because there isn’t unauthorized access per se from a technical telemetry standpoint, and it becomes a harder detection mechanism.”

Vulnerability exploits, an ever-moving target, were still prolific and accounted for 22% of initial intrusions across attacks, but humans remain the weakest link, Rubin said. 

The rise of machine-based identities and AI agents, which require an identity to take action, is expanding the attack surface for cybercriminals. Identity challenges are manifesting in the software supply chain as well, as API access and SaaS integrations become another weak link and way in for attackers if control keys aren’t properly controlled.

An attack on Salesloft Drift customers last summer highlighted how tightly integrated services can unravel and expose victims that are multiple layers removed from the vendor. More than 700 organizations were impacted directly, but Salesloft Drift’s integrations with dozens of third-party tools opened many additional paths of potential compromise. 

More broadly, attackers are jumping from branch offices into a victims’ headquarters or data centers because too many accounts remain over permissioned and cloud-based accounts are established with too much privilege or a lack of segmentation, Rubin said. 

These gaps allow threat groups to turn break-ins into significant attacks. 

“We just see this time and again that there could have been better identity-based practices that would have constrained the blast radius, even if it didn’t stop the initial access,” Rubin said. 

“It’s a problem of signal and noise,” he added. “Think about a global enterprise and all of this authenticated, legitimate activity happening every day. How do you see and identify the one instance where a user is already authenticated but doing something that they shouldn’t do?”

Large and older organizations are at a greater disadvantage, Rubin said. Over time, their technology stacks have evolved to include legacy systems acquired through various business deals. This leaves IT teams managing a patchwork of disparate systems that are poorly integrated, creating significant security vulnerabilities. 

“We forgot as defenders to consider the entire attack chain, because too often we see the defense happens in silos,” Rubin said, adding that attacks that pivot from endpoints to cloud-based services are commonly missed. 

Each of those jumps gives defenders a chance to  thwart attacks. Nearly 90% of the attacks Unit 42 investigated last year involved malicious activity across multiple attack surfaces.

Financially motivated attacks accounted for most of the 750 incidents Unit 42 responded to last year. Unit 42 did not say how many of those attacks resulted in payments, but it said median payments increased 87% year-over-year to $500,000 last year. 

Attackers continue to pick up speed as well, exfiltrating data from victim networks under a median duration of two days. Attackers stole data in under one hour in 22% of the attacks Unit 42 responded to last year. 

Unit 42’s annual look-back spotlights critical areas of concern and attack trends that continue to take root, yet it’s not comprehensive. The report’s visibility is limited to incidents that went from bad to worse and prompted victims to seek help from Unit 42. 

“The hardest thing about incident response in cybersecurity,” Rubin said, “is there is no one global spot for how much is going on.”

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