<div class="block-paragraph_advanced"><h3><span style="vertical-align: baseline;">Executive Summary</span></h3> <p><span style="vertical-align: baseline;">Since our </span><a href="https://cloud.google.com/blog/topics/threat-intelligence/distillation-experimentation-integration-ai-adversarial-use"><span style="text-decoration: underline; vertical-align: baseline;">February 2026 report</span></a><span style="vertical-align: baseline;"> on AI-related threat activity, Google Threat Intelligence Group (GTIG) has continued to track a maturing transition from nascent AI-enabled operations to the industrial-scale application of generative models within adversarial workflows. This report, based on insights derived from Mandiant incident response engagements, Gemini, and GTIG’s proactive research, highlights the dual nature of the current threat environment where AI serves as both a sophisticated engine for adversary operations and a high-value target for attacks. We explore the following developments:</span></p> <ul> <li aria-level="1" style="list-style-type: disc; vertical-align: baseline;"> <p role="presentation"><strong style="vertical-align: baseline;">Vulnerability Discovery and Exploit Generation:</strong><span style="vertical-align: baseline;"> For the first time, GTIG has identified a threat actor using a zero-day exploit that we believe was developed with AI. The criminal threat actor planned to use it in a mass exploitation event but our proactive counter discovery may have prevented its use. Threat actors associated with the People’s Republic of China (PRC) and the Democratic People's Republic of Korea (DPRK) have also demonstrated significant interest in capitalizing on AI for vulnerability discovery. </span></p> </li> <li aria-level="1" style="list-style-type: disc; vertical-align: baseline;"> <p role="presentation"><strong style="vertical-align: baseline;">AI-Augmented Development for Defense Evasion:</strong><span style="vertical-align: baseline;"> AI-driven

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