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A China-linked botnet is targeting Microsoft 365 accounts with widespread password spraying attacks, according to a report by SecurityScorecard.
A security firm reports that a botnet with over 130,000 compromised devices is targeting Microsoft 365 accounts through non-interactive sign-ins using Basic Authentication.
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“Non-interactive sign-ins, commonly used for service-to-service authentication, legacy protocols (e.g., POP, IMAP, SMTP), and automated processes, do not trigger MFA in many configurations. Basic Authentication, still enabled in some environments, allows credentials to be transmitted in plain form, making it a prime target for attackers.,” SecurityScorecard said.
Microsoft is phasing out Basic Authentication, but security experts warn that these attacks still present an immediate threat. The attack is stealthy because password spraying attempts are logged but usually go unmonitored by security teams.
SecurityScorecard found multiple command and control servers in the United States. Over four hours, they monitored connections from 130,000 devices to these servers.
The botnet uses devices to steal credentials from malware and tests them on Microsoft 365 accounts. Hackers can access accounts to steal sensitive information, disrupt business operations, and move through the targeted organization.
The security firm suspects a Chinese threat group controls the botnet, but they are still investigating.
In October 2024, Microsoft reported that several Chinese threat actors were using credentials obtained from a password spray operation involving compromised devices known as CovertNetwork-1658, Xlogin, and Quad7.
