SMS phishing: is your business protected?

One of the most insidious and rapidly growing threats is SMS phishing, also known as "smishing." In 2023 alone, Americans received more than 400 MILLION spam text messages every day. But it's not just consumers at risk. According to IBM, over 75% of businesses are targeted by SMS phishing scams every year. Even more concerning, a recent report found that a single SMS phishing scam targeting one business was able to reach over 17% of their workforce.

Why is SMS phishing a risk?

•  High engagement rates: People are far more likely to open and respond to a text message than an email due to the personal nature of SMS and the sense of urgency it creates. Text message marketing typically has an open rate above 90%, whereas email open rates are typically 20% or lower.‍
• Limited security measures: SMS lacks many of the advanced security features found in email, making it easier for scammers to exploit. Additionally, most employees do business on their personal mobile devices, a policy known as “BYOD” (bring your own device). Despite this, most security teams have very limited ability to place real technical controls on personal phones. ‍
• Hard to spot threats: Shortened links and well-crafted malicious websites are harder to spot on a small mobile screen. Additionally, the informal nature of SMS makes it less likely for a victim to be on alert for common phishing tells such as grammatical errors or incorrect email domains.‍
• Scalability: Cybercriminals can easily send thousands of messages at once, increasing their chances of success. There are over 300,000 sms phishing messages sent per minute. The most affected states include California, Texas, Georgia, Florida, and New York.

Public and Private Responses to Smishing Growth

As SMS phishing becomes more prevalent, the public and private sector have each taken proactive steps to minimize the risk:

Regulatory Responses

The FCC has implemented rules requiring mobile carriers to authenticate caller ID information to reduce spoofed robocalls and texts. The FCC is also requiring mobile wireless providers to block text messages from numbers on a reasonable do not originate list.

The FBI's Internet Crime Complaint Center (IC3) collects reports on smishing and other cyber crimes to support investigations. The Department of Justice has prosecuted several large-scale phishing operations, often collaborating with international partners.

Major US carriers have implemented technologies to detect and block suspicious text messages, including machine learning algorithms.

Many companies, especially in the financial sector, have increased customer education efforts about smishing threats. Some organizations have implemented additional authentication measures for sensitive transactions. 

The National Cyber-Forensics and Training Alliance (NCFTA) facilitates information sharing between law enforcement and private sector entities to combat cyber threats.

haven’t stopped SMS phishing scams from continuing to wreak havoc. In April, the Office of Information Security at the Department of Health and Human Services put out a notice on social engineering attacks targeting the health sector and specifically cited the rise in SMS scams carried out by organized threat actors. Just this month, the IRS warned auto dealerships about SMS phishing scams following the CDK ransomware attack. 

With the growing sophistication of SMS phishing attacks, it's crucial to have a robust, proactive strategy in place to respond.‍

The Consequences of a Successful SMS Phishing Attack

A single successful attack can have devastating consequences:

• Hundreds of thousands of dollars in damages
• Exposure of sensitive client and employee information
• Severe reputational damage

Adaptive Security

At Adaptive, we understand that traditional cybersecurity training often falls short. That's why we've developed Adaptive Security, a cutting-edge platform designed to engage your employees and provide real protection against SMS phishing and other cyber threats.

Hyper Personalized Content: Our AI-driven system tailors cybersecurity training to each employee's role, learning style, and current knowledge level.

Engaging Learning Experience: Say goodbye to dull presentations. Our interactive modules use gamification and real-world scenarios to keep your team interested and invested in their cybersecurity education.

Comprehensive Threat Coverage: While we've focused on SMS phishing in this post, Adaptive Security prepares your team for all types of cyber threats, from email phishing to social engineering attacks.

Real-Time Threat Intelligence: Our platform continuously updates with the latest threat information, ensuring your team is always prepared for emerging risks.

In today's digital landscape, cybersecurity isn't just an IT issue – it's a business imperative. With Adaptive Security, you're not just checking a box for compliance. You're building a culture of security awareness that protects your business at every level.

Don't wait for a costly SMS phishing attack to expose your vulnerabilities. Contact Adaptive today for a free demonstration of how Adaptive Security can transform your organization's cybersecurity posture.

Proactive defense is always less expensive than reactive damage control. Invest in your team's ability to recognize and thwart SMS phishing attempts before they become costly breaches.

Ready to secure your business against SMS phishing and other cyber threats? Book a demo today.