The Cost of Espionage: How AI and Tech Are Changing the Game
- Gov+AI
- Aug 1
- 3 min read
Australia’s national security agency, ASIO, recently released its Annual Threat Assessment, and one of the key takeaways is that espionage is costing the country a lot—around $12.5 billion a year. That’s not just about stolen secrets; it includes lost intellectual property, compromised research, and disrupted government operations. But what’s really changing the landscape is how artificial intelligence (AI) and other tech advances are being used in these operations.
AI Makes Espionage Easier
AI is a powerful tool, and while it’s helping businesses and governments work smarter, it’s also being used by foreign intelligence services to collect and analyze data more efficiently. ASIO points out that these actors can now use AI to sift through huge amounts of information—like social media posts, leaked documents, and public databases—to build detailed profiles of people and organizations [1].
This kind of profiling can help them identify targets, find weaknesses, and even automate parts of their operations. For example, AI can be used to create convincing fake identities or deepfake videos, which can trick people into sharing sensitive information.
Tech Is a Force Multiplier
ASIO’s report highlights how technology is making espionage more scalable. In the past, spying required a lot of resources and physical presence. Now, with digital tools, foreign actors can reach into Australian institutions from anywhere in the world. ASIO has disrupted 24 major espionage operations in the last three years—more than in the previous eight combined [2].
Some of these operations involved foreign agents applying for government jobs or convincing insiders to share access to databases. Technology makes these tactics more effective and harder to detect.
What’s Being Done About It
To help tackle these challenges, the Australian Government launched the Technology Foreign Interference Taskforce (TechFIT). This initiative brings together government and industry to protect sectors like AI, quantum computing, and biotech from foreign interference [3]. TechFIT works by raising awareness, sharing threat intelligence, and helping organizations build better security practices. It’s a way to make sure that Australia’s tech sector can keep innovating without being compromised.
Why It Matters
Espionage isn’t just about spies in trench coats anymore. It’s about data, algorithms, and networks. The risks are real, and they affect everything from national security to economic competitiveness. ASIO’s message is clear: as technology evolves, so do the threats—and Australia needs to stay ahead of the curve.
• Secure Innovation provides security guidance to help protect emerging technology companies from a range
of threats.
• Secure Your Success provides guidance to individuals and organisations to prevent foreign powers gaining
advantage from Australian innovation by stealing intellectual property, harvesting expertise and co-opting
academic research.
• The Protective Security Top 10 provides the essential components of a complete security framework.
• Protect Your Research explains what you can do to protect yourself and your institution from harm.
• Report Prying Minds provides guidance for the defence industry on the threat of espionage and how to protect
against it.
• Think Before You Link explains the threat from malicious social media profiles. It provides guidance on how to
avoid being targeted through professional networks and other online platforms.
• Countering the insider threat provides guidance on hardening your organisation to the insider threat and limit
damage if compromise occurs.
• Clearance holder obligations provides advice on the requirements of maintaining an Australian Government
security clearance.
• Managing the espionage and foreign interference threat while travelling overseas provides guidance on how
you can protect yourself and your assets while travelling internationally.
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