Deepfakes, workforce fraud and phishing incidents on the rise across businesses
Half of businesses have reported a growth in deepfake and AI-generated fraud, alongside rising biometric spoofs and counterfeit ID fraud attempts, according to the 2025 State of Identity Fraud Report, released today by AuthenticID.
The report analyzes internal proprietary data anonymized from AuthenticID's identity verification and fraud detection technology. When paired with insights from annual fraud surveys of both fraud and technology professionals as well as consumers in North America, the report offers a comprehensive view of the fraud landscape.
"In 2024, we saw just how sophisticated fraud has now become: from deepfakes to sophisticated counterfeit IDs, generative AI has changed the identity fraud game," says Blair Cohen, AuthenticID founder and president. "It's clear from our data and surveys that businesses may not even know the extent of the fraud they're allowing to pass through their systems -- making both vigilance and action crucial in 2025."
The overall fraud rate has climbed to 2.1 percent, marking the highest level observed by AuthenticID in the past three years. It shows 70 percent of people are moderately or extremely worried about the threat of generative AI-based fraud and deepfakes online.
Businesses have observed a shocking 76 percent increase in phishing attempts, while 68 percent of businesses have encountered workforce-related fraud, with impersonation of an employee as the most common fraud type.
In 2024, AuthenticID detected 42 percent more fake IDs and suspicious biometric transactions processed through its verification system year-on-year, highlighting both the impact of fraud and adoption of verification solutions by businesses.
"In 2025, businesses should embrace the mentality to 'think like a hacker,' to combat new cyber threats," says Chris Borkenhagen, chief digital officer/information security officer at AuthenticID. "Staying ahead of evolving strategies such as AI deepfake-generated documents and biometrics, emerging technologies, and bad actor account takeover tactics are crucial in protecting your business, safeguarding data, and building trust with customers."
You can get the full report from the AuthenticID site.
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