The AI-Industrial Crossroad: Why Cyber Security Must Keep Pace With AI in Manufacturing

As the UK manufacturing sector continues to adapt to an AI-driven industrial environment, it is simultaneously confronted by a growing and evasive set of new cyber threats. While the use of artificial intelligence can unlock greater productivity, predictive capabilities and in some cases overhaul operational efficiency, it also introduces a range of new vulnerabilities that malicious actors are eager to exploit.

From intelligent automation and data-rich supply chains to advanced robotics and connected operational technology (OT), the modern factory has become a vast digital ecosystem. With these advances being continually integrated across the sector, cyber security has transformed from a back-office, afterthought, to a strategic imperative for manufacturing leadership.

As we transition towards Industry 5.0, where human-centric resilience and sustainability take centre stage - organisations must integrate robust cyber defences across all facets of their operations.

AI in Manufacturing: Innovation Meets Exposure

AI has transformed UK manufacturing by enabling real-time analytics, predictive maintenance, quality control automation, and overall smarter decision-making.

However, every connected system is a potential entry point for threat actors.

According to the 2023 UK Government Cyber Security Breaches Survey, 49% of manufacturing firms reported a breach or cyber attack in the previous 12 months, with many facing financial and reputational consequences.

AI itself has become a double-edged sword. While it enhances security through anomaly detection and predictive threat analysis, malicious actors are leveraging AI to increase the volume, precision and impact of their attacks. Advanced persistent threats (APTs) are being powered by machine learning, enabling criminals to exploit system flaws faster than traditional defences can respond.

Case studies in the automotive and aerospace sectors have highlighted incidents where AI-enabled manufacturing systems were targeted to disrupt production, corrupt datasets or access proprietary designs. As more factories incorporate smart systems, the risk of cascading failures across supply chains increases exponentially.

The Interconnected Threat: Supply Chain Vulnerabilities

Modern supply chains are often a sprawling, multi-layered web of vendors, third-party service providers, logistics networks and digital platforms. This complexity is fertile ground for cyber attackers.

Recent PureCyber analysis notes that 95% of manufacturers have experienced supply chain-related cyber incidents, often stemming from third-party compromises. However, only 34% have full visibility into their supplier ecosystems.

With attackers increasingly targeting weaker links - such as software vendors, logistics providers or subcontracted engineering firms, organisations must adopt a zero-trust approach.

This includes stringent third-party risk assessments, contractual security standards (e.g., ISO 27001, Cyber Essentials), and real-time monitoring of digital supply chain health.

The proposed UK Cyber Security and Resilience Bill and wider regulations such as the EU's Cyber Resilience Act are likely to impose greater scrutiny on supply chain resilience. Manufacturers must prepare now to meet the demands of compliance, reporting and cross-border regulatory harmonisation.

Cyber Security and Resilience Bill:

As part of the 2024 King’s Speech, the government announced it would be introducing a Cyber Security and Resilience Bill, bringing with it “crucial updates to the legacy regulatory framework”. The existing UK regulations reflect law inherited from the EU frameworks and this new bill represents a full, comprehensive, and cross-sector cyber security legislation.

Some of the key updates being proposed include:

o   Expanding the remit of the regulation to protect more digital services and supply chains

o   Putting regulators on a strong footing to ensure implementation of essential cyber safety measures

o   Mandating increased incident reporting to give government better data on cyber-attacks

This new emphasis on incident reporting, including in instances when an organisation has been held to ransom, will improve both government and industry understanding of the threats and raise the alarm on potential attacks by expanding the type and nature of incidents that regulated entities must report.

The Bill is expected to be introduced to parliament this year.

Penetration Testing: Stress Testing the Digital Factory

Traditional security audits are no longer sufficient with the increased implementation of AI and interconnected systems. Penetration testing (pen testing) has emerged as a critical practice for identifying vulnerabilities in operational environments. Unlike theoretical assessments, pen testing simulates real-world attack scenarios - probing for weak access controls, unpatched systems, misconfigured networks and insecure IoT devices.

PureCyber advises that effective pen testing in manufacturing must go beyond IT to include OT (Operational Technology) networks, production floor machinery, remote access tools, and embedded software in robotics and machinery. The insights gained can guide risk-based prioritisation and immediate remediation.

By integrating pen testing into their security lifecycle, manufacturers gain a clearer picture of their true cyber posture. It also enables them to refine their incident response, improve system hardening and elevate internal awareness across engineering and executive teams alike.

Industry 5.0 and the Rise of Human-Centric Security

As manufacturing enters the Industry 5.0 era, the emphasis shifts from pure automation to collaboration between humans and machines. This paradigm introduces new interaction layers - voice control, wearable devices, augmented interfaces and remote monitoring - all of which can be exploited by attackers if not secured by design.

Cyber security in this context must be adaptive and inclusive. It's not only about firewalls and endpoint protection; it's about ensuring every employee, engineer, operator and executive is equipped to identify and respond to threats. Organisations with high cyber maturity suffer fewer breaches and are less likely to pay ransoms - a key deterrent to would-be attackers.

Building a security-conscious culture - reinforced by simulated attacks, gamified training, and proactive threat communication, becomes as vital as any tool or platform.

AI-Driven Phishing and Business Email Compromise

One of the most dangerous emerging threats is the use of AI by cyber criminals to conduct sophisticated phishing and Business Email Compromise (BEC) campaigns. Using generative AI, attackers are now capable of crafting highly personalised, convincing messages that mimic internal communications, vendor correspondence or even executive directives.

These tactics are not only text-based. Deepfake audio and video are increasingly used to deceive employees into revealing credentials, transferring funds or approving sensitive actions.

The UK's National Cyber Security Centre (NCSC) reported over 5 million phishing attempts blocked in 2024, a significant number of which showed signs of AI-generated content.

Countering these threats requires layered defences, including AI-powered behavioural analytics, machine-learning-based email filtering, and organisation-wide vigilance. Companies must evolve from reactive awareness campaigns to continuous, adaptive defence training.

Building a Unified, Resilient Cyber Strategy

To protect themselves in this new era, UK manufacturers must embrace a unified cyber strategy rooted in resilience, agility and foresight:

- AI-Powered Monitoring: Deploy intelligent tools that detect anomalies across IT, OT and IoT systems in real-time.

- Zero Trust Architectures: Segment networks and limit access to critical assets based on verified identities.

- End-to-End Supply Chain Security: Integrate risk assessments, security certifications and live monitoring into vendor relationships.

- Regular Pen Testing and Red Teaming: Simulate attacks across the digital factory environment to identify and fix weak points.

- Security by Design: Incorporate cyber security into every phase of system development and operational workflows.

- Cyber Maturity Culture: Foster awareness, accountability and readiness through tailored training and leadership engagement.

- Regulatory Readiness: Prepare for upcoming mandates like the Cyber Security and Resilience Bill and harmonise with international standards.

From Digital Transformation to Cyber Resilience

AI is transforming UK manufacturing, but it is also transforming the threat landscape. In this environment, resilience becomes the true benchmark of digital success. Cyber security shouldn’t just be an additional bolt-on - it must be an embedded capability that evolves alongside technology.

Organisations that approach AI adoption with equal attention to security, culture and compliance will not only be better protected, but they will also be more competitive. As cyber threats continue to escalate in sophistication and scale, manufacturers who lead will be those who see cyber resilience not as a constraint, but as a foundation for long-term innovation and trust in the age of Industry 5.0.


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