Phishing Attacks Abuse Microsoft 365 to Bypass Security Filters

Stu Sjouwerman | Mar 20, 2025

Microsoft Phishing AttacksThreat actors are abusing Microsoft’s infrastructure to launch phishing attacks that can bypass security measures, according to researchers at Guardz.

The attackers compromise multiple Microsoft 365 tenants in order to generate legitimate transaction notifications that contain phishing messages.

“This attack exploits legitimate Microsoft services to create a trusted delivery mechanism for phishing content, making it difficult for both technical controls and human recipients to detect,” the researchers write.

“Unlike traditional phishing, which relies on lookalike domains or email spoofing, this method operates entirely within Microsoft’s ecosystem, bypassing security measures and user skepticism by leveraging native M365 infrastructure to deliver phishing lures that appear authentic and blend in seamlessly.”

The attackers use Microsoft 365’s built-in tenant display name feature to display the phishing message rather than placing it in the email body. In one case, for example, the attackers set the display name to the following: “(Microsoft Corporation) Your subscription has been successfully purchased for 689.89 USD using your checking account. If you did not authorize this transaction, please call 1(888) 651-4716 to request a refund.”

The researchers explain, “The attacker weaponizes the tenant’s organization name field to inject a phishing lure directly into the email. Instead of embedding malicious links, the message instructs victims to call a fraudulent support number, leading to a social engineering attack designed to lure the victim to install a stealer (malware) / steal financial information or credentials.”

The attackers are using this technique to carry out business email compromise (BEC) attacks. Guardz notes that since the messages tell the victim to call a phone number, the scam is less likely to be stopped by technical security measures.

KnowBe4 empowers your workforce to make smarter security decisions every day. Over 70,000 organizations worldwide trust the KnowBe4 platform to strengthen their security culture and reduce human risk.

Guardz has the story.

Discover Your Organization’s Phish-prone™ Percentage

Ninety-one percent of data breaches begin with spear phishing. Launch our Free Phishing Security Test for up to 100 users to uncover your team's vulnerability and see how your security posture stacks up against industry benchmarks.

Get Your Free Phishing Security Test

Secure the Digital Workforce: Human + AI

KnowBe4 empowers the modern workforce to make smarter security decisions every day. Trusted by more than 70,000 organizations worldwide, KnowBe4 is the pioneer of digital workforce security, securing both AI agents and humans. The KnowBe4 Platform provides attack simulation and training, collaboration security, and agent security powered by AIDA (Artificial Intelligence Defense Agents) and a proprietary Risk Score. The platform leverages 15 years of behavioral data to combat advanced threats including social engineering, prompt injection, and shadow AI. By securing humans and agents, KnowBe4 leads the industry in workforce trust and defense.