What is a pen test, and why is it more important than ever in the age of AI?

Monday, 6 July, 2026

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Today’s financial services firms are facing ever increasing cyberattacks—and AI is a major reason why. In this video, MD Henry Duncombe and principal security and cloud architect Christian Wilmot discuss how the rise of AI has lowered the barrier for attackers while accelerating the speed and scale of modern threats, making traditional security approaches no longer enough. He explains what penetration testing really is, how it differs from vulnerability scanning, and how a pen test actively exploits vulnerabilities and maps potential attack paths, revealing how secure a firm truly is in an AI driven threat landscape.

Video transcript

Penetration testing vs. vulnerability scanning: Navigating the AI-driven threat landscape

To remain confident in your cybersecurity defences, you must know exactly where your weaknesses lie. While most business leaders have heard of penetration testing (or "pen testing"), considerable confusion remains regarding what it actually entails. Understanding this service is critical now more than ever as the threat landscape undergoes a massive shift.

The AI-driven threat acceleration

Penetration testing is the process of actively testing an organisation's internal and external security posture. It has always been an essential practice, but the rise of artificial intelligence has magnified its importance.

AI is democratizing cybercrime. Historically, conducting reconnaissance and executing a sophisticated cyberattack required deep technical expertise and weeks or months of labour. Today, AI tools allow threat actors with little to no technical ability to perform widespread reconnaissance and launch complex attacks in days, or even minutes. Because more people can exploit corporate networks than ever before, defences must be verified constantly.

Pen test vs. vulnerability scan: Clearing the confusion

A common mistake organisations make is ordering a vulnerability scan and mistakenly believing they have completed a penetration test. Falling at this first hurdle leaves critical security blind spots unaddressed.

Here is how the two approaches truly differ:

  • Vulnerability scanning (the checklist): A vulnerability scan automatically scans your environment for known weaknesses and aggregates them into a list. The output is a raw list of potential vulnerabilities, which can often be intimidatingly long (e.g., 1,000+ items). It focuses solely on identifying weaknesses without any further action.
  • Penetration testing (the active test): A penetration test uses a vulnerability scan as a starting point, but then actively attempts to exploit those flaws. The output is a prioritised report identifying verified, active attack paths through your network. It focuses on evaluating your true security defences and testing what lateral movement is possible.

Vulnerability reports can be intimidating because they highlight hundreds of flaws. However, a penetration test filters out the noise. It determines which vulnerabilities are genuinely exploitable based on publicly available exploits or active in-the-wild activity. It strings these vulnerabilities together to map out the precise paths a bad actor would take, allowing internal IT teams to prioritise remediation where it matters most.

Core testing options: Internal and external perimeters

When deploying a pen test, organisations typically focus on two primary infrastructure layers:

  • External penetration testing: This evaluates your outer perimeter. Testers assume the role of an outside attacker with no internal access, trying to break through office firewalls or exploit misconfigured cloud infrastructure within environments like Microsoft Azure.
  • Internal penetration testing: This evaluates what happens if a bad actor manages to bypass your outer defences, such as through a successful phishing link. The test maps out potential lateral movement, determines what sensitive data can be accessed, and heavily tests whether internal security tools like Endpoint Detection and Response (EDR) or intrusion prevention systems step in to isolate the threat.

The future of pen testing: Faster and more accessible

Historically, penetration testing was a slow, human-led process. A security consultant would sit in a meeting room, patch into the network, and manually gather data over a week or two. This manual intensity made pen testing highly expensive and largely restricted it to enterprise budgets.

Today, penetration testers are leveraging specialised AI tools to automate time-consuming tasks. Work that previously required weeks can now be completed in hours. This shift has significantly lowered the cost of penetration testing, making regular, rigorous testing accessible to smaller and mid-sized businesses.

Beyond email: The rise of AI-driven social engineering

While defenders are using AI to test their infrastructure faster, bad actors are using the same technology to revolutionise social engineering.

Traditional phishing emails were easy to identify due to bad grammar or obvious red flags. Now, attackers use AI to scrape internet data and build highly targeted, well-written messaging that slips right past traditional spam filters.

The threat is rapidly moving beyond email into vishing (video and audio phishing). By pulling leadership images and audio clips from public webinars or company websites, attackers can use AI to clone voices and create believable video avatars. Organisations must prepare for an era where employees receive highly convincing WhatsApp videos or phone calls pretending to be their CEO, proving that validating your internal human and technical defences through modern pen testing is no longer optional.

If you are interested in learning more, then please speak to one of our experts.

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