Have you ever imagined what cyberattacks will do instead of bombs and bullets?
As the world tunes in to missile launches and a rise in military tension, another war occurs, and you can read about it on the news ticker.
It’s silent. It’s digital. And it is already being done.
Seemingly every glitch on a control board, every unforeseen crash of a system, and any unreported delay in the transfer of oil… these are the products of a field of battle that takes place on the internet. The battlefield in which there are no defined boundaries between governments, machines, and hackers.
Nowhere has this covert battle become as dangerous as in the Gulf, a domain where smart networks sweep energy across the world, trade routes are monitored through such networks, and a single crisis in cybersecurity ultimately translates into economic survival.
The stakes?
Disruption of massive oil. Tankers stranded. Panics on the markets. And the rather practical threat of AI-induced anarchy well beyond the confines of the region.
Why Cyber Warfare Is Escalating in the Israel-Iran Conflict?
Now a key weapon in the Israel-Iran dispute, cyberwarfare is no longer a diversion.
These are the reasons it is becoming worse:
- Plausible deniability & low cost: Cyberops give Iran the game at revenge when military retaliation is too costly to reach, & Israel responds with laser-accurate cyber-attacks.
- Autonomous malware and AI assistance: AI-assisted attacks are increasing in speed and intelligence and making the other party to detect.
- Activity explosion: There was a 38 percent increase in global cyberattacks in 2022 compared to 2021, according to Check Point Research. Regionally, the regions become more vulnerable to attacks in Israel: according to Reuters, the number of cyberattacks targeting Israel increased by 18 percent after the Oct 7, 2023, Hamas declaration of war
That is escalation as planned: any direct war can grow to a full-fledged war. But cross-border wiring of malware? That is a more insidious and much more dangerous piece of meanness.
Impact on Gulf Region Stability
In case of conflict between two big names, such as Israel and Iran, on the digital platform, countries’ borders are not the only things that are endangered.
Completely exposed, the whole Gulf region is right in the middle of the crossfire, notably, in three aspects, namely, tech investment, energy infrastructure, and maritime security.
Here is how to look at that:
a. Tech and Energy Partnerships Require Stability
There are countries in the Gulf, such as the UAE, Saudi Arabia, and Qatar, that are currently pioneering a digital revolution.
They are putting billions into:
- AI startups
- Smart cities (NEOM, Saudi Arabia)
- Cloud systems
- Energy technology
However, in this case, none of this works without security.
It would be like investing millions in AI-enabled healthcare or intelligent transportation systems, but whose systems can be brought to their knees by ransomware or information loss.
There is nothing hypothetical about it. The most striking indicator appeared in a PwC CEO survey in the UAE, which revealed that 38 percent of the business executives identify cyber threats as the principal risk to future growth. This is greater than inflation, competition, and even supply chain disruptions.
What causes the fear?
This digital economy means that any blackout of 30 minutes in a smart grid system or oil pipeline system could:
- Close down the business
- Delay exports
- Panic investors
- Causes huge losses in finances
Therefore, to continue its further expansion, including the attraction of foreign technological partners, the Gulf needs to remain digitally safe. And the growing cyber warfare in the region makes that more and more challenging.
b. Energy and Maritime Security Are Interconnected
This is easy; there is no way to move energy without maritime stability.
The Gulf is a vital energy centre in the world. Every day:
- Oil and gas to the value of millions of barrels are exported.
- Ships that carry cargo sail into the ports of the Emirates, Saudi Arabia, Oman, etc.
- Systems such as GSP, radar, and trackers guarantee safe delivery.
However, this is what cyber attackers are aware of:
You need not blow up a ship to hold up oil exports. Go ahead and mess with the technology.
- A false GPS signal can deceive a ship.
- A ransomware attack may bring a port scheduling system to a standstill.
- Confusion/rerouting may cause hacked communications.
Indeed, an estimated 20 million barrels of oil are passed across Gulf vessels every day, and around 20% of the world’s oil consumption passes through the channel of the Gulf of Hormuz.
A spike in the oil prices occurs when such routes are compromised (even through the fear of attack). There is an increased cost of insurance. Delays in shipping take place. It is felt by everyone in the global markets, as well as by the average commuter at the gas station.
c. Hormuz Closure Would Unsettle Region and Markets
What about the Strait of Hormuz? Let us zoom in on it.
It is a strait which separates Iran and Oman, and not to be mistaken for its small size. It is one of the world’s most important energy choke points.
- Among barrels of oil sold in the world market, 1 in 5 goes through this small gate.
- Markets go into panic even at the rumour of its closure.
In this case, Iran has on many occasions threatened to shut down Hormuz whenever there is tension. And nowadays, they may be able to do without warships.
They could do the following:
- Oil tanker Jam’s GPS systems
- Block communications in the ports through computer devices
- Carry out ransomware attacks on shippers
- Sabotage software on the logistics to control movement
And it is already happening.
There has been a significant decline in tankers passing through Hormuz reported in June 2025, following the new US-Iran tensions. Certain shipping companies started to diversify their ships for safety. The others did not rush in to evaluate the risk. Yet, law and order have not been restored; social order has not been sanitised yet (New York Post).
Simultaneously, the prices of shipping insurance increased exponentially, which influences all people, including oil exporters and ordinary consumers. (MarketWatch)
Based on the report by Goldman Sachs, the traffic flow in the Hormuz could be hindered by as little as 50 per cent in only one month of time, oil prices look likely to shoot up over the 110-dollar-per-barrel mark.
Multi-Vector Threats from State and Non-State Actors
The cyber war between Iran and Israel is not only played between the two nations but also between their governments.
A better idea is that it resembles a digital field of battle, with the players who have various interests and instruments.
1. State-Sponsored Cyber Units
There have been rising assaults in the Gulf by groups directly associated with Iran, such as APT34 (also referred to as OilRig). These attackers are well-trained and they normally concentrate on:
- The official email servers owned by the government
- The systems of the oil and gas companies
- National telecommunication infrastructure
They not only result in technical harm, but they also undermine investor confidence, cause disruption of services, and force countries to become vulnerable.
2. Hacktivist Groups and Militias
These are usually semi-official, loosely affiliated groups that are used to perform minor attacks in the interest of Iran. They’ll launch:
- Website defacements
- Hacks on social media
- Disinformation campaigns
These are not necessarily always high-tech, but they are loud enough to attract the attention of people or to embarrass the target.
3. AI-Enhanced Attacks
That is when the frightening part happens. The use of AI is now to:
- Auto-phish campaigns
- Real-time modification of malware to go around firewalls
- Make deepfakes to cause confusion
AI is dynamic and rapid, which means that traditional tools cannot keep up. The number of attacks Gulf governments and corporations are experiencing is increasing at a shorter period-with a shorter notice.
U.S. Involvement and Strategic Consequences
The U.S is the biggest contributor in the Gulf digitally and militarily.
The region has U.S. military bases, radar systems, and cybersecurity partnerships. Although such alliances help enhance Gulf security, they also introduce new dangers.
Here’s why:
- Shared infrastructure also implies that when a U.S. system is attacked by a cyberattack, the partners in the region will also be affected.
- Gulf countries can find themselves in the middle of a crossfire, digitally, when the U.S. and Iran conflict.
- Analysts warn that Iran is only bound to strike back not only through military strategies but also through cyber-based attacks on any country perceived to be allied to the U.S. interests.
That is, although Gulf countries may not be the main target, they too can be hurt in reality.
Sectors Most Vulnerable to AI-Driven Cyberattacks
The Gulf represents one of the best-connected regions in the world. It is wonderful when it comes to innovation, but it also has the aspect of more attack.
The worst-affected sectors are the following:
Oil and Gas
This is the mainstay of the Gulf economy and a large target.
Automated systems present in modern oil rigs, refineries, and pipelines can be:
- Hacked
- Shut down
- Manipulated remotely
Only a single ransomware attack against a refinery would hold back millions of dollars worth of oil exportation.
Banking and Finance
The Gulf financial institutions are under exposure to:
- Phishing scams
- Data breaches
- Manipulation of the payment system
Just in the year 2025, a couple of widespread bank raids were observed in the Middle East alone, releasing personal information and halting transactions in the bank.
Transport and Shipping
AI is applied in ports, airlines, and cargo systems in routing, safety, and communication.
When a single system fails, flights are cancelled, ships are held up, and trade happens at a slower pace.
Health and Utilities
The power grids and hospitals rely on outdated software in most instances, which is an easy target for hackers.
When the records of a hospital or the water supply of a city come to a halt, resulting from a cyberattack, lives would be in danger.
Building Resilience Beyond Encryption
It is already time to be straight and say that encryption is not going to save us anymore.
The contemporary threat of the cyber world is not all about cracking passwords and hacking into email boxes. They are concerned with taking down cities, paralyzing economies, and hacking artificial intelligence to have access to the control of oil valves to control hospital equipment.
What then is real resilience in the Gulf?
Zero Trust Architecture
Believe that nothing can be secure, including your internal network.
In this security concept, there is an ongoing process of verification of the identities of all devices, applications, or individuals.
AI-Powered Threat Detection
Attackers are applying AI, and defenders should do so, too.
AI can:
- Do real-time monitoring of abnormal behavior
- See concealed patterns
- Forecast threats before the realization of threats
Incident Response Playbooks
Most enterprises do not go out of business due to hacking. They also fail since they are ignorant of their next step.
All serious organizations ought to possess:
- An exercise response plan
- An internal/public response communication plan. Once the public is made aware of the situation, a communication plan (for internal and public response) must also be designed.
- A recovery system that is easy to recover
Cross-Border Cyber Coordination
None of the countries of the Gulf can do so in isolation.
The policy of every country in terms of cybersecurity should include regional cyber drills, intelligence sharing platforms, and mutual defense pacts.
Consequences of a Large-Scale Cyberattack
What will occur when the doomsday scenario occurs?
Let us draw the picture in a nutshell:
- Oil export mechanisms are closed down for only 24 hours: billions are gone.
- Panic in banks because of ransomware: transactions blocked.
- Logistics hacked at the airport: hundreds of flights immobilized.
- Power grids shut down in main cities: chaos takes place.
- Deepfake on social media: a misinformation and unrest.
Not only are there some expenses, but a trust, a sense of security, and stability helplessly fall apart.
And this is what is frightening:
Most of these systems are interrelated. When one falls, the others can follow like dominoes.
Recommended Preventive Actions
Gulf countries and businesses can no longer afford to remain ignorant of such moving targets, and it is time to act before we react.
For Governments
- Establish and invest in national cyber organizations
- Initiate rapid notification and sharing of records in regional coordination units
- Security compliance enforcement for energy, finance, and telecom firms
For Businesses
- Implement zero-trust and multi-layered defense systems
- Train employees on cybersecurity best practices frequently
- To invest in monitors with AI that recognize threats as they come up.
For The Public
- Mail, links, and messages should be watched
- Keep yourself updated on possible scams or phishing
- Insist on greater digital protections for service providers
The issue is, resilience does not come up like a switch, but rather, it is a system. And society, down to the very last level, contributes towards it.
Conclusion
The struggle is intensifying between Israel and Iran in a cyber war assault, and the Gulf region is closing in the center of the hurricane.
It is not a matter of whether they will be hit by cyberattacks, but when.
The Gulf needs digital power in everything it does in terms of energy exports to the financial systems and smart cities. At the moment, the area is struggling with what is termed as the unseen war that is becoming even more intelligent day by day.
The positive news.
The war is not over yet. With planning, strategic defense, and cooperation, this war can be defeated.
Since the current era is not the one where oil and armies only provide power, because some people can be resilient in an era of AI.
