May 26, 2025
Your employees might pose the greatest cybersecurity risk to your business, and it's not only because they tend to click on phishing emails or reuse passwords. The real issue is that they are using apps your IT team isn't even aware of.
This phenomenon is known as Shadow IT, and it represents one of the fastest-growing security threats for businesses today. Employees often download and use unauthorized apps, software, and cloud services with good intentions, but in doing so, they create significant security vulnerabilities without realizing it.
What Is Shadow IT?
Shadow IT refers to any technology used within a company that has not been approved, vetted, or secured by the IT department. Examples include employees using personal Google Drive or Dropbox accounts to store and share work documents, teams signing up for unapproved project management tools like Trello, Asana, or Slack without IT oversight, workers installing messaging apps such as WhatsApp or Telegram on company devices to communicate outside official channels, and marketing teams using AI content generators or automation tools without verifying their security.
Why Is Shadow IT So Dangerous?
Because IT teams have no visibility or control over these tools, they cannot secure them, leaving businesses vulnerable to various threats. These include unsecured data sharing where employees using personal cloud storage, email accounts, or messaging apps may accidentally leak sensitive information, making it easier for cybercriminals to intercept it. Unauthorized apps often miss security updates, leaving systems exposed to hackers. Using unapproved apps can lead to compliance violations if your business is subject to regulations like HIPAA, GDPR, or PCI-DSS, potentially resulting in fines and legal issues. There is also an increased risk of phishing and malware since employees might unknowingly download malicious apps disguised as legitimate ones. Additionally, using unauthorized tools without multifactor authentication can expose employee credentials, allowing hackers to access company systems.
Why Do Employees Use Shadow IT?
Most of the time, it is not with malicious intent. A recent example is the "Vapor" app scandal uncovered by IAS Threat Labs, where over 300 malicious apps on the Google Play Store were downloaded more than 60 million times. These apps disguised themselves as utilities and health tools but were designed to display intrusive ads and phish for credentials and credit card information. Once installed, they hid their icons and overwhelmed devices with full-screen ads, rendering them nearly unusable. This incident shows how easily unauthorized apps can infiltrate devices and compromise security.
Employees also turn to unauthorized apps because they find company-approved tools frustrating or outdated, want to work faster and more efficiently, don't realize the security risks involved, or believe IT approval takes too long and choose to bypass it. Unfortunately, these shortcuts can lead to costly data breaches.
How To Stop Shadow IT Before It Hurts Your Business
You cannot stop what you cannot see, so addressing Shadow IT requires a proactive approach. Start by creating an approved software list with your IT team that includes trusted, secure applications employees can use, and keep it updated regularly. Restrict unauthorized app downloads by setting device policies that prevent employees from installing unapproved software on company devices, requiring IT approval for new tools. Educate employees about the risks of Shadow IT through regular training, emphasizing that it is not just a productivity shortcut but a serious security threat. Monitor network traffic for unapproved apps using network-monitoring tools to detect unauthorized software use and flag potential threats early. Implement strong endpoint security with endpoint detection and response (EDR) solutions to track software usage, prevent unauthorized access, and detect suspicious activity in real time.
Don't Let Shadow IT Become A Security Nightmare
The best way to combat Shadow IT is to get ahead of it before it causes a data breach or compliance failure.
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