Construction Cyber Threats: When Hackers Hit the Jobsite

construction cyber threats

When Hackers Hit the Jobsite: The New Frontier of Construction Cyber Threats


 

The Australian construction industry has undergone one of the most significant digital transformations in its history. Building Information Modelling (BIM), cloud-based project management, IoT-enabled devices, remote site connectivity and integrated supply-chain platforms have rapidly improved efficiency, collaboration and onsite safety.

But the digital evolution has brought a new and rapidly escalating challenge – construction cyber threats.

Why? This digital footprint – while transformative – creates a much wider attack surface for threat actors.

According to the Australian Federal Police and multiple global and local reports, the construction sector has become one of the most targeted industries for cybercrime.  The Australian Federal Police distributed a media release in October 2025 about the significant increase in scams hitting the Construction sector.

For Australian construction companies including large head contractors, mid-tier builders, engineers, architects, subcontractors and suppliers, the threat landscape is intensifying. And without stronger cyber resilience, the industry risks becoming one of the easiest targets for cybercriminals.

Why Attackers are Targeting Construction

Construction is now one of the top three most targeted sectors globally for ransomware. Cybercriminals see construction firms as:

  1. Time-pressured – project deadlines create urgency, making companies more likely to pay ransoms.
  2. Data-rich – building plans, smart homes and offices, access credentials, project financials and bank account details are extremely valuable.
  3. Under-protected – many construction companies and contractors rely on outdated systems, legacy networks, or unmanaged subcontractor connections.
  4. Highly interconnected – multiple vendors, suppliers and subcontractors increase the number of entry points.

With billions of dollars in infrastructure, commercial and residential projects underway across Australia, the stakes have never been higher.

When Construction Cyber Threats Become Reality

In recent years, the construction sector has experienced several high-profile cyber incidents that highlight the industry’s growing vulnerability.

In Australia, Goodline suffered a major ransomware attack in 2024 after criminals gained access through compromised credentials, stealing over 600GB of sensitive corporate and employee data.

In early 2025, mid-tier builder Novati Constructions was listed on the Lynx ransomware gang’s leak site, with attackers claiming to have exfiltrated contracts, financial data and internal reports.

Internationally, Chicago-based contractor Skender Construction was hit by a ransomware attack in 2024 that encrypted critical project information and exposed personal data belonging to more than 1,000 individuals before the company restored systems from backups and notified affected parties.

These cases underscore the escalating frequency and impact of cyber-attacks across the construction ecosystem – from major contractors to engineering firms and mid-sized builders alike.

Construction Cyber Threats Come from Many Angles – Not Just Hackers

One of the biggest misconceptions in construction cybersecurity is the belief that the primary risk comes from a malicious external hacker. In reality, threats come from almost every corner of a construction project.

From our experience in post cyber incident investigations, these are the biggest threat vectors impacting Australian builders:

a) Insecure subcontractors and suppliers

Subcontractors often connect to head contractors’ systems, share files, or use project collaboration platforms. Many operate with minimal cybersecurity, outdated devices or weak password policies—turning them into high-risk gateways for attackers.

b) Legacy and outdated systems

Many builders rely on old project management platforms, access control systems, servers and network infrastructure, SCADA (Supervisory Control and Data Acquisition) / operational technology and outdated Microsoft or mobile device versions.  These systems often lack modern security patches and become easy entry points.

c) Unsecured IoT devices on site

IoT devices are increasingly used to monitor equipment, track workers, manage environmental conditions, control machinery and secure site access. But many IoT systems lack encryption, authentication or secure configuration – leaving them open to exploitation.

d) Human error & social engineering

Insurance industry cyber claims analysis highlights that more than 80% of breaches begin with a human mistake, not a technical failure. Phishing emails, invoice fraud, fake subcontractor communications and compromised file-sharing links are rampant in the industry.

e) Compromised cloud services

Cloud collaboration tools are essential for modern construction. But poor access controls, shared logins or unsecured mobile devices create vulnerabilities that attackers regularly exploit.

The Consequences Hit Far Beyond IT

Cyber incidents in construction don’t just expose data, they disrupt entire project ecosystems. According to industry reports, successful attacks lead to:

a) Project Delays & Operational Shutdowns

Ransomware can freeze project schedules, site access systems, procurement and logistics, design files and BIM models and communication tools.

In major projects, every day of delay can cost millions.

b) Cost Overruns

Cyber incidents often cause emergency IT recovery costs, ransom payments, penalty payments for delays, rework due to corrupted files, unplanned labour and overtime and forensic and legal expenses,

c) Loss of Contracts and Trust

Contracts, especially in government and critical infrastructure, may be revoked if contractors suffer significant cyber breaches.

d) Legal, Insurance & Compliance Exposure

With increasing regulatory attention and mandatory breach notification laws, construction firms may face regulatory scrutiny, investigations, and litigation.

Prevention Construction Cyber Threats is More Effective Than Remediation

According to research, the cost of proactive cyber protection is a fraction of the cost of responding to a major breach.

The most effective strategy is early detection. Identifying vulnerabilities (such as weak subcontractor connections, exposed cloud storage, unpatched devices, or poor security protocols) before attackers exploit them is the key to resilience.

The following strategies can identify vulnerabilities early and significantly reduce both the likelihood and impact of an attack:

  • regular cyber risk assessments
  • security awareness training for staff and subcontractors
  • improved authentication policies
  • patch management
  • reviewing access controls
  • incident response planning

Why a Tailored Cybersecurity Approach is Needed in Construction

Construction is unlike any other sector. With multiple sites, dispersed teams, diverse hardware/software, and complex supply chains, a generic cybersecurity solution simply doesn’t work. Tailored strategies must consider:

a) Multi-site environments

Each site has unique requirements, equipment, connectivity and contractor access.

b) Distributed workforce

Engineers, project managers, site supervisors and subcontractors work across different locations and systems.

c) High subcontractor dependency

Each subcontractor introduces a new potential vulnerability.

d) Operational technology (OT) & IoT complexities

Integrating physical equipment with digital systems increases risk.

e) Hybrid digital ecosystems

On-premise systems, cloud apps and mobile devices must all be secured cohesively.

Clearly, construction demands a layered, customised cybersecurity model, one that addresses human, technical, and supply-chain vulnerabilities holistically.

What Construction Cyber Threats Mean

Australia’s construction industry continues to move quickly into a digital future, but with that progress comes real, business-critical cyber risk.

Cyber-attacks are no longer hypothetical. They are happening every week across the sector, impacting builders, contractors, engineers, architects and suppliers. The consequences are far-reaching: financial loss, project disruption, safety risks and reputational damage.

The message is clear: Construction firms must treat cybersecurity as seriously as physical site safety, quality control and project governance.

The most resilient organisations will be those that:

  • recognise cyber risk as a genuine operational threat
  • assess their vulnerabilities early
  • strengthen subcontractor and supply-chain security
  • build a culture of cyber awareness
  • invest in tailored, layered protection

In a landscape where every project is interconnected, a firms cyber security controls are only as strong as its weakest link. Now is the time for construction companies to act – before a cyber incident becomes the next major project delay or business interruption.

Can We Help?

We are here to help strengthen cyber resilience. Our cyber risk management capabilities include designing and developing a cyber risk management framework and a wide range of response plans to enhance your cyber resilience capabilities. Our cyber risk management services include:

  • Vulnerability scanning
  • Cyber Security Gap Analysis against Essential Eight and ISO 27001
  • Regulation compliance advice
  • Cyber Risk Governance Framework Reviews
  • Cyber Risk Governance Framework Development
  • Third-Party Vendor Review and Cyber Risk Analysis
  • Cyber Risk Awareness Training and Internal Campaigns
  • Post-Cyber Incident Review
  • Email Phishing Campaigns
  • Cyber Incident Response
  • Crisis Team Familiarisation Training
  • Artificial Intelligence (AI) Risk Governance

Be more resilient to a wide range of cyber risks and get relevant insight into how to protect your systems by contacting us to discuss how we can help strengthen your cyber resilience framework.