As India prepares to celebrate Diwali, the festival of lights, a shadow has crept across the country’s digital landscape. According to a new report released by cybersecurity giant McAfee on October 12, 2025, one in three Indian consumers has fallen victim to an online scam during this year’s festive shopping season—a staggering sign of how cybercrime is evolving in the digital age.
The report, covered by multiple outlets including Bharat Speaks and McAfee’s own analysts, paints a sobering picture. Of those targeted, 37% reported direct financial losses. Others suffered the fallout of data theft, identity compromise, and a kind of emotional stress that’s hard to measure but easy to understand. The culprits? A new breed of tech-savvy fraudsters wielding artificial intelligence (AI) and deepfake technology as their weapons of choice.
"AI has become a new weapon for scammers," warned Pratim Mukherjee, Senior Director of Engineering at McAfee, in a statement reported by Bharat Speaks. He described the current digital boom around Diwali as a "gold rush for fraudsters," explaining, "The festive season is a time of generosity and gifting—and scammers know how to exploit that emotion. AI-generated deepfakes and fake discount campaigns are among the most dangerous threats to Indian consumers today." Mukherjee urged shoppers to verify URLs, avoid unverified links, and use strong passwords to avoid falling prey to these increasingly sophisticated attacks.
The numbers behind India’s digital shopping surge are as impressive as they are alarming. More than 77% of Indians now shop via smartphones during Diwali, with those aged 25 to 44 leading the charge. The reasons are clear: better discounts, convenience, a wider variety of products, and faster delivery. But with that convenience comes vulnerability. According to the McAfee report, 96% of consumers now worry about online scams, and 72% believe AI-powered frauds are more dangerous than last year.
Scam attempts have become a daily reality for many. On average, Indians face 12 scam attempts per day, delivered through SMS, social media, and email. The methods are varied but chillingly effective: 91% of consumers have received suspicious messages, including fake gift cards, refund alerts, or "limited-time offers." In fact, nearly half (49%) reported receiving bogus "gift card wins," while 40% were hit with "limited-time offers," and 27% encountered fraudulent "refund alerts."
The sophistication of these scams has reached new heights, thanks in large part to AI and deepfake technology. Cybercrime expert and former IPS officer Prof. Triveni Singh, speaking to Bharat Speaks, highlighted how AI-generated deepfake videos now use celebrity faces to promote fake products or discounts. "Scammers now use celebrity faces to promote fake products or discounts. Even educated consumers are falling for it because these videos look authentic," he said. Singh emphasized that "emotional manipulation" is a key tactic, especially during Diwali, with phrases like "limited stock" or "refund available" tricking people into clicking malicious links.
Echoing these concerns, Singh told McAfee, "AI and deepfake technology have given cybercriminals a dangerous new arsenal. They are no longer just technically skilled—they’ve become psychological manipulators. Fake videos using celebrity faces to promote counterfeit brands are now alarmingly common, misleading even educated consumers." He added, "During the festive season, scammers exploit emotional triggers—like ‘limited-time deals’ or ‘refund offers.’ Clicking on such links often results in data theft or unauthorized bank withdrawals. Consumers must verify every offer through official company websites or apps instead of trusting random messages."
With so much at stake, it’s no surprise that digital vigilance is on the rise. The McAfee report found that 98% of Indian consumers say they plan to be more careful this Diwali, a sign of growing digital literacy and awareness. More than half (55%) intend to shop only on trusted websites, while 53% will adopt stronger passwords and two-factor authentication. Many also plan to verify suspicious messages directly with retailers before taking any action.
Pratim Mukherjee was quick to point out that even simple preventive steps can go a long way. He advised consumers to remain vigilant by verifying websites, using strong passwords, and avoiding suspicious links or offers. "These scams are not only technologically sophisticated but also psychologically manipulative," he said, urging a proactive approach to online safety.
But this newfound caution is not just about technology—it’s about culture. As India’s digital economy expands at a breathtaking pace, cyber threats are evolving in tandem. Experts say that a culture of awareness and proactive protection is now essential. Prof. Triveni Singh put it succinctly: "In the digital era, caution is the new security. A few seconds of awareness can save a lifetime of regret." Or, as he told McAfee, "If consumers remain alert, no scammer can steal their festive joy."
What’s driving this surge in vigilance? For one, Indians are becoming more aware of the risks. The sheer volume of scam attempts—12 per day, on average—has made it impossible to ignore the threat. And with 91% of consumers having already received suspicious messages, the sense of urgency is palpable. The fact that 96% of people are worried about online scams speaks to a collective awareness that’s hard to dismiss.
Yet, there’s a silver lining. The same digital revolution that empowers scammers is also arming consumers with new tools and knowledge. Two-factor authentication, strong passwords, and a healthy skepticism toward too-good-to-be-true offers are becoming the norm rather than the exception. As Singh noted, "In the digital era, vigilance is the new security."
India’s story is, in many ways, a microcosm of global trends. As shopping moves online, especially during high-stakes seasons like Diwali, the risks and rewards both multiply. Fraudsters adapt quickly, but so do consumers—and the battle for digital safety becomes a test of both technology and human awareness.
As millions of Indians light their diyas this Diwali, there’s a new kind of lamp burning bright: digital awareness. In a season defined by light’s triumph over darkness, it’s this spirit of vigilance that may ultimately keep the shadows of cybercrime at bay. With every click, swipe, and online purchase, the message is clear—caution is the brightest light of all.
