MGM & Caesars Ransom
A 10-minute help-desk call freezes the Vegas Strip
Attributed to Scattered Spider (also tracked as UNC3944 by Mandiant, Octo Tempest by Microsoft, and 0ktapus/Roasted 0ktapus by earlier researchers). The group is an English-speaking, predominantly US/UK youth network operating through the loosely-organized "Comm" social community. Multiple members were arrested in 2024: Noah Urban (Jan 2024, DOJ) and Tyler Robert Buchanan (Jun 2024, DOJ/Spain). ALPHV/BlackCat — a Russian-language ransomware-as-a-service — provided the encryption payload as a RaaS affiliate partner.
Scattered Spider — a loose collective of English-speaking young adults communicating via the 'Comm' underground — exploited the weakest link in enterprise identity: the human help desk. In roughly ten minutes on September 7, 2023, an attacker impersonating an MGM Resorts employee convinced the Okta-contracted help desk to reset MFA, surrendering Okta Super Admin credentials. Over the following days the group laterally moved into MGM's VMware ESXi hypervisor infrastructure and detonated ALPHV/BlackCat ransomware. Slot machines went dark, room-key systems failed, websites went offline, and MGM's casino floors were operationally degraded for roughly ten days. MGM refused to pay; the incident cost the company approximately $100 million per its October 5, 2023 SEC 8-K filing. Caesars Entertainment, hit by the same group weeks earlier, paid approximately $15 million of a $30 million ransom demand — disclosed in its September 14, 2023 SEC 8-K.
- Phase 01 · ReconnaissanceTA0043
Attackers mined LinkedIn to identify an MGM employee and build a pretext for the help-desk call
- Scattered Spider operators searched LinkedIn for MGM Resorts employees — specifically targeting individuals whose job titles and employer details would make them plausible caller identities for an IT help-desk reset request.
- Open-source OSINT on the target (name, job title, department, likely manager structure) gave operators enough context to convincingly impersonate the employee during a live phone call.
- The same OSINT-to-vishing pipeline had been used by Scattered Spider (tracked as 0ktapus) in 2022 against over 130 organizations in the Twilio/Cloudflare campaign, demonstrating the group's practised approach to social-engineering identity providers.
- CISA advisory AA23-320A and Microsoft's Octo Tempest report both note that the group routinely researches targets on LinkedIn, Telegram, and internal directories before initiating contact.
Techniques - Phase 02 · Initial AccessTA0001
One vishing call, ~10 minutes — the help desk reset MFA and handed over Okta Super Admin
- On or around September 7, 2023, a Scattered Spider operator called the Okta-contracted IT help desk impersonating an MGM Resorts employee identified via LinkedIn reconnaissance.
- The caller social-engineered the help-desk agent into resetting the target's multi-factor authentication — using only the employee's name, job title, and basic personal details as verification — a technique CISA designates T1656 (Impersonation) combined with T1566 vishing.
- With MFA reset, the attacker authenticated as the target employee and escalated to Okta Super Administrator privilege — granting control over MGM's entire identity provider, including the ability to add or modify any user, application, or authentication policy.
- Caesars Entertainment suffered a similar help-desk social-engineering attack weeks earlier (August 2023 access), also attributed to Scattered Spider; Caesars' ALPHV ransomware detonation preceded MGM's.
- CISA advisory AA23-320A explicitly lists help-desk social engineering and MFA reset abuse as Scattered Spider's primary initial-access vector across its known victim set.
TechniquesSources- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- Octo Tempest Crosses Boundaries to Facilitate Extortion, Encryption, and Destruction · Microsoft Threat Intelligence · 2023-10-25
- MGM Resorts International Form 8-K (cybersecurity incident disclosure) · U.S. SEC / MGM Resorts International · 2023-09-12
- Caesars Entertainment Form 8-K (cybersecurity incident disclosure) · U.S. SEC / Caesars Entertainment · 2023-09-14
- Phase 03 · Persistence & Identity TakeoverTA0003
Okta Super Admin gave the group god-mode over MGM's identity plane — new accounts, disabled MFA, SSO pivots
- With Okta Super Admin access, operators could create new administrator accounts, disable or bypass MFA policies for existing users, and modify any SSO application assignment — enabling persistent access that survived individual password resets.
- The group used Super Admin privileges to enumerate all Okta-integrated applications, identifying downstream SaaS and on-premises systems reachable via SSO federation.
- CISA and Mandiant reporting on UNC3944 describe the group adding attacker-controlled devices as registered MFA factors on targeted accounts to maintain persistent access after incidents began response.
- Microsoft's Octo Tempest analysis notes the group uses identity-provider control as both a persistence mechanism and a lateral-movement enabler — Okta Super Admin is the master key to the entire enterprise identity graph.
TechniquesSources- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- UNC3944 Targets SaaS Applications · Mandiant / Google Cloud Threat Intelligence · 2023-09-14
- Octo Tempest Crosses Boundaries to Facilitate Extortion, Encryption, and Destruction · Microsoft Threat Intelligence · 2023-10-25
- Phase 04 · DiscoveryTA0007
From Okta's vantage point, attackers mapped MGM's entire infrastructure — including the VMware ESXi hypervisor fleet
- Super Admin access to Okta gave the group visibility into every application integrated with MGM's identity provider, enabling automated enumeration of cloud and on-premises environments without scanning from external infrastructure.
- Operators identified MGM's VMware vCenter and ESXi hypervisor management plane as accessible via SSO-federated credentials — a common enterprise pattern where virtualization infrastructure is protected behind the same identity layer as SaaS applications.
- CISA advisory AA23-320A and CrowdStrike reporting describe Scattered Spider conducting internal network reconnaissance using native tools (PowerShell, WMI, net commands) and cloud-provider APIs after obtaining valid credentials, to identify high-value targets before ransomware detonation.
- Discovery of the ESXi fleet was the prerequisite step to the hypervisor-targeted ransomware deployment that would cause maximum operational disruption.
Techniques - Phase 05 · Lateral MovementTA0008
Federated credentials and stolen tokens moved the attack from Okta to on-premises VMware hypervisors
- Using Okta Super Admin access, the group issued or hijacked federation tokens to authenticate directly into VMware vCenter — the management console controlling MGM's ESXi hypervisor fleet — without needing to compromise individual guest OS credentials.
- This identity-first lateral movement pattern — moving from cloud IdP to on-premises infrastructure via SSO trust — is a Scattered Spider signature documented across multiple victims in CISA AA23-320A and Mandiant's UNC3944 series.
- CISA and Microsoft note Scattered Spider also uses legitimate remote-management tools (AnyDesk, TeamViewer, RustDesk) and native tunneling to maintain access during lateral movement, making traffic difficult to distinguish from authorized IT activity.
- The VMware management plane gave operators the ability to interact with every guest virtual machine running on the ESXi hosts — including systems supporting MGM's casino floor operations, hospitality systems, and payment infrastructure.
TechniquesSources- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- Octo Tempest Crosses Boundaries to Facilitate Extortion, Encryption, and Destruction · Microsoft Threat Intelligence · 2023-10-25
- UNC3944 Targets SaaS Applications · Mandiant / Google Cloud Threat Intelligence · 2023-09-14
- Phase 06 · Execution — ALPHV/BlackCat RansomwareTA0002
ALPHV/BlackCat encrypted ESXi hypervisors across MGM's infrastructure — taking down casino operations simultaneously
- Scattered Spider, acting as a RaaS affiliate, obtained the ALPHV/BlackCat ransomware payload and deployed it against MGM's VMware ESXi hypervisors — a known ALPHV specialty that maximizes impact by encrypting multiple virtual machines per physical host in a single operation.
- ALPHV/BlackCat is written in Rust, supports both Windows and Linux (ESXi), and includes a dedicated ESXi encryptor variant; encrypting the hypervisor layer rather than individual guest VMs prevents booting any VM on the host, achieving maximum blast radius.
- The encryption event caused slot machines across MGM casino floors to go dark, room-key card systems to fail, MGM.com and reservation systems to go offline, and MGM Rewards digital services to become unavailable — disruption persisting for approximately ten days.
- ALPHV published a statement on their dark-web leak blog around September 14, 2023 claiming responsibility for the MGM attack and disputing MGM's public characterization of events — a now-common RaaS PR tactic to pressure victims.
- Caesars Entertainment, hit earlier by the same group, paid approximately $15 million of a $30 million ransom demand before its systems were encrypted to operational impact, per its September 14, 2023 8-K filing.
TechniquesSources- Caesars Entertainment Form 8-K (cybersecurity incident disclosure) · U.S. SEC / Caesars Entertainment · 2023-09-14
- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- Octo Tempest Crosses Boundaries to Facilitate Extortion, Encryption, and Destruction · Microsoft Threat Intelligence · 2023-10-25
- G1016 — Scattered Spider · MITRE ATT&CK
- Phase 07 · ImpactTA0040
MGM refused to pay — ~$100M loss, 10 days of operational chaos; Caesars paid ~$15M before detonation
- MGM Resorts refused to pay the ransom. In its October 5, 2023 SEC 8-K filing, MGM disclosed that the cybersecurity incident was expected to have a negative impact of approximately $100 million on its third-quarter 2023 Adjusted EBITDAR, plus additional costs for cybersecurity consulting, legal fees, and remediation.
- Caesars Entertainment, which had been compromised earlier (August 2023 access), disclosed in its September 14, 2023 8-K that it had paid approximately $15 million — roughly half the $30 million ransom demanded — to prevent further data exposure and the threat of encryption; Caesars' casino operations were not materially disrupted.
- MGM's operational impact spanned approximately ten days: slot machines were inoperable, hotel room-key card systems failed across multiple properties (including the MGM Grand, Bellagio, and Park MGM in Las Vegas), MGM.com and the MGM Rewards mobile app were offline, and check-in processes reverted to manual.
- ALPHV/BlackCat published a statement on their dark-web blog around September 14, 2023 — archived by vx-underground — claiming they had spent only 10 minutes on the initial MGM social-engineering call and criticizing MGM's response, in a public pressure tactic to deter future victim resistance.
- Multiple Scattered Spider members were subsequently arrested: Noah Urban (Florida, January 2024) and Tyler Robert Buchanan (Spain, June 2024) on DOJ federal charges related to the Scattered Spider hacking campaign.
Sources- MGM Resorts International Form 8-K (Oct 5 2023 — financial impact disclosure) · U.S. SEC / MGM Resorts International · 2023-10-05
- Caesars Entertainment Form 8-K (cybersecurity incident disclosure) · U.S. SEC / Caesars Entertainment · 2023-09-14
- Florida Man Arrested for Alleged Role in Scattered Spider Hacking Campaign (Noah Urban) · U.S. Department of Justice · 2024-01-10
- Alleged Scattered Spider Members Face Federal Charges (Tyler Robert Buchanan et al.) · U.S. Department of Justice · 2024-11-20
- Phase 08 · Response & LessonsTA0040
CISA + FBI advisory, DOJ arrests, and industry guidance reshaped help-desk identity verification standards
- CISA and the FBI published joint advisory AA23-320A on November 16, 2023 — '#StopRansomware: Scattered Spider' — cataloguing the group's TTPs, covering 30+ techniques across reconnaissance, initial access, persistence, and impact, and issuing mitigations targeted specifically at MFA policies and help-desk verification procedures.
- The advisory's primary mitigation recommendations included: requiring robust identity verification (e.g., callback to known numbers, manager approval, in-person verification) before any MFA or password reset; phishing-resistant MFA (FIDO2/hardware tokens) as a baseline; monitoring Okta admin logs for Super Admin privilege escalations; and implementing network segmentation between identity infrastructure and hypervisor management planes.
- Okta itself issued guidance following the incident on hardening help-desk authentication workflows, and noted in its own November 2023 disclosure that a breach of its support case management system (separate incident) had also affected a small number of Okta customers' session tokens.
- The arrests of Noah Urban (January 2024) and Tyler Robert Buchanan (June 2024) marked the first significant law-enforcement action against Scattered Spider's membership; DOJ charged five individuals in November 2024 in connection with the broader campaign.
- The MGM/Caesars intrusions became a landmark case study for the intersection of social engineering, cloud identity provider compromise, and ransomware — demonstrating that no amount of network perimeter defense prevents an attacker who controls the identity plane.
Sources- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- Florida Man Arrested for Alleged Role in Scattered Spider Hacking Campaign (Noah Urban) · U.S. Department of Justice · 2024-01-10
- Alleged Scattered Spider Members Face Federal Charges (Tyler Robert Buchanan et al.) · U.S. Department of Justice · 2024-11-20
- G1016 — Scattered Spider · MITRE ATT&CK
Caltagirone / Pendergast / Betz 2013 — four-vertex attribution framework.
- Scattered Spider (UNC3944) + ALPHV/BlackCat ransomware affiliate
- T1591
- T1593.001
- T1589.001
- T1656
- T1566.004
- +1 more
- See narrative above
- #StopRansomware: Scattered Spider — CISA Advisory AA23-320A · CISA / FBI · 2023-11-16
- MGM Resorts International Form 8-K (Sept 12 2023 — initial cybersecurity incident disclosure) · U.S. SEC / MGM Resorts International · 2023-09-12
- MGM Resorts International Form 8-K (Oct 5 2023 — ~$100M financial impact estimate) · U.S. SEC / MGM Resorts International · 2023-10-05
- Caesars Entertainment Form 8-K (Sept 14 2023 — ransom payment disclosure) · U.S. SEC / Caesars Entertainment · 2023-09-14
- Octo Tempest Crosses Boundaries to Facilitate Extortion, Encryption, and Destruction · Microsoft Threat Intelligence · 2023-10-25
- UNC3944 Targets SaaS Applications · Mandiant / Google Cloud Threat Intelligence · 2023-09-14
- G1016 — Scattered Spider · MITRE ATT&CK
- Florida Man Arrested for Alleged Role in Scattered Spider Hacking Campaign (Noah Urban) · U.S. Department of Justice · 2024-01-10
- Alleged Scattered Spider Members Face Federal Charges (Tyler Robert Buchanan et al.) · U.S. Department of Justice · 2024-11-20