Google has filed a civil lawsuit against a China-based cybercrime group, identified as the Outsider Enterprise, alleging that the group exploited its Gemini AI system for phishing operations. The lawsuit, filed on June 12, 2026, claims that the Outsider Enterprise used Gemini to generate phishing websites and send millions of fraudulent text messages to Android users while impersonating well-known brands including Google, YouTube, and the U.S. Postal Service.
The complaint describes the group’s operations as a form of industrialized phishing-as-a-service. In May, the Outsider Enterprise reportedly sent around 2.5 million scam messages to Android users, resulting in approximately 55,000 spam complaints filed against the operation. Google also identified about 9,000 fake websites and over 1 million fraudulent URLs connected to the group.
According to a detailed security blog from Google, members of the Outsider Enterprise used Gemini to generate customized code for phishing landing pages. These pages were designed to mimic legitimate offers, such as gift redemptions and account verifications. The operation’s platform offered hundreds of ready-made templates and documentation, allowing even non-technical users to launch large-scale phishing campaigns.
The FBI has collaborated with Google and security researchers to seize several domains and storefronts used by the Outsider Enterprise to conduct its phishing activities. Additionally, Google is working with major carriers AT&T, T-Mobile, and Verizon to block scam traffic and is employing AI-driven detection systems to intercept malicious messages before they reach users.
In the lawsuit, Google accuses the Outsider Enterprise of various crimes, including racketeering, wire fraud, and trademark infringement. The company seeks injunctive relief and damages aimed at dismantling the group’s infrastructure. Google requests court orders to seize or block key infrastructure used to host and publish fraudulent pages and to restrict the group’s ability to create new phishing sites.
Federal agencies, including the U.S. Postal Inspection Service, have issued warnings regarding common smishing tactics such as bogus package-tracking alerts and urgent financial messages. They recommend that users avoid clicking links in unexpected texts and refrain from sharing personal information. Users are advised to report suspicious messages by forwarding them to 7726 (SPAM) and filing complaints with the FTC.
Experts observe that this case highlights the potential misuse of generative AI in facilitating large-scale fraud. The lawsuit represents an initial test of how the legal system will handle AI-assisted criminal activities, potentially shaping future litigation and regulations regarding automated scams. Google aims to prevent the Outsider Enterprise from publishing scam pages and to reduce the number of malicious messages reaching users’ devices.
