AI-Created Imitation Stores and Advertisements Multiply on Facebook


The popular gift items for the holiday season this year feature the latest iPhone, the Nintendo Switch 2, and anything associated with KPop Demon Hunters. Nevertheless, on Facebook, these could be scams orchestrated by cybercriminals masquerading as sellers of these products. Scammers utilize AI-generated images to fabricate products that seem of high quality and offer them at attractive prices. When individuals click on these advertisements, they are led to deceptive e-commerce websites. Consumers unwittingly buy counterfeit items and either receive a low-quality imitation or nothing whatsoever.

An investigation by the BBC uncovered that individuals fell victim to scams involving fake AI-generated images that posed as products from C’est La Vie and Mabel & Daisy, UK-based family businesses. These shops do not exist; the e-commerce links lead to a Chinese warehouse sending counterfeit goods. The BBC received feedback from over 60 victims following its report, and Meta took down the fraudulent entities from Facebook.

Scams on Facebook are not a recent phenomenon. For many years, con artists have taken advantage of the Facebook ads platform. Meta reportedly generates $7 billion each year from scam advertisements. Generative AI has facilitated cybercriminals in crafting realistic images and videos that lend credibility to their phony shops.

To steer clear of being duped, exercise caution this holiday season and keep in mind: If a deal appears too good to be true, it likely is.