Public Wi-Fi risks that put your business data in danger

We live in a world where it's easy to send a quick work email at the airport lounge or finish design tasks in neighborhood coffee shops after hours. Remote work is great in theory. However, if we don't understand public Wi-Fi risks, working remotely can lead to cybersecurity disasters.

Public Wi-Fi networks are often a network security blind spot. Users sometimes drop their guard, exposing online accounts and security credentials that should remain locked down. That's why robust public Wi-Fi security is essential for business.

This article addresses Wi-Fi security, exploring critical risks, mitigation strategies, and employee best practices for public Wi-Fi users.

Key takeaways

• Many public Wi-Fi networks lack adequate security measures such as encryption. “Evil Twin” attacks complicate the issue by creating fake hotspots that appear legitimate. Users must be vigilant and aware to protect their online security.
• Using free Wi-Fi is extremely risky. Hackers use public Wi-Fi connections to monitor targets, extract credentials, deploy malware, and mount identity theft attacks. They can also spread phishing emails, hijack sessions, and divert users to fake websites.
• Protect work devices on public Wi-Fi by enforcing VPNs, malware scanning, MFA, and threat intelligence. Unsecured devices should never connect to insecure Wi-Fi networks.
• Best practices for employees include data encryption, using a VPN and firewall combination, and learning how to verify that they are using a secure network. Employees should avoid sensitive tasks on Wi-Fi networks, especially those involving financial data.

What makes public Wi-Fi networks risky?

Around 60% of us regularly use hotel or airport Wi-Fi to send emails and collaborate with colleagues. Wi-Fi liberates employees to work wherever they are. However, this freedom brings cybersecurity risks. If you exchange sensitive data or files via public networks, data loss is always a possibility.

Why is this? The problem is that many public Wi-Fi networks lack security measures to prevent hijacking and protect users from criminal activity.

Unsecured Wi-Fi networks often lack password protection and authentication or rely on default passwords that attackers can easily guess. They also use unencrypted plain text, allowing data to flow openly from user devices to the internet.

Moreover, companies that fail to secure their Wi-Fi networks are also vulnerable to spoofing (so-called "Evil Twin" attacks).

In Evil Twin attacks, criminals create a fake public Wi-Fi hotspot that resembles the real thing. For instance, they might create an access point called "Airport_StarbucksWiFi." The fake hotspot looks normal but allows threat actors to distribute malware and hijack connections.

Evil Twin attacks are more likely when businesses outsource Wi-Fi networks to IT partners. Airports regularly outsource connectivity, losing the ability to police internet traffic and crack down on copycat hotspots. Cybercriminals leap into that accountability gap, often without detection.

As a Wi-Fi user, identifying fake nodes or poor security measures is not simple. Most of the time, we want to log on smoothly and quickly without worrying about data security. Unfortunately, that's a mistake.

Unsafe Wi-Fi exposes everything users do online, and we must remain vigilant.

In one study, researchers monitored 11 unsecured Wi-Fi hotspots around Nara, Japan. Over 150 hours, they gathered unencrypted photos, documents, emails, and credentials. All of the harvested data was in plain text, ready to use for whatever purpose attackers desired.

Common dangers of free Wi-Fi networks

Public Wi-Fi networks are dangerous services. However, you can use them safely if you take action to mitigate critical public WiFi risks. Mitigation starts with understanding how attackers use Wi-Fi and how threats operate.

Man-in-the-Middle attacks

The Man-in-the-Middle (MitM) attacks involve attackers placing themselves between user devices and the public internet. Fake public Wi-Fi networks are perfectly adapted for this attack method.

Criminals controlling a public Wi-Fi hotspot use sniffing tools to monitor data and harvest unencrypted credentials from users on the same network. They can mount session hijacking attacks to execute financial transactions or redirect users to malicious websites.

Malware distribution

Unsecured networks enable malware distribution in several ways. For instance, attackers can use compromised Wi-Fi servers to redirect network users to fake websites and deliver malicious downloads.

Attackers can also send phishing emails directly to users or leverage software exploits to implant spyware tools. The bottom line is that using unsecured public Wi-Fi connections offers an open door for malware attacks.

Identity and credential theft

Both MitM attacks and malware can extract user credentials and other confidential information. Attackers use this information to mount secondary attacks. For example, they might use login credentials to apply for loans or gain access to business networks. They can also sell extracted data on dark web marketplaces.

The trouble with identity theft attacks is that they are hard to trace. Victims do not know criminals are using their login credentials until it's too late. That's why we recommend that Wi-Fi users regularly request a dark web scan to check for leaked emails and login details.

Business email compromise

In business email compromise attacks, criminals pose as legitimate contacts and persuade victims to transfer money or confidential information.

Unsecured Wi-Fi allows attackers to extract your email address and monitor email contents. Attackers can learn who you are and create persuasive phishing emails to suit their strategy.

Alternatively, hackers could hijack your business email account via compromised Wi-Fi connections. They can assume your corporate identity, using it to email colleagues, clients, and bosses. This technique builds false trust, enabling criminals to arrange payments or steal data without detection.

How much can security incidents cost companies

Using public Wi-Fi without protective measures is risky. But how risky is it from a financial and reputational perspective?

The answer is, very risky. Companies that neglect public Wi-Fi safety run unacceptable risks with potentially drastic consequences. Most significantly, a single insecure Wi-Fi connection can lead to enterprise-wide data breaches.

According to IBM, the average cost of a data breach reached $4.88 million in 2024—a 10 percent increase from the previous year. 66% of consumers lose trust in companies that suffer data breaches, and 75% consider avoiding their products.

Using public Wi-Fi amplifies this critical business risk. Statista reports that 25% of those using cafe Wi-Fi networks reported identity compromise attacks. Another survey found that 18% of Wi-Fi users reported experiencing cybersecurity incidents linked to public networks.

Even worse, 45% of respondents admitted to making financial transactions via public Wi-Fi and 47% failed to verify the legitimacy of Wi-Fi hotspots. So while public Wi-Fi is risky, users often underestimate the hazards and are liable to put data at risk.

Ways to stay safe on public Wi-Fi

Identity theft and data breach attacks are costly, but employees often need flexible internet access—especially when traveling. Companies must balance flexible working practices with robust cybersecurity. That way, businesses can enjoy the benefits of public Wi-Fi and neutralize the negatives.

Let's start with some security fundamentals to strengthen your security posture and protect users wherever they access the internet.

• Use a Virtual Private Network (VPN)—VPNs encrypt connections and assign anonymous IP addresses to user devices. With a Business VPN installed, employees access network assets via a secure connection. Even snoopers in control of Wi-Fi nodes can't easily decrypt web traffic. Integrate VPN usage into your remote work policies. Require employees to use an approved business VPN on all work devices.
• Scan downloads for malicious content—Criminals use unprotected Wi-Fi networks to divert users to fake websites and seed malicious downloads. Guard against this risk with Malware Protection tools that scan incoming files and identify malicious software.
• Implement real-time malware protection—It's also wise to use continuous threat scanning tools. Malware can infect any device via drive-by downloads or email attachments. Real-time malware scanning detects these threats before they steal data or damage assets.
• Leverage advanced threat intelligence—Threat intelligence provides up-to-date knowledge about active threat actors and attack techniques. Advanced knowledge makes it easier to mitigate risks and apply suitable Wi-Fi security measures.
• Secure all user accounts with multi-factor authentication (MFA)—Attackers may obtain user IDs or passwords via packet sniffing or malware. However, if you use MFA for network logins, criminals won't be able to access critical assets easily.

Best practices for employees using public Wi-Fi

The recommendations above will help you manage public Wi-Fi risks, but they aren't the end of the story. Wi-Fi security is fundamentally about safe user behavior and training. Security-aware employees are far less likely to fall for Evil Twin attacks or phishing scams.

With that in mind, here are some best practices that employees should follow when connecting to public Wi-Fi networks:

Learn how to recognize fake Wi-Fi networks

Training should focus on educating employees to understand public Wi-Fi security risks and identify fake networks. Educate staff to be alert to the risk of using free Wi-Fi networks, and require users to verify the hotspot with the staff at hotels or coffee shops before connecting.

Turn off auto-connect settings

Device users often enable auto-connect at home and forget that it applies elsewhere. However, devices may automatically connect with unsafe networks. Disable this feature and require manual logins for each public Wi-Fi internet connection.

Encrypt sensitive information on devices

If users regularly work remotely, require the encryption of sensitive data in specific folders. Ban the storage of work documents in plain text files, and consider requiring end-to-end email encryption for work-related file transfers.

Enable VPNs and firewall protection

As noted earlier, business VPNs bring public Wi-Fi users within your security perimeter. Combine robust VPN encryption with approved device firewalls to block most threats before they compromise data.

Don't use public Wi-Fi for sensitive activities

Attackers can't steal financial credentials if you don't type them into browsers. Tell staff to avoid sending payments via public Wi-Fi or discussing financial matters via insecure connections. The same applies to collaborating on confidential projects. If privacy is critical, use cellular hotspots or reliable Wi-Fi connections.

Require regular updates

Patch management manages the risks related to outdated operating systems and internet-facing applications. Remember: attackers look for WiFi security exploits to access devices and business networks. Make sure every critical app is up-to-date and protected against known vulnerabilities.

How NordLayer can help

Avoiding public Wi-Fi risks is not just about training. NordLayer's security platform reinforces employee knowledge by providing the tools to safeguard data and counter cyber threats.

For example, our Business VPN applies encryption and IP address anonymization to all users when they connect to the company network. Encryption locks down the content in transit of user devices, while the Always-On VPN feature ensures complete coverage. Your internal network remains invisible to attackers; sensitive data is always off-limits.

Our Download Protection tools screen downloads for malware threats. If Man-in-the-Middle attacks divert users to fake download sites, our tools detect threats before they execute malicious code. Real-time malware protection operates in the background, ensuring a seamless user experience.

NordLayer also leverages global threat intelligence to counter emerging threats and criminal actors. Our threat intelligence solution detects attacks early based on signatures and unusual behavior. Security teams enjoy network-wide visibility via real-time internet traffic monitoring.

Companies that allow employees to use unsecured public Wi-Fi networks should expect internet security issues sooner rather than later. However, NordLayer will help you strike a strategic balance between flexible work and cybersecurity. Contact our team to reduce public Wi-Fi risks without compromising employee performance.

Frequently asked questions

What information can hackers steal while browsing on public networks?

Hackers can steal any data passing across an unsecured Wi-Fi network connection. This includes email contents and metadata, search queries, file transfers, and login credentials for network portals, social media accounts, or financial services.

Stealing data stored on user devices is harder but also possible. Attackers can deploy malware to extract files from hard drives or connected devices. In short, any information on your device is at risk when you use unsecured free WiFi connections.

What are the biggest risks when using public WiFi networks?

Public WiFi use carries many cybersecurity risks. The biggest risk is the extraction of login credentials and other sensitive information. Attackers can sniff credentials from active connections and use this information to access network resources.

Public Wi-Fi users also risk malware infections from fake websites or direct deployment. Attackers can distribute phishing emails or pop-up alerts to users on the same network. They can also use session hijacking techniques to control applications and compromise network security.

How does the use of a VPN help you stay protected?

Virtual private networks protect public Wi-Fi use by encrypting data and assigning anonymous IP addresses. Encryption conceals the data you send over free wifi connections. Attackers cannot see what you type or the emails you send and tend to shift focus to easier targets instead.