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Image: hiddenlayer.com

Phi-4 Gets a Secret Side Hustle: Rerouting Its Own Tool Calls Through a Snooping Proxy

Ourtake

The model says one thing, the tool call does another, and the user never finds out. Inspect your model files.

What happened

HiddenLayer researchers demonstrated Agentic ShadowLogic, a backdoor embedded in the computational graph of Microsoft's Phi-4 ONNX model that silently rewrites URLs in tool calls to pass requests through an attacker-controlled proxy. The user sees normal output while the proxy logs requests, and a second proxy showed a hidden prompt injection could mask the rewrite. This was a proof-of-concept research demonstration, not an in-the-wild incident.

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