FALCON: Transforming Cyber Threat Intelligence into Deployable IDS Rules with Self-Reflection

Signature-based Intrusion Detection Systems (IDS) detect malicious activity by matching network or host events against predefined rules. Security analysts manually develop these rules from Cyber Threat Intelligence (CTI). As threats evolve, this manual pipeline faces two bottlenecks. Before authoring a new rule, an analyst must reconcile the incoming CTI with the existing rule base and determine whether to create, update, or retire one. This process is challenging due to the representational differences between the CTI and Rule formats. This gap limits the effectiveness of keyword- and embedding-based search, making rule reconciliation cognitively demanding and, in turn, contributing to "rule bloat". Second, automated verification of a new rule is inherently difficult as zero-day threats lack ground truth from simulated testing. Hence, standard metrics cannot prove that a rule semantically adheres to the CTI, and the use of LLMs leads to non-deterministic behavior. To address these challenges, we introduce FALCON, an agentic framework for CTI-grounded rule retrieval, generation, and validation. At its core, a novel CTI-Rule semantic scorer, quantifies the functional alignment between a CTI and a rule; the same signal drives a retriever that surfaces relevant deployed rules and a ground-truth-free validator that scores generated ones. Around it, a generation pipeline produces deployable rules from CTI in real time and refines them through self-reflective syntactic, semantic, and performance validators. Across network (Snort) and host-based (YARA) platforms on a purpose-built CTI-Rule dataset, FALCON attains a mean relevance of 0.72 (approx), with 84% inter-rater agreement among cybersecurity analysts, underscoring the promise of real-time security automation.