Cybersecurity Arms Race: How AI is Changing the Game for Businesses
FULL DISCLOSURE: This is sponsored content for Plurilock.
In the fast-evolving world of technology, cybersecurity has become more critical than ever. As businesses increasingly move their operations online, and more individuals and companies adopt cloud computing, machine learning, and artificial intelligence, the landscape of cyber threats is growing ever more complex. The challenge is daunting, and as BJ Jenkins, CEO of Palo Alto Networks (NASDAQ: PANW), aptly put it in a recent interview, “It has become an arms race in cybersecurity.”
Jenkins’ comment underscores the current state of cybersecurity. The frequency and sophistication of cyberattacks are increasing at an alarming rate. Every day, companies and individuals face new threats, each more advanced than the last, as malicious actors find innovative ways to exploit vulnerabilities in digital systems. For organizations that rely heavily on technology—whether in the cloud, in their networks, or through AI—there is virtually no room for error.
The proliferation of AI and machine learning has transformed not only industries and operations but also the nature of cyberattacks. While these technologies bring unprecedented advantages in processing power, predictive capabilities, and automation, they also offer cybercriminals new tools to exploit.
Jenkins noted that the sheer number of attack surfaces has multiplied as more systems go digital. He explained, “There are more surfaces where companies or individuals can be attacked.”
AI-driven cyberattacks can learn from previous breaches and quickly adapt to new security measures. This self-learning capability is dangerous for businesses, many of which are already struggling to keep up with traditional threats. Moreover, with the increasing integration of AI into operational systems, attackers have started using AI to automate and scale up attacks, which means the threat landscape is expanding at a pace that’s hard for cybersecurity teams to match.
Cybersecurity today is not just about defending against a handful of known threats. As Jenkins points out, Palo Alto Networks alone detects 1.5 million unique attacks every day and blocks over 8.6 billion attacks globally.
Yet, despite this massive effort, many businesses remain vulnerable due to the fragmented nature of the cybersecurity market. Companies often rely on an assortment of tools from different vendors, making it difficult to manage security across all fronts effectively.
Palo Alto Networks has responded to this challenge by pushing for “platformization,” which seeks to simplify cybersecurity management by consolidating multiple tools into a single platform. While analysts were initially skeptical of this approach, the company’s growing market share and positive stock performance indicate that both customers and investors are increasingly buying into this vision.
The goal is to create an integrated system where network security, cloud security, and security operations can work together seamlessly. Jenkins emphasized the importance of scale in today’s cybersecurity market, saying, “We are the largest player out there, and we integrated these solutions to bring that value to customers.”
The rise in cybersecurity threats is not just theoretical—it has real-world implications. Earlier this year, Crowdstrike (NASDAQ: CRWD), a major cybersecurity firm, experienced a massive outage that left businesses across the globe vulnerable. The incident illustrated just how thin the margin for error has become. For many businesses, a single security lapse can result in data breaches, financial loss, reputational damage, and in some cases, the complete shutdown of operations.
Such events serve as stark reminders of why companies need to prioritize cybersecurity investments. But even as awareness grows, many organizations struggle to implement the necessary changes. Cybersecurity is expensive, complex, and ever-changing. Staying ahead of attackers requires continuous investment in new technologies and strategies, as well as the expertise to manage these tools effectively.
Cybersecurity race
Amid this cybersecurity arms race, companies like Plurilock Security Inc. (TSXV: PLUR) are stepping up to provide solutions tailored to the demands of the modern digital landscape. Founded in 2016, Plurilock has emerged as a leader in behavioral biometrics and AI-driven security, developing innovative tools that continuously authenticate users based on their unique behavioral patterns, such as typing and mouse movements.
Plurilock’s flagship AI Cloud platform offers solutions that simplify cybersecurity for organizations by enabling secure, scalable operations without the need for new hardware deployments. The platform includes features like multi-factor authentication, granular access controls, and data loss prevention. Additionally, their AI PromptGuard solution is designed to protect sensitive data in interactions involving AI, addressing one of the latest cybersecurity challenges.
In 2023, Plurilock saw its revenue grow by 9%, reaching $70.4 million, an achievement that highlights the company’s ability to capitalize on the growing demand for sophisticated cybersecurity tools. With customers that include U.S. government agencies such as the Department of Homeland Security and the Department of Defense, Plurilock is well-positioned to continue its upward trajectory in the cybersecurity market.
One of the company’s most recent milestones was the filing of a patent for its AI-driven Cloud Access Security Broker (CASB) technology, a move that underscores its commitment to staying ahead of emerging threats. The CASB solution is specifically designed to prevent data leaks in generative AI platforms, a burgeoning concern as AI becomes more integrated into business operations.
Plurilock’s growth has also been supported by strategic partnerships, such as its recent collaboration with TD SYNNEX, a global IT solutions aggregator. This partnership will allow Plurilock to expand its reach, offering critical cybersecurity services to thousands of companies through TD SYNNEX’s vast customer base.
As CEO Ian L. Paterson stated, “Our customers trust us with their cybersecurity needs, and Plurilock will continue to provide the cloud architecture required for data protection, data privacy, and corporate survival.” With the company’s focus on both innovation and strategic growth, it is carving out a unique space in an industry that is poised for continued expansion.
As the digital world continues to grow, so too will the need for robust cybersecurity solutions. Companies like Palo Alto Networks and Plurilock are at the forefront of this fight, providing the tools and expertise necessary to defend against the increasingly sophisticated tactics of cybercriminals.
Plurilock Security last traded at $0.71 on the TSX Venture.
FULL DISCLOSURE: Plurilock Security is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Plurilock Security. The author has been compensated to cover Plurilock Security on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.
