Published Version of Forbes’ CIO Newsletter
The perpetual challenge known as the cybersecurity “defender’s dilemma” has long plagued professionals working within internet-connected systems. This predicament essentially boils down to this: A single successful breach suffices for an attacker to compromise a system. Conversely, defenders must meticulously identify and rectify all vulnerabilities to safeguard the system and its data, demanding a significantly more extensive effort to achieve success in defense.
Google’s leadership envisions a solution to the defender’s dilemma through the application of AI in cybersecurity. Recently, the tech giant unveiled its AI Cyber Defense Initiative, investing in AI-equipped infrastructure with the aim of ushering in a future where AI-driven defense mechanisms consistently outmaneuver malicious actors. The comprehensive strategy outlined by Google emphasizes the transformative potential of AI in fortifying cybersecurity, presenting a unique opportunity for substantial advancement rather than incremental progress.
The report by this industry titan delineates various ways in which AI can bolster cybersecurity measures. AI possesses the capability to navigate the intricacies of underlying code and data structures inherent in technology beyond human capacity. It can swiftly detect malware, pinpoint security loopholes in code, monitor suspicious activities, and succinctly summarize vulnerabilities for swift comprehension. Moreover, AI can formulate strategies to rectify system weaknesses and proactively prevent future threats. While threat actors may also leverage AI to enhance their malicious activities, Google’s blueprint asserts that AI democratizes cybersecurity expertise and capabilities, thereby reducing the overall threat landscape.
Although AI’s potential in revolutionizing cybersecurity is promising, its efficacy hinges significantly on the backing and support for Google’s initiatives from institutional stakeholders—a challenge currently grappled with by policymakers worldwide. Educating policymakers on these critical matters and their implications is paramount, especially considering that AI, often perceived by the public as benign chatbots or image generators, holds profound implications for cybersecurity.
Social Media
Following the acquisition of Twitter and its subsequent transformation into X, Elon Musk has introduced several alterations to the platform, significantly reshaping the user experience. In a recent announcement, Musk revealed plans to eliminate the display of repost and response counts on individual posts within the timeline. Speaking at a Morgan Stanley event, Musk justified this decision as a means to declutter the timeline visually, while retaining the view count metric.
While Musk asserts that these modifications are geared towards enhancing user experience, they may inadvertently have the opposite effect. Notably, X ceased displaying accompanying headlines for news links last year to eliminate redundant text, a decision later revisited due to user feedback on the inability to differentiate news stories from other content. For many users, metrics such as replies and reposts serve as indicators of engagement, signifying more than mere visibility.
User reception to these interface changes on X remains uncertain. Recent research from Edison Research indicates a 30% decline in platform usage from 2023 to 2024, with approximately 19% of respondents actively utilizing the platform. In contrast, X’s internal usage metrics report significantly higher engagement levels. CEO Linda Yaccarino disclosed 90 million U.S. users during a January Senate hearing, with daily active users estimated between 200 million and 250 million as of last September.
Artificial Intelligence
Effective utilization of AI necessitates robust databases capable of systematically storing vast amounts of data for seamless retrieval and processing. Vector databases, which encode data as intricate mathematical representations based on their attributes, are ideally suited for this purpose. Notably, Google has recently entered the realm of vector database providers, making its AlloyDB AI capabilities accessible to all users and integrating vector search functionalities across various database offerings. Forbes senior contributor Janakiram MSV highlights that while Google is not the first major tech entity to endorse vector databases—Amazon’s AWS and Microsoft Azure also offer vector extensions—its foray into this domain will facilitate broader adoption of AI among developers and IT teams within organizational settings.
Despite the widespread discussion surrounding AI, the foundational infrastructure supporting AI operations, such as vector databases, often goes unnoticed by the general populace. Similarly, the substantial server capacity essential for running AI applications garners little attention from the broader audience but remains a focal point for Wall Street investors. Notably, Dell Technologies recently achieved an all-time high in stock valuation, with a nearly 40% surge attributed to its success in AI server sales. In the latest quarter, Dell recorded \(800 million in sales in this segment, with a backlog of orders totaling \)2.9 billion.
Notable News
Apple finds itself embroiled in conflicts with various entities in Europe. In February, Epic Games, the creator of Fortnite, announced its acquisition of a developer account with Apple, intending to introduce Fortnite and a third-party app store in Europe. However, Apple subsequently terminated this account, branding Epic as “verifiably untrustworthy” in a letter included in a recent Epic blog post. Epic contends that this action violates the EU’s Digital Marketing Act, mandating Apple to permit third-party app stores on its iOS platforms in Europe. Apple’s responses to Epic’s assertions highlight Epic’s history of breaching agreements with the tech giant and its critique of Apple’s implementation of EU regulations. Despite Epic Games’ resolve to challenge these decisions, the course of action remains unclear.
Furthermore, Apple incurred a fine of $1.95 billion from the European Commission on Monday for violating EU antitrust regulations by disadvantaging other music streaming services. The European Commission’s investigation revealed a decade-long pattern of behavior resulting in potentially inflated prices for iPhone and iPad users. This ruling led to Apple’s most significant stock market decline in over two months, with share prices plummeting approximately 3% on that day.
Prior to the EU ruling, Apple experienced a downturn in its stock performance following the announcement of discontinuing its electric vehicle project in favor of AI initiatives. This strategic shift led to a four-month low in the company’s stock value. In contrast, Apple’s industry counterparts, notably Microsoft, witnessed notable growth, with a nearly 9% increase in stock value in 2024. A recent report from Counterpoint Research in Hong Kong indicating a 24% year-over-year decline in iPhone sales during the initial six weeks of 2024 further exacerbated Apple’s stock depreciation.
BITS + BYTES
How This Professional Hacker Built Two Cybersecurity Firms In His 30s
David Kennedy, founder of Binary Defense and TrustedSec, shares insights with Forbes’ Rosemarie Miller.
Having engaged in cyber warfare with the U.S. Marines and navigating challenging deployments, David Kennedy embarked on a mission to share his cybersecurity expertise with a broader audience. Ascending to the role of Chief Security Officer at Diebold Incorporated at the age of 26, Kennedy subsequently established two cybersecurity ventures: Binary Defense, specializing in cybersecurity detection and risk response, and TrustedSec, a cybersecurity consulting firm. In an interview with Forbes’ Rosemarie Miller, Kennedy reflects on his entrepreneurial journey in the cybersecurity domain. The following excerpt captures key highlights of their conversation, condensed for brevity and coherence. The full interview is available for viewing here.
Miller: At 26, assuming a leadership position is remarkable. How did you acquire these leadership skills?
Kennedy: I was fortunate to have exceptional mentors throughout my career. One individual, Scott Angelo, who transitioned from DARPA to the consulting sector and later to Diebold, was a significant influence on me. While I excelled in technical aspects like reverse engineering and hacking, Scott imparted softer skills such as communication, team management, and project development. Transitioning from a smaller consulting firm, I gained insights into business operations encompassing accounting, finance, sales, and marketing. The pressing demand for cybersecurity experts in the media during that period propelled me to engage in news interviews on global platforms and contribute thought leadership pieces across various organizations. This exposure, coupled with speaking engagements at prestigious cybersecurity conferences and testimonies before Congress, solidified my position as a subject matter expert and a leading figure in the cybersecurity landscape today.
I attribute much of my success to timing and a passion for enhancing global security. Witnessing the escalating cyber capabilities of nations like China, Russia, North Korea, and Iran, I recognized the imperative of preempting cyber threats in corporate and organizational settings, particularly in the realm of ransomware. This commitment to fortifying defenses and safeguarding entities propelled my reputation and career trajectory, culminating in the establishment of two highly successful cybersecurity enterprises.
Miller: What prompted you to realize that cybersecurity couldn’t merely be a job but a mission to reach a broader audience?
Kennedy: The Marines instilled in me a mindset that emphasizes building on foundational skills, even if one may not excel initially, by nurturing a passion or obsession for a particular endeavor. Cybersecurity embodies these principles for me—it evolved from a hobby to a profound passion. In the nascent stages of my career, I delved into exploring ways to enhance Microsoft’s protective mechanisms, spending weeks dedicated to circumventing security protocols and collaborating with Microsoft to fortify their systems. This fixation on pioneering innovative solutions in an emerging industry fueled my trajectory towards the forefront of cybersecurity.
While hackers excel in technical prowess, they often grapple with the intricacies of business development, monetization strategies, and team building. Establishing TrustedSec from the confines of my basement underscored the necessity of understanding legal frameworks, financial structures, and operational protocols. Initially navigating the complexities of LLC formation, legal documentation, and client engagements, I immersed myself in these aspects, driven by an unwavering passion and a relentless pursuit of excellence.
Miller: Building a profitable business demands resilience and strategic planning. How long did it take for your ventures to become profitable?
Kennedy: The inception of Binary Defense had been a longstanding aspiration, albeit one that necessitated substantial capital investment for developing services encompassing security operation centers and software development. Given these financial constraints, I channeled my efforts into TrustedSec, a consultancy where human capital constituted the primary expenditure. Assuming multiple roles—from consultant to salesperson and marketer—I dedicated substantial time to nurturing client relationships and expanding our clientele. The initial phase proved challenging, with only three months’ worth of rent reserves in our bank account. Unfamiliarity with payment terms necessitated securing a line of credit to sustain operations. However, as our reputation solidified within the industry, we garnered trust from early clients, including an entire nation, and prominent law firms, enabling us to achieve profitability within the first year.
Facts + Comments
On Tuesday, Meta’s suite of social applications encountered widespread outages and disruptions, swiftly resolved by the company following a few hours of service interruption attributed to a technical glitch.
- 538,000+: Facebook users reported issues at the peak of the outage, occurring at 10:25 a.m. ET.
- 61%: Percentage of Instagram users experiencing disruptions on the platform.
- ‘If you’re reading this post, it’s because our servers are working’: Elon Musk, owner of X, jestingly remarked to underscore Meta’s outage during the incident.
Quiz
Sam Altman, CEO of OpenAI, faced regulatory challenges in Spain leading to the ban of his cryptocurrency venture Worldcoin. The ban was primarily due to:
B. Concerns regarding the biometric data used for user identification.
