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Building Smarter AI Through Targeted Training


 

In recent years, artificial intelligence and machine learning have been in high demand across a broad range of industries. As a consequence, the cost and complexity of constructing and maintaining these models have increased significantly. Artificial intelligence and machine learning systems are resource-intensive, as they require substantial computation resources and large datasets, and are also difficult to manage effectively due to their complexity. 

As a result of this trend, professionals such as data engineers, machine learning engineers, and data scientists are increasingly being tasked with identifying ways to streamline models without compromising performance or accuracy, which in turn will lead to improved outcomes. Among the key aspects of this process involves determining which data inputs or features can be reduced or eliminated, thereby making the model operate more efficiently. 

In AI model optimization, a systematic effort is made to improve a model's performance, accuracy, and efficiency to achieve superior results in real-world applications. The purpose of this process is to improve a model's operational and predictive capabilities through a combination of technical strategies. It is the engineering team's responsibility to improve computational efficiency—reducing processing time, reducing resource consumption, and reducing infrastructure costs—while also enhancing the model's predictive precision and adaptability to changing datasets by enhancing the model's computational efficiency. 

An important optimization task might involve fine-tuning hyperparameters, selecting the most relevant features, pruning redundant elements, and making advanced algorithmic adjustments to the model. Ultimately, the goal of modeling is not only to provide accurate and responsive data, but also to provide scalable, cost-effective, and efficient data. As long as these optimization techniques are applied effectively, they ensure the model will perform reliably in production environments as well as remain aligned with the overall objectives of the organization. 

It is designed to retain important details and user preferences as well as contextually accurate responses when ChatGPT's memory feature is enabled, which is typically set to active by default so that the system can provide more personalized responses over time. If the user desires to access this functionality, he or she can navigate to the Settings menu and select Personalization, where they can check whether memory is active and then remove specific saved interactions if needed. 

As a result of this, it is recommended that users periodically review the data that has been stored within the memory feature to ensure its accuracy. In some cases, incorrect information may be retained, including inaccurate personal information or assumptions made during a previous conversation. As an example, in certain circumstances, the system might incorrectly log information about a user’s family, or other aspects of their profile, based on the context in which it is being used. 

In addition, the memory feature may inadvertently store sensitive data when used for practical purposes, such as financial institutions, account details, or health-related queries, especially if users are attempting to solve personal problems or experiment with the model. It is important to remember that while the memory function contributes to improved response quality and continuity, it also requires careful oversight from the user. There is a strong recommendation that users audit their saved data points routinely and delete the information that they find inaccurate or overly sensitive. This practice helps maintain the accuracy of data, as well as ensure better, more secure interactions. 

It is similar to clearing the cache of your browser periodically to maintain your privacy and performance optimally. "Training" ChatGPT in terms of customized usage means providing specific contextual information to the AI so that its responses will be relevant and accurate in a way that is more relevant to the individual. ITGuides the AI to behave and speak in a way that is consistent with the needs of the users, users can upload documents such as PDFs, company policies, or customer service transcripts. 

When people and organizations can make customized interactions for business-related content and customer engagement workflows, this type of customization provides them with more customized interactions. It is, however, often unnecessary for users to build a custom GPT for personal use in the majority of cases. Instead, they can share relevant context directly within their prompts or attach files to their messages, thereby achieving effective personalization. 

As an example, a user can upload their resume along with a job description when crafting a job application, allowing artificial intelligence to create a cover letter based on the resume and the job description, ensuring that the cover letter accurately represents the user's qualifications and aligns with the position's requirements. As it stands, this type of user-level customization is significantly different from the traditional model training process, which requires large quantities of data to be processed and is mainly performed by OpenAI's engineering teams. 

Additionally, ChatGPT users can increase the extent of its memory-driven personalization by explicitly telling it what details they wish to be remembered, such as their recent move to a new city or specific lifestyle preferences, like dietary choices. This type of information, once stored, allows the artificial intelligence to keep a consistent conversation going in the future. Even though these interactions enhance usability, they also require thoughtful data sharing to ensure privacy and accuracy, especially as ChatGPT's memory is slowly swelled over time. 

It is essential to optimize an AI model to improve performance as well as resource efficiency. It involves refining a variety of model elements to maximize prediction accuracy and minimize computational demand while doing so. It is crucial that we remove unused parameters from networks to streamline them, that we apply quantization to reduce data precision and speed up processing, and that we implement knowledge distillation, which translates insights from complex models to simpler, faster models. 

A significant amount of efficiency can be achieved by optimizing data pipelines, deploying high-performance algorithms, utilizing hardware accelerations such as GPUs and TPUs, and employing compression techniques such as weight sharing, low-rank approximation, and optimization of the data pipelines. Also, balancing batch sizes ensures the optimal use of resources and the stability of training. 

A great way to improve accuracy is to curate clean, balanced datasets, fine-tune hyperparameters using advanced search methods, increase model complexity with caution and combine techniques like cross-validation and feature engineering with the models. Keeping long-term performance high requires not only the ability to learn from pre-trained models but also regular retraining as a means of combating model drift. To enhance the scalability, cost-effectiveness, and reliability of AI systems across diverse applications, these techniques are strategically applied. 

Using tailored optimization solutions from Oyelabs, organizations can unlock the full potential of their AI investments. In an age when artificial intelligence is continuing to evolve rapidly, it becomes increasingly important to train and optimize models strategically through data-driven optimization. There are advanced techniques that can be implemented by organizations to improve performance while controlling resource expenditures, from selecting features and optimizing algorithms to efficiently handling data. 

As professionals and teams that place a high priority on these improvements, they will put themselves in a much better position to create AI systems that are not only faster and smarter but are also more adaptable to the daily demands of the world. Businesses are able to broaden their understanding of AI and improve their scalability and long-term sustainability by partnering with experts and focusing on how AI achieves value-driven outcomes.

New Sec-Gemini v1 from Google Outperforms Cybersecurity Rivals

 


A cutting-edge artificial intelligence model developed by Google called Sec-Gemini v1, a version of Sec-Gemini that integrates advanced language processing, real-time threat intelligence, and enhanced cybersecurity operations, has just been released. With the help of Google's proprietary Gemini large language model and dynamic security data and tools, this innovative solution utilizes its capabilities seamlessly to enhance security operations. 

A new AI model, Sec-Gemini v1 that combines sophisticated reasoning with real-time cybersecurity insights and tools has been released by Google. This integration makes the model extremely capable of performing essential security functions like threat detection, vulnerability assessment, and incident analysis. A key part of Google's effort to support progress across the broader security landscape is its initiative to provide free access to Sec-Gemini v1 to select institutions, professionals, non-profit organizations, and academic institutions to promote a collaborative approach to security research. 

Due to its integration with Google Threat Intelligence (GTI), the Open Source Vulnerabilities (OSV) database, and other key data sources, Sec-Gemini v1 stands out as a unique solution. On the CTI-MCQ threat intelligence benchmark and the CTI-Root Cause Mapping benchmark, it outperforms peer models by at least 11%, respectively. Using the CWE taxonomy, this benchmark assesses the model's ability to analyze and classify vulnerabilities.

One of its strongest features is accurately identifying and describing the threat actors it encounters. Because of its connection to Mandiant Threat Intelligence, it can recognize Salt Typhoon as a known adversary, which is a powerful feature. There is no doubt that the model performs better than its competitors based on independent benchmarks. According to a report from Security Gemini v1, compared to comparable AI systems, Sec-Gemini v1 scored at least 11 per cent higher on CTI-MCQ, a key metric used to assess threat intelligence capabilities. 

Additionally, it achieved a 10.5 per cent edge over its competitors in the CTI-Root Cause Mapping benchmark, a test that assesses the effectiveness of an AI model in interpreting vulnerability descriptions and classifying them by the Common Weakness Enumeration framework, an industry standard. It is through this advancement that Google is extending its leadership position in artificial intelligence-powered cybersecurity, by providing organizations with a powerful tool to detect, interpret, and respond to evolving threats more quickly and accurately. 

It is believed that Sec-Gemini v1 has the strength to be able to perform complex cybersecurity tasks efficiently, according to Google. Aside from conducting in-depth investigations, analyzing emerging threats, and assessing the impact of known vulnerabilities, you are also responsible for performing comprehensive incident investigations. In addition to accelerating decision-making processes and strengthening organization security postures, the model utilizes contextual knowledge in conjunction with technical insights to accomplish the objective. 

Though several technology giants are actively developing AI-powered cybersecurity solutions—such as Microsoft's Security Copilot, developed with OpenAI, and Amazon's GuardDuty, which utilizes machine learning to monitor cloud environments—Google appears to have carved out an advantage in this field through its Sec-Gemini v1 technology. 

A key reason for this edge is the fact that it is deeply integrated with proprietary threat intelligence sources like Google Threat Intelligence and Mandiant, as well as its remarkable performance on industry benchmarks. In an increasingly competitive field, these technical strengths place it at the top of the list as a standout solution. Despite the scepticism surrounding the practical value of artificial intelligence in cybersecurity - often dismissed as little more than enhanced assistants that still require a lot of human interaction - Google insists that Sec-Gemini v1 is fundamentally different from other artificial intelligence models out there. 

The model is geared towards delivering highly contextual, actionable intelligence rather than simply summarizing alerts or making basic recommendations. Moreover, this technology not only facilitates faster decision-making but also reduces the cognitive load of security analysts. As a result, teams can respond more quickly to emerging threats in a more efficient way. At present, Sec-Gemini v1 is being made available exclusively as a research tool, with access being granted only to a select set of professionals, academic institutions, and non-profit organizations that are willing to share their findings. 

There have been early signs that the model will make a significant contribution to the evolution of AI-driven threat defence, as evidenced by the model's use-case demonstrations and early results. It will introduce a new era of proactive cyber risk identification, contextualization, and mitigation by enabling the use of advanced language models. 

In real-world evaluations, the Google security team demonstrated Sec-Gemini v1's advanced analytical capabilities by correctly identifying Salt Typhoon, a recognized threat actor, with its accurate analytical capabilities. As well as providing in-depth contextual insights, the model provided in-depth contextual information, including vulnerability details, potential exploitation techniques, and associated risk levels. This level of nuanced understanding is possible because Mandiant's threat intelligence provides a rich repository of real-time threat data as well as adversary profiles that can be accessed in real time. 

The integration of Sec-Gemini v1 into other systems allows Sec-Gemini v1 to go beyond conventional pattern recognition, allowing it to provide more timely threat analysis and faster, evidence-based decision-making. To foster collaboration and accelerate model refinement, Google has offered limited access to Sec-Gemini v1 to a carefully selected group of cybersecurity practitioners, academics, and non-profit organizations to foster collaboration. 

To avoid a broader commercial rollout, Google wishes to gather feedback from trusted users. This will not only ensure that the model is more reliable and capable of scaling across different use cases but also ensure that it is developed in a responsible and community-led manner. During practical demonstrations, Google's security team demonstrated Sec-Gemini v1's ability to identify Salt Typhoon, an internationally recognized threat actor, with high accuracy, as well as to provide rich contextual information, such as vulnerabilities, attack patterns and potential risk exposures associated with this threat actor. 

Through its integration with Mandiant's threat intelligence, which enhances the model's ability to understand evolving threat landscapes, this level of precision and depth can be achieved. The Sec-Gemini v1 software, which is being made available for free to a select group of cybersecurity professionals, academic institutions, and nonprofit organizations, for research, is part of Google's commitment to responsible innovation and industry collaboration. 

Before a broader deployment of this model occurs, this initiative will be designed to gather feedback, validate use cases, and ensure that it is effective across diverse environments. Sec-Gemini v1 represents an important step forward in integrating artificial intelligence into cybersecurity. Google's enthusiasm for advancing this technology while ensuring its responsible development underscores the company's role as a pioneer in the field. 

Providing early, research-focused access to Sec-Gemini v1 not only fosters collaboration within the cybersecurity community but also ensures that Sec-Gemini v1 will evolve in response to collective expertise and real-world feedback, as Google offers this model to the community at the same time. Sec-Gemini v1 has demonstrated remarkable performance across industry benchmarks as well as its ability to detect and mitigate complex threats, so it may be able to change the face of threat defense strategies in the future. 

The advanced reasoning capabilities of Sec-Gemini v1 are coupled with cutting-edge threat intelligence, which can accelerate decision-making, cut response times, and improve organizational security. However, while Sec-Gemini v1 shows great promise, it is still in the research phase and awaiting wider commercial deployment. Using such a phased approach, it is possible to refine the model carefully, ensuring that it adheres to the high standards that are required by various environments. 

For this reason, it is very important that stakeholders, such as cybersecurity experts, researchers, and industry professionals, provide valuable feedback during the first phase of the model development process, to ensure that the model's capabilities are aligned with real-world scenarios and needs. This proactive stance by Google in engaging the community emphasizes the importance of integrating AI responsibly into cybersecurity. 

This is not solely about advancing the technology, but also about establishing a collaborative framework that can make it easier to detect and respond to emerging cyber threats more effectively, more quickly, and more securely. The real issue is the evolution of Sec-Gemini version 1, which may turn out to be one of the most important tools for safeguarding critical systems and infrastructure around the globe in the future.

Hacker's Dual Identity: Cybercriminal vs Bug Bounty Hunter

Hacker's Dual Identity: Cybercriminal vs Bug Bounty Hunter

EncryptHub is an infamous threat actor responsible for breaches at 618 organizations. The hacker reported two Windows zero-day flaws to Microsoft, exposing a conflicted figure that blurs the lines between cybercrime and security research. 

The reported flaws are CVE-2025-24061 (Mark of the Web bypass) and CVE-2025-24071 (File Explorer spoofing), which Microsoft fixed in its March 2025 Patch Tuesday updates, giving credit to the reporter as ‘SkorikARI.’ In this absurd incident, the actor had dual identities—EncryptHub and SkorikARI. The entire case shows us an individual who works in both cybersecurity and cybercrime. 

Discovery of EncryptHub’s dual identity 

Outpost24 linked SkorikARI and EncryptHub via a security breach, where the latter mistakenly revealed their credentials, exposing links to multiple accounts. The disclosed profile showed the actor’s swing between malicious activities and cybersecurity operations. 

Actor tried to sell zero-day on dark web

Outpost24’ security researcher Hector Garcia said the “hardest evidence was from the fact that the password files EncryptHub exfiltrated from his system had accounts linked to both EncryptHub” such as credentials to EncryptRAT- still in development, or “his account on xss.is, and to SkorikARI, like accesses to freelance sites or his own Gmail account.” 

Garcia also said there was a login to “hxxps://github[.]com/SkorikJR,” which was reported in July’s Fortinet story about Fickle Stealer; this helped them solve the puzzle. Another big reveal of the links to dual identity was ChatGPT conversations, where activities of both SkorikARI and EncryptHub could be found. 

Zero-day activities and operational failures in the past

Evidence suggests this wasn't EncryptHub's first involvement with zero-day flaws, as the actor has tried to sell it to other cybercriminals on hacking forums.

Outpost24 highlighted EncryptHub's suspicious activities- oscillating between cybercrime and freelancing. An accidental operational security (OPSEC) disclosed personal information despite their technical expertise. 

EncryptHub and ChatGPT 

Outpost24 found EncryptHub using ChatGPT to build phishing sites, develop malware, integrate code, and conduct vulnerability research. One ChatGPT conversation included a self-assessment showing their conflicted nature: “40% black hat, 30% grey hat, 20% white hat, and 10% uncertain.” The conversation also showed plans for massive (although harmless) publicity stunts affecting tens of thousands of computers.

Impact

EncryptHub has connections with ransomware groups such as BlackSuit and RansomHub who are known for their phishing attacks, advanced social engineering campaigns, and making of Fickle Stealer- a custom PowerShell-based infostealer. 

DeepSeek Revives China's Tech Industry, Challenging Western Giants

 



As a result of DeepSeek's emergence, the global landscape for artificial intelligence (AI) has been profoundly affected, going way beyond initial media coverage. AI-driven businesses, semiconductor manufacturing, data centres and energy infrastructure all benefit from its advancements, which are transforming the dynamics of the industry and impacting valuations across key sectors. 


DeepSeek's R1 model is one of the defining characteristics of its success, and it represents one of the technological milestones of the company. This breakthrough system can rival leading Western artificial intelligence models while using significantly fewer resources to operate. Despite conventional assumptions that Western dominance in artificial intelligence remains, Chinese R1 models demonstrate China's growing capacity to compete at the highest level of innovation at the highest levels in AI. 

The R1 model is both efficient and sophisticated. Among the many disruptive forces in artificial intelligence, DeepSeek has established itself as one of the most efficient, scalable, and cost-effective systems on the market. It is built on a Mixture of Experts (MoE) architecture, which optimizes resource allocation by utilizing only relevant subnetworks to enhance performance and reduce computational costs at the same time. 

DeepSeek's innovation places it at the forefront of a global AI race, challenging Western dominance and influencing industry trends, investment strategies, and geopolitical competition while influencing industry trends. Even though its impact has spanned a wide range of industries, from technology and finance to energy, there is no doubt that a shift toward a decentralized AI ecosystem has taken place. 

As a result of DeepSeek's accomplishments, a turning point has been reached in the development of artificial intelligence worldwide, emphasizing the fact that China is capable of rivalling and even surpassing established technological leaders in certain fields. There is a shift indicating the emergence of a decentralized AI ecosystem in which innovation is increasingly spread throughout multiple regions rather than being concentrated in Western markets alone. 

Changing power balances in artificial intelligence research, commercialization, and industrial applications are likely to be altered as a result of the intensifying competition that is likely to persist. China's technology industry has experienced a wave of rapid innovation as a result of the emergence of DeepSeek as one of the most formidable competitors in artificial intelligence (AI). As a result of DeepSeek’s alleged victory over OpenAI last January, leading Chinese companies have launched several AI-based solutions based on a cost-effective artificial intelligence model developed at a fraction of conventional costs. 

The surge in artificial intelligence development poses a direct threat to both OpenAI and Alphabet Inc.’s Google, as well as the greater AI ecosystem that exists in Western nations. Over the past two weeks, major Chinese companies have unveiled no less than ten significant AI products or upgrades, demonstrating a strong commitment to redefining global AI competition. In addition to DeepSeek's technological achievements, this rapid succession of advancements was not simply a reaction to that achievement, but rather a concerted effort to set new standards for the global AI community. 

According to Baidu Inc., it has launched a new product called the Ernie X1 as a direct rival to DeepSeek's R1, while Alibaba Group Holding Ltd has announced several enhancements to its artificial intelligence reasoning model. At the same time, Tencent Holdings Ltd. has revealed its strategic AI roadmap, presenting its own alternative to the R1 model, and Ant Group Co. has revealed research that indicated domestically produced chips can be used to cut costs by up to 20 per cent. 

A new version of DeepSeek was unveiled by DeepSeek, a company that continues to grow, while Meituan, a company widely recognized as being the world's largest meal delivery platform, has made significant investment in artificial intelligence. As China has become increasingly reliant on open-source artificial intelligence development, established Western technology companies are being pressured to reassess their business strategies as a result. 

According to OpenAI, as a response to DeepSeek’s success, the company is considering a hybrid approach that may include freeing up certain technologies, while at the same time contemplating substantial increases in prices for its most advanced artificial intelligence models. There is also a chance that the widespread adoption of cost-effective AI solutions could have profound effects on the semiconductor industry in general, potentially hurting Nvidia's profits as well. 

Analysts expect that as DeepSeek's economic AI model gains traction, it may become inevitable that leading AI chip manufacturers' valuations are adjusted. Chinese artificial intelligence innovation is on the rise at a rapid pace, underscoring a fundamental shift in the global technology landscape. In the world of artificial intelligence, Chinese firms are increasingly asserting their dominance, while Western firms are facing mounting challenges in maintaining their dominance. 

As the long-term consequences of this shift remain undefined, the current competitive dynamic within China's AI sector indicates an emerging competitive dynamic that could potentially reshape the future of artificial intelligence worldwide. The advancements in task distribution and processing of DeepSeek have allowed it to introduce a highly cost-effective way to deploy artificial intelligence (AI). Using computational efficiency, the company was able to develop its AI model for around $5.6 million, a substantial savings compared to the $100 million or more that Western competitors typically require to develop a similar AI model. 

By introducing a resource-efficient and sustainable alternative to traditional models of artificial intelligence, this breakthrough has the potential to redefine the economic landscape of artificial intelligence. As a result of its ability to minimize reliance on high-performance computing resources, DeepSeekcano reduces costs by reducing the number of graphics processing units (GPUs) used. As a result, the model operates with a reduced number of graphics processing unit (GPU) hours, resulting in a significant reduction in hardware and energy consumption. 

Although the United States has continued to place sanctions against microchips, restricting China's access to advanced semiconductor technologies, DeepSeek has managed to overcome these obstacles by using innovative technological solutions. It is through this resilience that we can demonstrate that, even in challenging regulatory and technological environments, it is possible to continue to develop artificial intelligence. DeepSeek's cost-effective approach influences the broader market trends beyond AI development, and it has been shown to have an impact beyond AI development. 

During the last few years, a decline in the share price of Nvidia, one of the leading manufacturers of artificial intelligence chips, has occurred as a result of the move toward lower-cost computation. It is because of this market adjustment, which Apple was able to regain its position as the world's most valuable company by market capitalization. The impact of DeepSeek's innovations extends beyond financial markets, as its AI model requires fewer computations and operates with a lower level of data input, so it does not rely on expensive computers and big data centres to function. 

The result of this is not only a lower infrastructure cost but also a lower electricity consumption, which makes AI deployments more energy-efficient. As AI-driven industries continue to evolve, DeepSeek's model may catalyze a broader shift toward more sustainable, cost-effective AI solutions. The rapid advancement of technology in China has gone far beyond just participating in the DeepSeek trend. The AI models developed by Chinese developers, which are largely open-source, are collectively positioned as a concerted effort to set global benchmarks and gain a larger share of the international market. 

Even though it is still unclear whether or not these innovations will ultimately surpass the capabilities of the Western counterparts of these innovations, a significant amount of pressure is being exerted on the business models of the leading technology companies in the United States as a result of them. It is for this reason that OpenAI is attempting to maintain a strategic balance in its work. As a result, the company is contemplating the possibility of releasing certain aspects of its technology as open-source software, as inspired by DeepSeek's success with open-source software. 

Furthermore, it may also contemplate charging higher fees for its most advanced services and products. ASeveralindustry analysts, including Amr Awadallah, the founder and CEO of Vectara Inc., advocate the spread of DeepSeek's cost-effective model. If premium chip manufacturers, such as Nvidia, are adversely affected by this trend,theyt will likely have to adjust market valuations, causing premium chip manufacturers to lose profit margins.

Cybercriminals Exploit Psychological Vulnerabilities in Ransomware Campaigns

 


During the decade of 2025, the cybersecurity landscape has drastically changed, with ransomware from a once isolated incident to a full-sized global crisis. No longer confined to isolated incidents, these attacks are now posing a tremendous threat to economies, governments, and public services across the globe. There is a wide range of organizations across all sectors that find themselves exposed to increasingly sophisticated cyber threats, ranging from multinational corporations to hospitals to schools. It is reported in Cohesity’s Global Cyber Resilience Report that 69% of organizations have paid ransom demands to their suppliers in the past year, which indicates just how much pressure businesses have to deal with when such attacks happen. 

The staggering number of cybercrime cases highlights the need for stronger cybersecurity measures, proactive threat mitigation strategies and a heightened focus on digital resilience. With cybercriminals continuously improving their tactics, organizations need to develop innovative security frameworks, increase their threat intelligence capabilities, and foster a culture of cyber vigilance to be able to combat this growing threat. The cybersecurity landscape in 2025 has changed significantly, as ransomware has evolved into a global crisis of unprecedented proportions. 

The threat of these attacks is not just limited to isolated incidents but has become a significant threat to governments, industries, and essential public services. Across the board, companies of all sizes are increasingly vulnerable to cyber threats, from multinational corporations to hospitals and schools. In the last year, Cohesity released its Global Cyber Resilience Report, which revealed that 69% of organizations paid ransom demands, indicating the immense pressure that businesses face in the wake of such threats. 

This staggering figure underscores how urgent it is that we take more aggressive cybersecurity measures, develop proactive threat mitigation strategies, and increase our emphasis on digital resilience to prevent cyberattacks from taking place. Organizations must embrace new security frameworks, strengthen threat intelligence capabilities, and cultivate a culture of cyber vigilance to combat this growing threat as cybercriminals continue to refine their tactics. A persistent cybersecurity threat for decades, ransomware remains one of the biggest threats today. 

However, the first global ransom payment exceeded $1 billion in 2023, marking a milestone that hasn't been achieved in many years. Cyber extortion increased dramatically at this time, as cyber attackers constantly refined their tactics to maximize the financial gains that they could garner from their victims. The trend of cybercriminals developing increasingly sophisticated methods and exploiting vulnerabilities, as well as forcing organizations into compliance, has been on the rise for several years. However, recent data indicates a significant shift in this direction. It is believed that in 2024, ransomware payments will decrease by a substantial 35%, mainly due to successful law enforcement operations and the improvement of cyber hygiene globally.

As a result of enhanced security measures, increased awareness, and a stronger collective resistance, victims of ransom attacks have become increasingly confident they can refuse ransom demands. However, cybercriminals are quick to adapt, altering their strategies quickly to counteract these evolving defences to stay on top of the game. A response from them has been to increase their negotiation tactics, negotiating more quickly with victims, while simultaneously developing stealthier and more evasive ransomware strains to be more stealthy and evasive. 

Organizations are striving to strengthen their resilience, but the ongoing battle between cybersecurity professionals and cybercriminals continues to shape the future of digital security. There has been a new era in ransomware attacks, characterized by cybercriminals leveraging artificial intelligence in increasingly sophisticated manners to carry out these attacks. Using freely available AI-powered chatbots, malicious code is being generated, convincing phishing emails are being sent, and even deepfake videos are being created to entice individuals to divulge sensitive information or transfer funds by manipulating them into divulging sensitive information. 

By making the barriers to entry much lower for cyber-attacking, even the least experienced threat actors are more likely to be able to launch highly effective cyber-attacks. Nevertheless, artificial intelligence is not being used only by attackers to commit crimes. There have been several cases where victims have attempted to craft the perfect response to a ransom negotiation using artificial intelligence-driven tools like ChatGPT, according to Sygnia's ransomware negotiation teams. 

The limitations of AI become evident in high-stakes interactions with cybercriminals, even though they can be useful in many areas. According to Cristal, Sygnia’s CEO, artificial intelligence lacks the emotional intelligence and nuance needed to successfully navigate these sensitive conversations. It has been observed that sometimes artificial intelligence-generated responses may unintentionally escalate a dispute by violating critical negotiation principles, such as not using negative language or refusing to pay outright.

It is clear from this that human expertise is crucial when it comes to managing cyber extortion scenarios, where psychological insight and strategic communication play a vital role in reducing the potential for damage. Earlier this year, the United Kingdom proposed banning ransomware payments, a move aimed at deterring cybercriminals by making critical industries less appealing targets for cybercriminals. This proposed legislation would affect all public sector agencies, schools, local councils, and data centres, as well as critical national infrastructure. 

By reducing the financial incentive for attackers, officials hope to decrease both the frequency and severity of ransomware incidents across the country to curb the number of ransomware incidents. However, the problem extends beyond the UK. In addition to the sanctions issued by the Office of Foreign Assets Control, several ransomware groups that have links to Russia and North Korea have already been sanctioned. This has made it illegal for American businesses and individuals to pay ransoms to these organizations. 

Even though ransomware is restricted in this manner, experts warn that outright bans are not a simple or universal solution to the problem. As cybersecurity specialists Segal and Cristal point out, such bans remain uncertain in their effectiveness, since it has been shown that attacks fluctuate in response to policy changes, according to the experts. Even though some cybercriminals may be deterred by such policies, other cybercriminals may escalate their tactics, reverting to more aggressive threats or increasing their personal extortion tactics. 

The Sygnia negotiation team continues to support the notion that ransom payments should be banned within government sectors because some ransomware groups are driven by geopolitical agendas, and these goals will be unaffected by payment restrictions. Even so, the Sygnia negotiation team believes that government institutions should not be able to make ransom payments because they are better able to handle financial losses than private companies. 

Governments can afford a strong stance against paying ransoms, as Segal pointed out, however for businesses, especially small and micro-sized businesses, the consequences can be devastating if they fail to do so. It was noted in its policy proposal that the Home Office acknowledges this disparity, noting that smaller companies, often lacking ransomware insurance or access to recovery services, can have difficulty recovering from operational disruptions and reputational damage when they suffer from ransomware attacks. 

Some companies could find it more difficult to resolve ransomware demands if they experience a prolonged cyberattack. This might lead to them opting for alternative, less transparent methods of doing so. This can include covert payment of ransoms through third parties or cryptocurrencies, allowing hackers to receive money anonymously and avoid legal consequences. The risks associated with such actions, however, are considerable. If they are discovered, businesses can be subjected to government fines on top of the ransom, which can further worsen their financial situation. 

Additionally, full compliance with the ban requires reporting incidents to authorities, which can pose a significant administrative burden to small businesses, especially those that are less accustomed to dealing with technology. Businesses are facing many challenges in the wake of a ransomware ban, which is why experts believe a comprehensive approach is needed to support them in the aftermath of this ban.

Sygnia's Senior Vice President of Global Cyber Services, Amir Becker, stressed the importance of implementing strategic measures to mitigate the unintended consequences of any ransom payment ban. It has been suggested that exemptions for critical infrastructure and the healthcare industries should be granted, since refusing to pay a ransom may lead to dire consequences, such as loss of life. Further, the government should offer incentives for organizations to strengthen their cybersecurity frameworks and response strategies by creating incentives like these.

A comprehensive financial and technical assistance program would be required to assist affected businesses in recovering without resorting to ransom payments. To address the growing ransomware threat effectively without disproportionately damaging small businesses and the broader economy, governments must adopt a balanced approach that entails enforcing stricter regulations while at the same time providing businesses with the resources they need to withstand cyberattacks.

How Web Browsers Have Become a Major Data Security Risk

 




For years, companies protected sensitive data by securing emails, devices, and internal networks. But work habits have changed. Now, most of the data moves through web browsers.  

Employees often copy, paste, upload, or transfer information online without realizing the risks. Web apps, personal accounts, AI tools, and browser extensions have made it harder to track where the data goes. Old security methods can no longer catch these new risks.  


How Data Slips Out Through Browsers  

Data leaks no longer happen only through obvious channels like USB drives or emails. Today, normal work tasks done inside browsers cause unintentional leaks.  

For example, a developer might paste secret codes into an AI chatbot. A salesperson could move customer details into their personal cloud account. A manager might give an online tool access to company data without knowing it.  

Because these activities happen inside approved apps, companies often miss the risks. Different platforms also store data differently, making it harder to apply the same safety rules everywhere.  

Simple actions like copying text, using extensions, or uploading files now create new ways for data to leak. Cloud services like AWS or Microsoft add another layer of confusion, as it becomes unclear where the data is stored.  

The use of multiple browsers, Chrome, Safari, Firefox — makes it even harder for security teams to keep an eye on everything.  


Personal Accounts Add to the Risk  

Switching between work and personal accounts during the same browser session is very common. People use services like Gmail, Google Drive, ChatGPT, and others without separating personal and office work.  

As a result, important company data often ends up in personal cloud drives, emails, or messaging apps without any bad intention from employees.  

Studies show that nearly 40% of web use in Google apps involves personal accounts. Blocking personal uploads is not a solution. Instead, companies need smart browser rules to separate work from personal use without affecting productivity.  


Moving Data Is the Most Dangerous Moment  

Data is most vulnerable when it is being shared or transferred — what experts call "data in motion." Even though companies try to label sensitive information, most protections work only when data is stored, not when it moves.  

Popular apps like Google Drive, Slack, and ChatGPT make sharing easy but also increase the risk of leaks. Old security systems fail because the biggest threats now come from tools employees use every day.  


Extensions and Unknown Apps — The Hidden Threat  

Browser extensions and third-party apps are another weak spot. Employees often install them without knowing how much access they give away.  

Some of these tools can record keystrokes, collect login details, or keep pulling data even after use. Since these risks often stay hidden, security teams struggle to control them.  

Today, browsers are the biggest weak spot in protecting company data. Businesses need better tools that control data flow inside the browser, keeping information safe without slowing down work.  


Finance Ministry Bans Use of AI Tools Like ChatGPT and DeepSeek in Government Work

 


The Ministry of Finance, under Nirmala Sitharaman’s leadership, has issued a directive prohibiting employees from using artificial intelligence (AI) tools such as ChatGPT and DeepSeek for official work. The decision comes over concerns about data security as these AI-powered platforms process and store information externally, potentially putting confidential government data at risk.  


Why Has the Finance Ministry Banned AI Tools?  

AI chatbots and virtual assistants have gained popularity for their ability to generate text, answer questions, and assist with tasks. However, since these tools rely on cloud-based processing, there is a risk that sensitive government information could be exposed or accessed by unauthorized parties.  

The ministry’s concern is that official documents, financial records, and policy decisions could unintentionally be shared with external AI systems, making them vulnerable to cyber threats or misuse. By restricting their use, the government aims to safeguard national data and prevent potential security breaches.  


Public Reactions and Social Media Buzz

The announcement quickly sparked discussions online, with many users sharing humorous takes on the decision. Some questioned how government employees would manage their workload without AI assistance, while others speculated whether Indian AI tools like Ola Krutrim might be an approved alternative.  

A few of the popular reactions included:  

1. "How will they complete work on time now?" 

2. "So, only Ola Krutrim is allowed?"  

3. "The Finance Ministry is switching back to traditional methods."  

4. "India should develop its own AI instead of relying on foreign tools."  


India’s Position in the Global AI Race

With AI development accelerating worldwide, several countries are striving to build their own advanced models. China’s DeepSeek has emerged as a major competitor to OpenAI’s ChatGPT and Google’s Gemini, increasing the competition in the field.  

The U.S. has imposed trade restrictions on Chinese AI technology, leading to growing tensions in the tech industry. Meanwhile, India has yet to launch an AI model capable of competing globally, but the government’s interest in regulating AI suggests that future developments could be on the horizon.  

While the Finance Ministry’s move prioritizes data security, it also raises questions about efficiency. AI tools help streamline work processes, and their restriction could lead to slower operations in certain departments.  

Experts suggest that India should focus on developing AI models that are secure and optimized for government use, ensuring that innovation continues without compromising confidential information.  

For now, the Finance Ministry’s stance reinforces the need for careful regulation of AI technologies, ensuring that security remains a top priority in government operations.



Dangers of AI Phishing Scam and How to Spot Them

Dangers of AI Phishing Scam and How to Spot Them

Supercharged AI phishing campaigns are extremely challenging to notice. Attackers use AI phishing scams with better grammar, structure, and spelling, to appear legit and trick the user. In this blog, we learn how to spot AI scams and avoid becoming victims

Checking email language

Earlier, it was easier to spot irregularities in an e-mail, all it took was one glance. As Gen AI models use flawless grammar,  it is almost impossible to find errors in your mail copy, 

Analyze the Language of the Email Carefully

In the past, one quick skim was enough to recognize something is off with an email, typically the incorrect grammar and laughable typos being the giveaways. Since scammers now use generative AI language models, most phishing messages have flawless grammar.

But there is hope. It is easier to identify Gen AI text, and keep an eye out for an unnatural flow of sentences, if everything seems to be too perfect, chances are it’s AI.

Red flags are everywhere, even mails

Though AI has made it difficult for users to find phishing scams, they show some classic behavior. The same tips apply to detect phishing emails.

In most cases, scammers mimic businesses and wish you won’t notice. For instance, instead of an official “info@members.hotstar.com” email ID, you may notice something like “info@members.hotstar-support.com.” You may also get unrequested links or attachments, which are a huge tell. URLs (mismatched) having subtle typos or extra words/letters are comparatively difficult to notice but a huge ti-off that you are on a malicious website or interacting with a fake business.

Beware of Deepfake video scams

The biggest issue these days is combating deepfakes, which are also difficult to spot. 

The attacker makes realistic video clips using photo and video prompts and uses video calling like Zoom or FaceTime to trap potential victims (especially elders and senior citizens) to give away sensitive data. 

One may think that only old people may fall for deepfakes, but due to their sophistication, even experts fall prey to them. One famous incident happened in Hong Kong, where scammers deepfake a company CFO and looted HK$200 million (roughly $25 million).

AI is advancing, and becoming stronger every day. It is a double-edged sword, both a blessing and a curse. One should tread the ethical lines carefully and hope they don’t fall to the dark side of AI.

Cyberattackers Exploit GhostGPT for Low-Cost Malware Development

 


The landscape of cybersecurity has been greatly transformed by artificial intelligence, which has provided both transformative opportunities as well as emerging challenges. Moreover, AI-powered security tools have made it possible for organizations to detect and respond to threats much more quickly and accurately than ever before, thereby enhancing the effectiveness of their cybersecurity defenses. 

These technologies allow for the analysis of large amounts of data in real-time, the identification of anomalies, and the prediction of potential vulnerabilities, strengthening a company's overall security. Cyberattackers have also begun using artificial intelligence technologies like GhostGPT to develop low-cost malware. 

By utilizing this technology, cyberattackers can create sophisticated, evasive malware, posing a serious threat to the security of the Internet. Therefore, organizations must remain vigilant and adapt their defenses to counter these evolving tactics. However, cybercriminals also use AI technology, such as GhostGPT, to develop low-cost malware, which presents a significant threat to organizations as they evolve. By exploiting this exploitation, they can devise sophisticated attacks that can overcome traditional security measures, thus emphasizing the dual-edged nature of artificial intelligence. 

Conversely, the advent of generative artificial intelligence has brought unprecedented risks along with it. Cybercriminals and threat actors are increasingly using artificial intelligence to craft sophisticated, highly targeted attacks. AI tools that use generative algorithms can automate phishing schemes, develop deceptive content, or even build alarmingly effective malicious code. Because of its dual nature, AI plays both a shield and a weapon in cybersecurity. 

There is an increased risk associated with the use of AI tools, as bad actors can harness these technologies with a relatively low level of technical competence and financial investment, which exacerbates these risks. The current trend highlights the need for robust cybersecurity strategies, ethical AI governance, and constant vigilance to protect against misuse of AI while at the same time maximizing its defense capabilities. It is therefore apparent that the intersection between artificial intelligence and cybersecurity remains a critical concern for the industry, policymakers, and security professionals alike. 

Recently introduced AI chatbot GhostGPT has emerged as a powerful tool for cybercriminals, enabling them to develop malicious software, business email compromise scams, and other types of illegal activities through the use of this chatbot. It is GhostGPT's uniqueness that sets it apart from mainstream artificial intelligence platforms such as ChatGPT, Claude, Google Gemini, and Microsoft Copilot in that it operates in an uncensored manner, intentionally designed to circumvent standard security protocols as well as ethical requirements. 

Because of its uncensored capability, it can create malicious content easily, providing threat actors with the resources to carry out sophisticated cyberattacks with ease. It is evident from the release of GhostGPT that generative AI poses a growing threat when it is weaponized, a concern that is being heightened within the cybersecurity community. 

A tool called GhostGPT is a type of artificial intelligence that enables the development and implementation of illicit activities such as phishing, malware development, and social engineering attacks by automating these activities. A reputable AI model like ChatGPT, which integrates security protocols to prevent abuse, does not have any ethical safeguards to protect against abuse. GhostGPT operates without ethical safeguards, which allows it to generate harmful content unrestrictedly. GhostGPT is marketed as an efficient tool for carrying out many malicious activities. 

A malware development kit helps developers generate foundational code, identify and exploit software vulnerabilities, and create polymorphic malware that can bypass detection mechanisms. In addition to enhancing the sophistication and scale of email-based attacks, GhostGPT also provides the ability to create highly customized phishing emails, business email compromise templates, and fraudulent website designs that are designed to fool users. 

By utilizing advanced natural language processing, it allows you to craft persuasive malicious messages that are resistant to traditional detection mechanisms. GhostGPT offers a highly reliable and efficient method for executing sophisticated social engineering attacks that raise significant concerns regarding security and privacy. GhostGPT uses an effective jailbreak or open-source configuration to execute such attacks. ASeveralkey features are included, such as the ability to produce malicious outputs instantly by cybercriminals, as well as a no-logging policy, which prevents the storage of interaction data and ensures user anonymity. 

The fact that GhostGPT is distributed through Telegram lowers entry barriers so that even people who do not possess the necessary technical skills can use it. Consequently, this raises serious concerns about its ability to escalate cybercrime. According to Abnormal Security, a screenshot of an advertisement for GhostGPT was revealed, highlighting GhostGPT's speed, ease of use, uncensored responses, strict no-log policy, and a commitment to protecting user privacy. 

According to the advertisement, the AI chatbot can be used for tasks such as coding, malware creation, and exploit creation, while also being referred to as a scam involving business email compromise (BEC). Furthermore, GhostGPT is referred to in the advertisement as a valuable cybersecurity tool and has been used for a wide range of other purposes. However, Abnormal has criticized these claims, pointing out that GhostGPT can be found on cybercrime forums and focuses on BEC scams, which undermines its supposed cybersecurity capabilities. 

It was discovered during the testing of the chatbot by abnormal researchers that the bot had the capability of generating malicious or maliciously deceptive emails, as well as phishing emails that would fool victims into believing that the emails were genuine. They claimed that the promotional disclaimer was a superficial attempt to deflect legal accountability, which is a tactic common within the cybercrime ecosystem. In light of GhostGPT's misuse, there is a growing concern that uncensored AI tools are becoming more and more dangerous. 

The threat of rogue AI chatbots such as GhostGPT is becoming increasingly severe for security organizations because they drastically lower the entry barrier for cybercriminals. Through simple prompts, anyone, regardless of whether they possess any coding skills or not, can quickly create malicious code. Aside from this, GhostGPT improves the capabilities of individuals with existing coding experience so that they can improve malware or exploits and optimize their development. 

GhostGPT eliminates the need for time-consuming efforts to jailbreak generative AI models by providing a straightforward and efficient method of creating harmful outcomes from them. Because of this accessibility and ease of use, the potential for malicious activities increases significantly, and this has led to a growing number of cybersecurity concerns. After the disappearance of ChatGPT in July 2023, WormGPT emerged as the first one of the first AI model that was specifically built for malicious purposes. 

It was developed just a few months after ChatGPT's rise and became one of the most feared AI models. There have been several similar models available on cybercrime marketplaces since then, like WolfGPT, EscapeGPT, and FraudGPT. However, many have not gained much traction due to unmet promises or simply being jailbroken versions of ChatGPT that have been wrapped up. According to security researchers, GhostGPT may also busea wrapper to connect to jailbroken versions of ChatGPT or other open-source language models. 

While GhostGPT has some similarities with models like WormGPT and EscapeGPT, researchers from Abnormal have yet to pinpoint its exact nature. As opposed to EscapeGPT, whose design is entirely based on jailbreak prompts, or WormGPT, which is entirely customized, GhostGPT's transparent origins complicate direct comparison, leaving a lot of uncertainty about whether it is a custom large language model or a modification of an existing model.

ChatGPT Outage in the UK: OpenAI Faces Reliability Concerns Amid Growing AI Dependence

 


ChatGPT Outage: OpenAI Faces Service Disruption in the UK

On Thursday, OpenAI’s ChatGPT experienced a significant outage in the UK, leaving thousands of users unable to access the popular AI chatbot. The disruption, which began around 11:00 GMT, saw users encountering a “bad gateway error” message when attempting to use the platform. According to Downdetector, a website that tracks service interruptions, over 10,000 users reported issues during the outage, which persisted for several hours and caused widespread frustration.

OpenAI acknowledged the issue on its official status page, confirming that a fix was implemented by 15:09 GMT. The company assured users that it was monitoring the situation closely, but no official explanation for the cause of the outage has been provided so far. This lack of transparency has fueled speculation among users, with theories ranging from server overload to unexpected technical failures.

User Reactions: From Frustration to Humor

As the outage unfolded, affected users turned to social media to voice their concerns and frustrations. On X (formerly Twitter), one user humorously remarked, “ChatGPT is down again? During the workday? So you’re telling me I have to… THINK?!” While some users managed to find humor in the situation, others raised serious concerns about the reliability of AI services, particularly those who depend on ChatGPT for professional tasks such as content creation, coding assistance, and research.

ChatGPT has become an indispensable tool for millions since its launch in November 2022. OpenAI CEO Sam Altman recently revealed that by December 2024, the platform had reached over 300 million weekly users, highlighting its rapid adoption as one of the most widely used AI tools globally. However, the incident has raised questions about service reliability, especially among paying customers. OpenAI’s premium plans, which offer enhanced features, cost up to $200 per month, prompting some users to question whether they are getting adequate value for their investment.

The outage comes at a time of rapid advancements in AI technology. OpenAI and other leading tech firms have pledged significant investments into AI infrastructure, with a commitment of $500 billion toward AI development in the United States. While these investments aim to bolster the technology’s capabilities, incidents like this serve as a reminder of the growing dependence on AI tools and the potential risks associated with their widespread adoption.

The disruption highlights the importance of robust technical systems to ensure uninterrupted service, particularly for users who rely heavily on AI for their daily tasks. Despite restoring services relatively quickly, OpenAI’s ability to maintain user trust and satisfaction may hinge on its efforts to improve its communication strategy and technical resilience. Paying customers, in particular, expect transparency and proactive measures to prevent such incidents in the future.

As artificial intelligence becomes more deeply integrated into everyday life, service disruptions like the ChatGPT outage underline both the potential and limitations of the technology. Users are encouraged to stay informed through OpenAI’s official channels for updates on any future service interruptions or maintenance activities.

Moving forward, OpenAI may need to implement backup systems and alternative solutions to minimize the impact of outages on its user base. Clearer communication during disruptions and ongoing efforts to enhance technical infrastructure will be key to ensuring the platform’s reliability and maintaining its position as a leader in the AI industry.

The Rise of Agentic AI: How Autonomous Intelligence Is Redefining the Future

 


The Evolution of AI: From Generative Models to Agentic Intelligence

Artificial intelligence is rapidly advancing beyond its current capabilities, transitioning from tools that generate content to systems capable of making autonomous decisions and pursuing long-term objectives. This next frontier, known as Agentic AI, has the potential to revolutionize how machines interact with the world by functioning independently and adapting to complex environments.

Generative AI vs. Agentic AI: A Fundamental Shift

Generative AI models, such as ChatGPT and Google Gemini, analyze patterns in vast datasets to generate responses based on user prompts. These systems are highly versatile and assist with a wide range of tasks but remain fundamentally reactive, requiring human input to function. In contrast, agentic AI introduces autonomy, allowing machines to take initiative, set objectives, and perform tasks without continuous human oversight.

The key distinction lies in their problem-solving approaches. Generative AI acts as a responsive assistant, while agentic AI serves as an independent collaborator, capable of analyzing its environment, recognizing priorities, and making proactive decisions. By enabling machines to work autonomously, agentic AI offers the potential to optimize workflows, adapt to dynamic situations, and manage complex objectives over time.

Agentic AI systems leverage advanced planning modules, memory retention, and sophisticated decision-making frameworks to achieve their goals. These capabilities allow them to:

  • Break down complex objectives into manageable tasks
  • Monitor progress and maintain context over time
  • Adjust strategies dynamically based on changing circumstances

By incorporating these features, agentic AI ensures continuity and efficiency in executing long-term projects, distinguishing it from its generative counterparts.

Applications of Agentic AI

The potential impact of agentic AI spans multiple industries and applications. For example:

  • Business: Automating routine tasks, identifying inefficiencies, and optimizing workflows without human intervention.
  • Manufacturing: Overseeing production processes, responding to disruptions, and optimizing resource allocation autonomously.
  • Healthcare: Managing patient care plans, identifying early warning signs, and recommending proactive interventions.

Major AI companies are already exploring agentic capabilities. Reports suggest that OpenAI is working on projects aimed at enhancing AI autonomy, potentially enabling systems to control digital environments with minimal human input. These advancements highlight the growing importance of autonomous systems in shaping the future of technology.

Challenges and Ethical Considerations

Despite its transformative potential, agentic AI raises several challenges that must be addressed:

  • Transparency: Ensuring users understand how decisions are made.
  • Ethical Boundaries: Defining the level of autonomy granted to these systems.
  • Alignment: Maintaining alignment with human values and objectives to foster trust and widespread adoption.

Thoughtful development and robust regulation will be essential to ensure that agentic AI operates ethically and responsibly, mitigating potential risks while unlocking its full benefits.

The transition from generative to agentic AI represents a significant leap in artificial intelligence. By integrating autonomous capabilities, these systems can transform industries, enhance productivity, and redefine human-machine relationships. However, achieving this vision requires a careful balance between innovation and regulation. As AI continues to evolve, agentic intelligence stands poised to usher in a new era of technological progress, fundamentally reshaping how we interact with the world.

Ensuring Governance and Control Over Shadow AI

 


AI has become almost ubiquitous in software development, as a GitHub survey shows, 92 per cent of developers in the United States use artificial intelligence as part of their everyday coding. This has led many individuals to participate in what is termed “shadow AI,” which involves leveraging the technology without the knowledge or approval of their organization’s Information Technology department and/or Chief Information Security Officer (CISO). 

This has increased their productivity. In light of this, it should not come as a surprise to learn that motivated employees will seek out the technology that can maximize their value potential as well as minimize repetitive tasks that interfere with more creative, challenging endeavours. It is not uncommon for companies to be curious about new technologies, especially those that can be used to make work easier and more efficient, such as artificial intelligence (AI) and automation tools. 

Despite the increasing amount of ingenuity, some companies remain reluctant to adopt technology at their first, or even second, glances. Nevertheless, resisting change does not necessarily mean employees will stop secretly using AI in a non-technical way, especially since tools such as Microsoft Copilot, ChatGPT, and Claude make these technologies more accessible to non-technical employees.

Known as shadow AI, shadow AI is a growing phenomenon that has gained popularity across many different sectors. There is a concept known as shadow AI, which is the use of artificial intelligence tools or systems without the official approval or oversight of the organization's information technology or security department. These tools are often adopted to solve immediate problems or boost efficiency within an organization. 

If these tools are not properly governed, they can lead to data breaches, legal violations, or regulatory non-compliance, which could pose significant risks to businesses. When Shadow AI is not properly managed, it can introduce vulnerabilities into users' infrastructure that can lead to unauthorized access to sensitive data. In a world where artificial intelligence is becoming increasingly ubiquitous, organizations should take proactive measures to make sure their operations are protected. 

Shadow generative AI poses specific and substantial risks to an organization's integrity and security, and poses significant threats to both of them. A non-regulated use of artificial intelligence can lead to decisions and actions that could undermine regulatory and corporate compliance. Particularly in industries with very strict data handling protocols, such as finance and healthcare, where strict data handling protocols are essential. 

As a result of the bias inherent in the training data, generative AI models can perpetuate these biases, generate outputs that breach copyrights, or generate code that violates licensing agreements. The untested code may cause the software to become unstable or error-prone, which can increase maintenance costs and cause operational disruptions. In addition, such code may contain undetected malicious elements, which increases the risk of data breach and system downtime, as well.

It is important to recognize that the mismanagement of Artificial Intelligence interactions in customer-facing applications can result in regulatory non-compliance, reputational damage, as well as ethical concerns, particularly when the outputs adversely impact the customer experience. Consequently, organization leaders must ensure that their organizations are protected from unintended and adverse consequences when utilizing generative AI by implementing robust governance measures to mitigate these risks. 

In recent years, AI technology, including generative and conversational AI, has seen incredible growth in popularity, leading to widespread grassroots adoption of these technologies. The accessibility of consumer-facing AI tools, which require little to no technical expertise, combined with a lack of formal AI governance, has enabled employees to utilize unvetted AI solutions, The 2025 CX Trends Report highlights a 250% year-over-year increase in shadow AI usage in some industries, exposing organizations to heightened risks related to data security, compliance, and business ethics. 

There are many reasons why employees turn to shadow AI for personal or team productivity enhancement because they are dissatisfied with their existing tools, because of the ease of access, and because they want to enhance the ability to accomplish specific tasks. In the future, this gap will grow as CX Traditionalists delay the development of AI solutions due to limitations in budget, a lack of knowledge, or an inability to get internal support from their teams. 

As a result, CX Trendsetters are taking steps to address this challenge by adopting approved artificial intelligence solutions like AI agents and customer experience automation, as well as ensuring the appropriate oversight and governance are in place. Identifying AI Implementations: CISOs and security teams, must determine who will be introducing AI throughout the software development lifecycle (SDLC), assess their security expertise, and evaluate the steps taken to minimize risks associated with AI deployment. 

In training programs, it is important to raise awareness among developers of the importance and potential of AI-assisted code as well as develop their skills to address these vulnerabilities. To identify vulnerable phases of the software development life cycle, the security team needs to analyze each phase of the SDLC and identify if any are vulnerable to unauthorized uses of AI. 

Fostering a Security-First Culture: By promoting a proactive protection mindset, organizations can reduce the need for reactive fixes by emphasizing the importance of securing their systems from the onset, thereby saving time and money. In addition to encouraging developers to prioritize safety and transparency over convenience, a robust security-first culture, backed by regular training, encourages a commitment to security. 

CISOs are responsible for identifying and managing risks associated with new tools and respecting decisions made based on thorough evaluations. This approach builds trust, ensures tools are properly vetted before deployment, and safeguards the company's reputation. Incentivizing Success: There is great value in having developers who contribute to bringing AI usage into compliance with their organizations. 

For this reason, these individuals should be promoted, challenged, and given measurable benchmarks to demonstrate their security skills and practices. As organizations reward these efforts, they create a culture in which AI deployment is considered a critical, marketable skill that can be acquired and maintained. If these strategies are implemented effectively, a CISO and development teams can collaborate to manage AI risks the right way, ensuring faster, safer, and more effective software production while avoiding the pitfalls caused by shadow AI. 

As an alternative to setting up sensitive alerts to make sure that confidential data isn't accidentally leaked, it is also possible to set up tools using artificial intelligence, for example, to help detect when a model of artificial intelligence incorrectly inputs or processes personal data, financial information, or other proprietary information. 

It is possible to identify and mitigate security breaches in real-time by providing real-time alerts in real-time, and by enabling management to reduce these breaches before they escalate into a full-blown security incident, adding a layer of security protection, in this way. 

When an API strategy is executed well, it is possible to give employees the freedom to use GenAI tools productively while safeguarding the company's data, ensuring that AI usage is aligned with internal policies, and protecting the company from fraud. To increase innovation and productivity, one must strike a balance between securing control and ensuring that security is not compromised.

Dutch Authority Flags Concerns Over AI Standardization Delays

 


As the Dutch privacy watchdog DPA announced on Wednesday, it was concerned that software developers developing artificial intelligence (AI) might use personal data. To get more information about this, DPA sent a letter to Microsoft-backed OpenAI. The Dutch Data Protection Authority (Dutch DPA) imposed a fine of 30.5 million euros on Clearview AI and ordered that they be subject to a penalty of up to 5 million euros if they fail to comply. 

As a result of the company's illegal database of billions of photographs of faces, including Dutch people, Clearview is an American company that offers facial recognition services. They have built an illegal database. According to their website, the Dutch DPA warns that Clearview's services are also prohibited. In light of the rapid growth of OpenAI's ChatGPT consumer app, governments, including those of the European Union, are considering how to regulate the technology. 

There is a senior official from the Dutch privacy watchdog Autoriteit Persoonsgegevens (AP), who told Euronews that the process of developing artificial intelligence standards will need to take place faster, in light of the AI Act. Introducing the EU AI Act, which is the first comprehensive AI law in the world. The regulation aims to address health and safety risks, as well as fundamental human rights issues, as well as democracy, the rule of law, and environmental protection. 

By adopting artificial intelligence systems, there is a strong possibility to benefit society, contribute to economic growth, enhance EU innovation and competitiveness as well as enhance EU innovation and global leadership. However, in some cases, the specific characteristics of certain AI systems may pose new risks relating to user safety, including physical safety and fundamental rights. 

There have even been instances where some of these powerful AI models could pose systemic risks if they are widely used. Since there is a lack of trust, this creates legal uncertainty and may result in a slower adoption of AI technologies by businesses, citizens, and public authorities due to legal uncertainties. Regulatory responses by national governments that are disparate could fragment the internal market. 

To address these challenges, legislative action was required to ensure that both the benefits and risks of AI systems were adequately addressed to ensure that the internal market functioned well. As for the standards, they are a way for companies to be reassured, and to demonstrate that they are complying with the regulations, but there is still a great deal of work to be done before they are available, and of course, time is running out,” said Sven Stevenson, who is the agency's director of coordination and supervision for algorithms. 

CEN-CELENEC and ETSI were tasked by the European Commission in May last year to compile the underlying standards for the industry, which are still being developed and this process continues to be carried out. This data protection authority, which also oversees the General Data Protection Regulation (GDPR), is likely to have the shared responsibility of checking the compliance of companies with the AI Act with other authorities, such as the Dutch regulator for digital infrastructure, the RDI, with which they will likely share this responsibility. 

By August next year, all EU member states will have to select their AI regulatory agency, and it appears that in most EU countries, national data protection authorities will be an excellent choice. The AP has already dealt with cases in which companies' artificial intelligence tools were found to be in breach of GDPR in its capacity as a data regulator. 

A US facial recognition company known as Clearview AI was fined €30.5 million in September for building an illegal database of photos and unique biometric codes linked to Europeans in September, which included photos, unique biometric codes, and other information. The AI Act will be complementary to GDPR, since it focuses primarily on data processing, and would have an impact in the sense that it pertains to product safety in future cases. Increasingly, the Dutch government is promoting the development of new technologies, including artificial intelligence, to promote the adoption of these technologies. 

The deployment of such technologies could have a major impact on public values like privacy, equality in the law, and autonomy. This became painfully evident when the scandal over childcare benefits in the Netherlands was brought to public attention in September 2018. The scandal in question concerns thousands of parents who were falsely accused of fraud by the Dutch tax authorities because of discriminatory self-learning algorithms that were applied while attempting to regulate the distribution of childcare benefits while being faced with discriminatory self-learning algorithms. 

It has been over a year since the Amsterdam scandal raised a great deal of controversy in the Netherlands, and there has been an increased emphasis on the supervision of new technologies, and in particular artificial intelligence, as a result, the Netherlands intentionally emphasizes and supports a "human-centred approach" to artificial intelligence. Taking this approach means that AI should be designed and used in a manner that respects human rights as the basis of its purpose, design, and use. AI should not weaken or undermine public values and human rights but rather reinforce them rather than weaken them. 

During the last few months, the Commission has established the so-called AI Pact, which provides workshops and joint commitments to assist businesses in getting ready for the upcoming AI Act. On a national level, the AP has also been organizing pilot projects and sandboxes with the Ministry of RDI and Economic Affairs so that companies can become familiar with the rules as they become more aware of them. 

Further, the Dutch government has also published an algorithm register as of December 2022, which is a public record of algorithms used by the government, which is intended to ensure transparency and explain the results of algorithms, and the administration wants these algorithms to be legally checked for discrimination and arbitrariness.