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OpenAI invests in cybersecurity to combat AI-driven threats

OpenAI has made its first cybersecurity investment in Adaptive Security, a startup that uses AI to train employees to detect and prevent cyber threats.

Generative AI has given hackers more advanced tools to carry out cyberattacks. With the ability to generate deepfake voices and fake documents, cybercriminals can trick employees more easily than ever. OpenAI, the leading generative AI company, is aware of these risks. That is why it has made its first-ever investment in a cybersecurity startup, hoping to help businesses defend against these evolving threats.

New York-based Adaptive Security has raised US$43 million in a Series A funding round, co-led by OpenAIโ€™s startup fund and venture capital firm Andreessen Horowitz. The funding was announced on June 5, and OpenAI confirmed that this marks its first investment in a cybersecurity firm.

AI-powered cybersecurity training

Adaptive Securityโ€™s platform uses AI to generate simulated cyberattacks, helping companies train employees to recognise and respond to these threats. For example, an employee might receive a phone call that sounds exactly like their CTO asking for a verification code. However, the voice is inaccurateโ€”an AI-generated spoof created by Adaptive Security.

The platform extends beyond phone calls to include fake emails and text messages, identifying which company areas are most vulnerable and providing training to reduce risks. The main focus is social engineering attacks, which trick employees into taking actions that compromise security, such as clicking on malicious links. While these attacks may seem simple, they have led to major financial losses. In 2022, for example, gaming company Axie Infinity lost over US$600 million after one of its developers fell for a fake job offer scam.

According to Brian Long, co-founder and CEO of Adaptive Security, AI has made these attacks easier and more convincing. Since launching in 2023, the company has gained over 100 customers, and their positive feedback has played a key role in attracting OpenAIโ€™s investment.

A growing AI security market

Brian Long is no stranger to building successful startups. He previously co-founded mobile ad startup TapCommerce, which he sold to Twitter in 2014 for a reported US$100 million. He also co-founded ad-tech firm Attentive, which was valued at over US$10 billion in 2021.

Adaptive Security plans to expand its team by hiring more engineers with the new funding. The goal is to improve its platform and stay ahead in what Long describes as an AI โ€œarms raceโ€ against cyber criminals.

Adaptive Security is not the only company tackling AI-driven cyber threats. Cyberhaven recently raised US$100 million to prevent employees from leaking sensitive data into AI tools like ChatGPT, while deepfake detection startup GetReal secured US$17.5 million last month. Another firm, Snyk, has seen its revenue rise to over US$300 million annually, partly due to the growing problem of AI-generated security vulnerabilities.

As AI threats become more advanced, Long has one key advice for employees worried about voice cloning scams: โ€œDelete your voicemail.โ€

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