Welcome to the first August edition of AI Insights and Cyber Scans. Our upcoming stories provide a comprehensive analysis of AI's role in international affairs, its innovative advancements, and its integration into the broader economy. From strategic policy shifts to groundbreaking AI-driven cybersecurity measures, we offer a detailed exploration of how these technologies are shaping our world.
Our first feature examines Apple's groundbreaking AI announcements and the market's response, highlighting the strategic shifts and potential impacts on AI adoption within the tech giant's ecosystem. We also spotlight the striking actions of video game performers concerned about AI replacing their roles, underscoring broader labour market implications.
On a global scale, we explore AI cybersecurity initiatives across various regions, from Africa's digital transformation efforts to Singapore's governance frameworks. The EU's establishment of the Joint Cyber Unit signifies a coordinated defence strategy, while Australia's renewed focus on cybersecurity leadership under Tony Burke promises robust measures against evolving threats. Finally, we round out with IBM's alarming data breach report and Rezonate's innovative AI assistant for identity security. Join us as we navigate the dynamic landscape of AI and cybersecurity with a keen business perspective and an optimistic outlook.
Apple's AI Announcement And Market Reactions
When Apple announced their new Apple Intelligence features, there were broadly two categories of reactions. One was an assessment of the features' potential impact on AI adoption and how they fit into Apple's overall strategy. The other, and perhaps more significant reaction, was the realisation that Apple finally acknowledged the need to focus on AI.
Wall Street had grown increasingly anxious; while other big tech stocks had risen for the year, Apple remained relatively flat until WWDC. This announcement indicated a potential rush to appease market pressures. According to Bloomberg, Apple's AI features will not be included in the first release of iOS 18. iOS 18 and iPad OS 18 are scheduled for a September release, but sources now indicate Apple Intelligence will be delayed until October.
For developers, the situation is different. This week, iOS 18.1 and iPad OS 18.1 betas will be available, including early access to Apple Intelligence. Bloomberg highlights that this strategy is atypical, as Apple usually doesn't release previews of follow-up updates until the initial version is publicly available. However, this concession appears necessary due to competitive market dynamics.
Bloomberg notes, "In order to ensure a smooth consumer release of its big bet on AI, Apple needs support from developers to help iron out issues and test features on a wider scale." Concerns over the stability of Apple Intelligence led to the features being split from the initial iOS 18 launch. The market reaction has been subdued, with Apple's stock relatively stable. The ultimate test will be how Apple Intelligence impacts iPhone and other device sales.
Gamers Strike Over AI Concerns: Video Game Performers Take Action
Video game performers are the latest group to strike over fears that artificial intelligence may replace them. According to AP News, this strike, the second for video game voice actors and motion capture performers under the Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA), begins at 12 a.m. on Friday. The strike follows nearly two years of negotiations with major gaming companies, including Activision, Warner Brothers, and Walt Disney Co., over a new interactive media agreement.
While progress has been made on issues like wages and job safety, a significant divide remains over the regulation of generative AI. The crux of the disagreement lies not in opposition to AI protections but in who benefits from them.
One negotiator mentioned, "The industry has told us point-blank that they do not necessarily consider everyone who is rendering movement performance to be a performer covered by the collective bargaining agreement." This spokesperson added that some physical performances are being treated as "data."
In some cases, the role of an AI voice is often invisible and used to clean up a recording in the later stages of production or to make a character sound older or younger at a different stage of their virtual life.
The union has held onto one last option in their battle over a contract: calling a strike. Crabtree-Ireland said that the union hopes to avoid a work stoppage, but will “do what it takes to make sure that our members are treated fairly.”
“Our concern is the idea that all of this work translates into grist for the mill that displaces us,” said Sarah Elmaleh, chair of the interactive negotiating committee. “They do not have to call us back, you do not have to be informed of what they’ve used your material to create.”
The specific issue seems to concern those who perform stunts or creature performances. Andy Norris, an actor and union negotiating committee member, stated, "The performers who bring their body of work to these games create a whole variety of characters, and all of that work must be covered." Norris criticised the proposal that excludes performances not identical to the performer’s everyday appearance, noting, "On any given week I'm a zombie, I am a soldier, I am a zombie soldier."
Norris continued, "We cannot and will not accept that a stunt or movement performer giving a full performance on stage next to a voice actor isn't a performer." This stance underscores the belief that the rise of AI will significantly strengthen the labor movement globally, though the effectiveness of this collective action remains uncertain.
Australia's Cybersecurity Leadership And The Global AI Race
Australia is actively enhancing its cybersecurity framework, particularly with the recent appointment of Tony Burke as the new Minister for Cyber Security and Home Affairs. Burke, succeeding Clare O'Neil, has pledged to bring "responsibility and resolve" to securing the nation, emphasising the importance of maintaining strong and secure borders while protecting against cybersecurity threats. Prime Minister Anthony Albanese has highlighted Burke's experience and commitment, underscoring his valuable expertise in this challenging portfolio.
Executives and analysts in the cybersecurity industry are optimistic about Burke's appointment, anticipating a continuation of robust cybersecurity measures and the introduction of new initiatives to address evolving threats.
Industry operators are also questioning whether further developments to the 2023-2030 Australian Cyber Security Strategy plan will be announced. Mark Manatakoul, General Manager of Zirilio, remarked,
“In the wake of Burke’s appointment, we see an opportunity to redefine and improve Australia’s cyber resilience...”
Additionally, the appointment of Andrew Charlton as a special envoy for cyber security and digital resilience is seen as a positive step toward enhancing Australia's cyber defence capabilities. Charlton's role will involve strategic planning and positioning Australia to mitigate risks and capitalise on opportunities presented by technological advancements.
Globally, the focus on AI in cybersecurity presents both significant opportunities and challenges. AI can greatly enhance threat detection and response capabilities by analysing vast data sets and identifying patterns indicative of cyber threats. However, hurdles such as bias in AI algorithms, the complexity of understanding these systems, and the potential for adversarial attacks remain. Worldwide, there is a growing recognition of the need for robust AI security measures and regulatory frameworks.
From the U.S. and EU coordinated efforts to proactive measures in Asia and the Middle East, nations are moving towards comprehensive AI governance and security protocols. Under Tony Burke's leadership, Australia is expected to renew its focus on strengthening its cybersecurity posture, leveraging AI technologies, and fostering international cooperation to tackle the complex landscape of cyber threats.
AI: A Critical Defence Against Escalating Data Breaches, IBM Report Reveals
IBM's latest Cost of a Data Breach Report highlights the escalating challenges businesses face in combating cyberattacks. In 2023, more than half of organizations experienced cyberattacks that disrupted access to data, with costs in the UK alone soaring to £3.58m (US$4.8m) in 2024. The financial services, professional services, and technology sectors were particularly hard-hit, with stolen credentials and phishing emerging as the leading attack methods, accounting for 27% of breaches in the UK. The report reveals that the damage caused by these breaches has intensified, with 12% of affected organizations taking over 100 days to fully recover.
The increasing severity of data breaches has significantly driven up costs, exacerbated by factors such as non-compliance with regulations, impacts on IoT/OT environments, and supply chain breaches. Furthermore, a critical shortage of cybersecurity professionals has added an average of US$1.76m to breach costs for affected businesses.
"In a landscape marked by increasing cyber threats, this year’s report highlights critical vulnerabilities and strategic opportunities," says Martin Borrett, Technical Director at IBM Security UK.
The report found that 67% of organizations deployed security AI and automation – a near 10% jump from the prior year – and 20% stated they used some form of gen AI security tools. Organizations that employed security AI and automation extensively detected and contained an incident, on average, 98 days faster than organizations not using these technologies.
According to the 2024 report, 40% of breaches involved data stored across multiple environments and more than one-third of breaches involved shadow data (data stored in unmanaged data sources), highlighting the growing challenge with tracking and safeguarding data.
In response, businesses are ramping up their security budgets, with a focus on employee training, incident response planning, threat detection, and identity management. The report underscores the growing importance of AI and automation in cybersecurity, with UK organizations using these technologies able to detect and contain incidents significantly faster than those that do not, illustrating AI's vital role in modern cyber defense strategies.
Rezonate Launches Zoe AI Assistant To Boost Cybersecurity And Identity Access Teams
Cloud identity and access startup Rezonate Inc. has unveiled Zoe, an AI-powered assistant aimed at enhancing the capabilities of cybersecurity and identity and access management (IAM) teams. Zoe leverages artificial intelligence to improve the speed and efficiency of routine security tasks, streamline compliance activities, and reduce the time needed to address identity breaches. According to Rezonate, Zoe's cross-disciplinary approach facilitates collaboration across IAM, DevOps, and security departments, helping them speak a common language and coordinate effectively during security incidents.
"Identity security is broken by siloed, disparate systems and manual efforts, leading to increased risk and breaches," said co-founder and Chief Executive Roy Akerman. Zoe addresses these challenges by automating identity security tasks through natural language interaction and providing contextual risk understanding. It offers recommendations, task lists, and reports to help analysts locate critical risks and expedite remediation efforts.
The AI service also accelerates access reviews and compliance processes, making it a valuable tool for both small and large organizations. First reported by TechCrunch, Rezonate, has been backed by investors such as State of Mind Ventures and Flybridge Capital Partners, raised $8.7 million in December 2022.
