J.P. Morgan reportedly expects cybersecurity spending to remain stronger than that of other IT sectors.
While interest rates and macro uncertainty are limiting the multiples of stocks in the security sector, those multiples have improved more than those of other parts of the software sector, Seeking Alpha reported Friday (June 23), citing a J.P. Morgan analyst’s comments.
The analyst also said the cybersecurity industry has several opportunities to implement generative artificial intelligence (AI) and machine learning (ML) solutions, according to the report.
For example, these technologies can help the industry deal with the rising threat of cyberattacks, the industry’s talent shortage and its need to upskill its existing workers, the report said.
This report comes two days after it was reported that J.P. Morgan Chase has appointed Teresa Heitsenrether as the head of a new data and analytics unit as part of the bank’s larger push towards AI.
“Artificial intelligence is critical for the bank” and “critical to our company’s future success,” J.P. Morgan Chase CEO Jamie Dimon said, according to a Bloomberg report on Wednesday (June 21).
The creation of the new data and analytics unit shows the bank’s commitment to leveraging AI to improve its operations and better serve its clients, according to the report.
AI can help security organizations find the proverbial needle in a haystack — the genuine fraudster who has managed over time to (so far) escape detection, Blackhawk Network Chief Information Security Officer Selim Aissi told PYMNTS in an interview posted in March 2022.
The technology can be especially useful in ingesting, analyzing and making sense of threat intelligence that is gleaned from a variety of sources — and making that intelligence “canonical” with every other input that is used for detection and prevention, Aissi said at the time.
“We’re seeing more value that AI is adding to cybersecurity controls, tools and technologies, and AI make security stronger over time,” Aissi said.
The Seeking Alpha report comes a day after Amazon Web Services (AWS) launched a $100 million program to help customers accelerate their implementation of generative AI.
The new AWS Generative AI Information Center will connect the company’s AI and ML experts with customers and partners around the globe, AWS said when announcing the program Thursday (June 22).