OpenAI Funds Startup Combatting AI Scams

Artificial Intelligence (AI) has advanced beyond merely crafting poems and generating images. It is now playing a significant role in enhancing cybercriminal activities, making scams more sophisticated and alarming. These scams range from fake phone calls that imitate the voice of your CEO to emails that appear to be from your HR department, posing a genuine threat to individuals and organizations alike.

Introducing Adaptive Security: Your AI Scam Simulator

Located in New York, Adaptive Security has recently completed a Series A funding round, raising $43 million. This funding round was co-led by OpenAI’s Startup Fund and Andreessen Horowitz, significant players in the tech sector.

So, what does Adaptive Security do exactly? The company develops fake yet realistic AI-driven scams designed to train employees. It is similar to safety drills—except this time, the scenario revolves around phishing attempts.

Here’s how Adaptive operates:

• A person receives a call from someone pretending to be the “CTO,” asking for a sensitive login code.
• The call may seem credible, but it’s actually a simulation conducted by Adaptive’s system to evaluate how an employee reacts.

In addition to voice simulations, the platform also generates fake text messages and emails to identify the most vulnerable teams, helping to improve employees’ responses to actual threats.

Why This is Crucial Today

The majority of major cybersecurity breaches often originate from simple human error. Common mistakes include:

• Clicking on a suspicious link.
• Sharing login credentials during a phone call.
• Opening attachments that appear harmless.

Due to this reality, Adaptive Security emphasizes addressing social engineering attacks, which depend on deceiving individuals rather than breaching firewalls.

A Relevant Example

For instance, in 2022, the Axie Infinity hack, initiated by a misleading job offer, resulted in a staggering loss of $600 million. It is the type of error that Adaptive aims to prevent through its training simulations.

AI’s Role in Making Scams Worse

Brian Long, the CEO of Adaptive, underscores how generative AI tools have opened the floodgates for cybercriminals, making it simpler than ever to develop misleading scams. Here are some of the risks associated with this technology:

• AI’s capability to replicate voices with remarkable precision.
• The ability to write phishing emails that seem genuine.
• Generating counterfeit documents like receipts and contracts.

As a result, businesses are in a race to bolster their defenses against these AI-enabled threats.

Notable Individuals Behind Adaptive Security

Brian Long, who leads Adaptive, has a notable background in the startup realm:

• He previously sold TapCommerce to Twitter for over $100 million.
• He co-founded Attentive, which is valued at over $10 billion.

His strong track record and positive customer feedback helped attract the attention of OpenAI. Presently, Adaptive serves over 100 companies, and with the new funding, they plan to expand rapidly. A significant portion of the investment will be allocated to hiring top engineers to keep up with ongoing advancements and threats in AI.

Other Companies Addressing AI-Driven Threats

Adaptive is not the sole entity tackling the challenges posed by AI. Here are a few other startups to watch:

Quick Tip from the CEO: Remove Your Voicemail

Brian Long offers a straightforward suggestion:

“If you’re concerned about someone possibly cloning your voice, just delete your voicemail.”

This advice makes sense; the less audio hackers have, the more challenging it becomes for them to impersonate you.

Implications for Your Business

As the landscape of AI continues to expand, so do associated risks. For business leaders, it’s essential to:

• Equip your team with realistic AI simulation training.
• Review your processes for handling voice messages and sensitive emails.
• Stay updated about the tools and tactics used by cybercriminals.

Organizations like Adaptive Security demonstrate that, with proper training, employees can be the strongest line of defense against cyber threats, rather than the weakest link.