Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: There's so much to talk about right now on this Friday,
Speaker 2: whether it's in the markets or just broader company news
Speaker 2: right now. But one thing I did want to talk
Speaker 2: about is cybersecurity, Scarlett. I mean, cybersecurity is becoming increasingly
Speaker 2: more important, especially as we see a lot of online
Speaker 2: threats ramping up and honestly getting more and more creative.
Speaker 3: Yeah, not a day goes by that you don't hear
Speaker 3: about a country or a company getting hacked by someone
Speaker 3: or some band of people. And you know, at a
Speaker 3: consumer level, obviously it's very concerning when you've got everything
Speaker 3: in your email or in your phone.
Speaker 2: Absolutely with us to talk about this in more is
Speaker 2: Vincent Palette. He's CEO of gen Digital, which trades on
Speaker 2: the NASDAC underticker ge IN. You may be familiar with
Speaker 2: one of its brands, Norton, but we are joined by
Speaker 2: Vincent from Belgium. Actually, Vincent tell us a little bit
Speaker 2: about the current landscape right now as we think about
Speaker 2: protection from CyberSecure threads.
Speaker 1: Yeah, as you've mentioned, the threat landscape is very dynamic
Speaker 1: at a high level now, all enabled by AI, which
Speaker 1: really increased the complexity of the threat, the sophistication of
Speaker 1: the thread the threads and becoming very difficult to detect.
Speaker 1: And you mentioned that the enterprise are being attacked, but
Speaker 1: the enterprise are protecting themselves more and more. So, who
Speaker 1: is less vulnerable in the middle is the consumer and
Speaker 1: whether it's a deep thig, a scam, fishing, leveraging your
Speaker 1: data that they've been breached somewhere else and then capturing
Speaker 1: that to create some damages. The overall damages for the
Speaker 1: consumers in the US alone is over fifteen billion dollars
Speaker 1: and growing double digit these days.
Speaker 4: Pretty incredible growth rate there.
Speaker 3: What are the most common ways that people find their
Speaker 3: data their personal data compromised and what are some of
Speaker 3: the more unusual ways in which it happens.
Speaker 1: I would say that today eighty percent of the threat
Speaker 1: facing consumers are scam or social engineerings. And it's about
Speaker 1: collecting a vast amount of personal data that you have
Speaker 1: in the digital world, whe was it you know it,
Speaker 1: you put them on your own social media websites, or
Speaker 1: whether those data have been breaches as part of you
Speaker 1: shopping online or shopping into a different environment, and then
Speaker 1: the data is being captured sold in the dark web,
Speaker 1: and now with AI tools, very sophisticated personalized emails or
Speaker 1: text are full in consumers. We've detected last quarter over
Speaker 1: one hundred and forty thousand websites that mimic real brand
Speaker 1: website driven by AI, but actually are just meant to
Speaker 1: capture and create financial damages for consumers.
Speaker 2: How is Gen Digital leveraging AI just to push productivity
Speaker 2: forward at the company as we think about it in
Speaker 2: relation to cybersecurity.
Speaker 1: As a topic of the day of course, right, So
Speaker 1: not only is the AI is a threat from being
Speaker 1: used by hackers a threat for consumers, but we also
Speaker 1: add Gen Digital using AI to protect our consumers. So
Speaker 1: we're the first one to come with the full model
Speaker 1: for anti scam and being able to detect real time
Speaker 1: scams as they hit either your text, your voice or
Speaker 1: your emails. And now we embedding that more into cheap
Speaker 1: manufacturers to create deep fake solutions and really making sure
Speaker 1: we can detect what's the problem of the day, what's
Speaker 1: the reality? Is this message real or not? Is this
Speaker 1: video real or not? It's this voice real or not?
Speaker 1: And we heavily investing into moving our over threat protection
Speaker 1: into an AI powered threat thread detection.
Speaker 3: So, in terms of companies and consumers spending on protection
Speaker 3: from the cybersecurity threats, what have you observed so far
Speaker 3: in twenty twenty five. You know, we know that earning
Speaker 3: the season has gone pretty well for most companies.
Speaker 4: You have just reported results as well.
Speaker 3: Your second quarter just VPS beat anless estimates by a
Speaker 3: penny and your second quarter revenue coming in slightly higher
Speaker 3: than what was anticipated. Are companies growing their spending on
Speaker 3: cybersecurity at a stable rate or has that picked up?
Speaker 3: Do you see them pulling back a little bit if
Speaker 3: the economy starts going south a bit.
Speaker 1: No, Definitely, people are investing more into making sure that
Speaker 1: the defense is becoming more and more sophisticated to address
Speaker 1: the over threat landscape. You've seen our report. You mentioned
Speaker 1: that we had another outstanding quarter beaten race here in
Speaker 1: Q two that followed another beat and race in Q one.
Speaker 1: As we're developing not only the protection of security, but
Speaker 1: enable the consumer to be secure, to be private, to
Speaker 1: also manage the identity and their reputations, we are expanding
Speaker 1: the pie if you want, and that has enabled us
Speaker 1: to post it another quota at about twenty five percent growth,
Speaker 1: which the help of our most recent acquisition, which is
Speaker 1: leading into the financial wellness. As you protect your data,
Speaker 1: you want to protect your financial position. You also want
Speaker 1: to help consumer manage and grow that position.
Speaker 2: So we're headed into the holiday season, do you all
Speaker 2: tend to see any sort of uptick in terms of
Speaker 2: cybersecurity threads or maybe identity theft even and if so,
Speaker 2: how can consumers protect themselves.
Speaker 1: It's definitely a higher risk season. Obviously, everybody wants to
Speaker 1: go out and shop more, dine more, and that's at
Speaker 1: every point in time you're exposing you personal data out.
Speaker 1: So we constantly educate our customers to make sure that
Speaker 1: these days they are really controlling where do they put
Speaker 1: their credit cards, which website they go and shop from,
Speaker 1: and making sure they use our anti scan detection tools
Speaker 1: and models to make sure we can detect where the
Speaker 1: risk is. But definitely we advise everyone to be cautious.
Speaker 1: These days, harkers are out there and trying to collect
Speaker 1: you personal digital footprint.
Speaker 4: Does people's infatuation with.
Speaker 3: Cryptocurrency, bitcoin, digital wallets, does that increase the likelihood that
Speaker 3: they might be a target of of cyber attacks.
Speaker 1: I would say that the overall penetration of your digital footprint,
Speaker 1: your life becoming more and more a digital life, and
Speaker 1: the middle of payments that you mentioned is just another
Speaker 1: sign of moving more online, which then creates, of course
Speaker 1: also more risk to be to be to be to
Speaker 1: be attacked. So the overall trend is to move more
Speaker 1: online in many different dimensions, including uh the method of payments.
Speaker 2: What's your strategy for rebuilding or maintaining trust at a
Speaker 2: time where cybersecurity failures continue to make headlines.
Speaker 1: And it's not only cybersecurity failure, it's only also a
Speaker 1: time where with a I it's difficult to detect what's
Speaker 1: reality and what's a fake. So so there're still a
Speaker 1: reality we're discussing and so definitely trying to making sure
Speaker 1: we equip our consumers in our tools with deep fake
Speaker 1: detection and ability to really see what is produced by
Speaker 1: a machine use what is a natural piece of content
Speaker 1: is an important needs that we're trying to address.
Speaker 4: All right, good stuff.
Speaker 3: Really appreciate your joining us today with your recap of
Speaker 3: your results and to give us kind of the overview
Speaker 3: of what it looks like here in the cyber security space.
Speaker 3: Vincent Palette is chairman and CEO of Gen Digital