Data Loss Without an Attacker: Governing What Employees Put Into AI

Key Takeaways • In May 2026, a cybersecurity incident caused by misuse of an unauthorized AI tool became the first incident of this nature to be listed in a company’s Form 8-K. • Enterprise AI security gaps occur because traditional data loss prevention was built to watch files, endpoints, and network traffic, not the meaning of natural-language prompts. • Blocking unapproved AI tools alone does not stop employees from routing around policy. They need...

Key Takeaways • In May 2026, a cybersecurity incident caused by misuse of an unauthorized AI tool became the first incident of this nature...

Key Takeaways • Research by SecurityScorecard reveals that 98% of organizations have experienced at least one third-party security breach. • Gartner highlights that due diligence of an organization’s direct vendors alone cannot prevent nth-party risks, as additional sharing to subcontractors remains outside the organization’s controls. • Organizations can reduce exposure by attaching protection to the document itself, so that controls stay with the file wherever it moves in the supply chain. Most organizations...

Key Takeaways • Research by SecurityScorecard reveals that 98% of organizations have experienced at least one third-party security breach. • Gartner highlights that due...

Key Takeaways • AI use does not automatically fall outside ITAR just because current ITAR regulations do not explicitly mention artificial intelligence. • Several important AI-specific questions, such as whether trained models or AI-generated outputs retain ITAR control status, remain unresolved and is awaiting DDTC guidance. • However, putting ITAR-controlled technical data into an AI system can constitute a disclosure or export, depending on who can access the data and how the AI system...

Key Takeaways • AI use does not automatically fall outside ITAR just because current ITAR regulations do not explicitly mention artificial intelligence. • Several...

Machine identities vastly outnumber human ones in a modern enterprise. According to Palo Alto Networks, roughly seven in ten of them are now AI agents.[1] Identity governance was built to manage people, but there is a real security gap in how it manages AI agents. This post argues that the control has to live in the file itself, not only in the identity reaching for it. In 2025, researchers at Aim Labs found a...

Machine identities vastly outnumber human ones in a modern enterprise. According to Palo Alto Networks, roughly seven in ten of them are now AI...

Key Takeaways • Only 16% of security teams have operationalized CTEM — despite broad recognition of its value. • Gartner predicts CTEM-driven organizations are 3x less likely to suffer a breach. • The five CTEM stages are: Scoping, Discovery, Prioritization, Validation, and Mobilization. • Traditional vulnerability management misses identity risks, misconfigurations, and business context. • Unstructured documents — contracts, spreadsheets, design files — are a critical CTEM blind spot. Attackers don’t wait for...

Key Takeaways • Only 16% of security teams have operationalized CTEM — despite broad recognition of its value. • Gartner predicts CTEM-driven organizations are...

Key Takeaways • 40% of law firms experienced a security breach in the past year, with an average cost of $5.08 million per incident. • Silent Ransom Group now sends physical operatives into offices posing as IT staff. The FBI issued a flash alert in May 2026. • ABA ethics rules (Rule 1.6 and Rule 1.1) expose breached firms to state bar complaints, on top of financial penalties and litigation. • Attorney-client privilege can...

Key Takeaways • 40% of law firms experienced a security breach in the past year, with an average cost of $5.08 million per incident....

Key Takeaways • Source code is often a company’s most valuable and least protected asset. • GitHub, Trellix, and Accenture all disclosed source code breaches in 2026. • Verizon’s DBIR found source code is the top data type leaked to shadow AI. • A real source code protection strategy needs kernel-level control, not just file encryption. • FED v6 delivers that control with only a 4% build-time overhead. A source code protection strategy...

Key Takeaways • Source code is often a company’s most valuable and least protected asset. • GitHub, Trellix, and Accenture all disclosed source code...

Begin with what the courts already know. In 2026, a court sentenced an engineer at a major memory-chip maker to seven years in prison for passing more than 600 manufacturing process steps to a competitor abroad. In a separate, documented case, a group of employees left for a competitor with the engineering drawings, CAD files, and build sheets with them, because owning the finished product was not enough to reproduce it; the design documents...

Begin with what the courts already know. In 2026, a court sentenced an engineer at a major memory-chip maker to seven years in prison...

Key Takeaways In recent cases, insiders deliberately switched to photographing their screens with a phone, specifically because a photo leaves none of the traces a file transfer does. Insider risk now costs the average organization $19.5M a year, up 123% since 2018, and data exfiltration spikes 720% in the 24 hours before a layoff. Fasoo Smart Screen changes the decision itself. A screen that visibly carries the viewer’s name, IP, and time tells a...

Key Takeaways In recent cases, insiders deliberately switched to photographing their screens with a phone, specifically because a photo leaves none of the traces...

The two questions every incident comes down to The hardest moment in a data incident is rarely the discovery. It is the morning after, when the regulator’s letter arrives, the litigation hold goes out, and the executive team asks two deceptively simple questions. What data actually left? And can we show we did what was reasonable to protect it? For information that lived on the network, a bank can usually reconstruct an answer from...

The two questions every incident comes down to The hardest moment in a data incident is rarely the discovery. It is the morning after,...

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