Business of Tech: Daily 10-Minute IT Services Insights

N Korean IT Hires, Crowdstrike Testimony, AI Compliance, and Mobile Voting

Sep 27, 2024

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We start with a troubling report revealing that numerous Fortune 100 companies have unknowingly hired North Korean IT workers using fake identities. These workers, often based in China or Russia, have gained access to sensitive systems, raising significant concerns about potential cyber attacks. The episode emphasizes the urgent need for companies to adopt stricter hiring practices, including thorough background checks and identity verification, as U.S. law enforcement takes action against those facilitating this scheme.

The episode also covers CrowdStrike's recent testimony before Congress following a significant outage that was not attributed to a cyber attack. Senior Vice President Adam Myers explained that a combination of issues led to the incident, prompting the company to implement new safeguards and offer $60 million in customer credits. Lawmakers are pushing for greater accountability in cybersecurity, discussing potential legal reforms to hold software providers liable for negligence. This scrutiny reflects a pivotal moment in the cybersecurity landscape, where accountability and transparency are becoming increasingly essential.

Additionally, the U.S. Department of Justice has updated its compliance guidelines to include the use of AI, emphasizing the need for companies to assess AI's potential risks and ensure compliance with criminal laws. Compliance officers are now expected to address AI's impact on legal compliance, highlighting the importance of proactive monitoring and risk management. The National Institute of Standards and Technology is also proposing new cybersecurity guidelines focused on identity proofing and fraud detection, urging organizations to adopt AI governance programs to enhance security.

Finally, the episode touches on broader technological trends, including mobile voting and the quest for ROI on AI. Tech investor Bradley Tusk advocates for mobile voting as a means to increase voter turnout, while another article discusses the importance of breaking down enterprise silos to achieve meaningful returns on AI investments. The episode concludes with a look at the Content Authenticity Initiative led by Adobe, aimed at ensuring the authenticity of AI-generated content, and the unexpected outcomes of self-service kiosks in fast food chains, which have not led to significant job losses but have changed operational dynamics.

Four things to know today

00:00 Fortune 100 Firms Unknowingly Hire North Korean Workers, Exposing Critical Gaps in Cybersecurity Hiring Practices

03:14 Perfect Storm or Negligence? CrowdStrike's Outage Highlights Potential Shift in Cyber Liability

04:58 "If Your AI Does the Crime, You’ll Do the Time": DoJ’s New Compliance Guidelines Target AI Risks

08:07 From Mobile Voting to AI ROI: Big Ideas Driving Technology, Security, and Trust in the Digital Age

Supported by: https://mspradio.com/engage/

Event: www.smbTechFest.com/Go/Sobel