Growing Security Risk Of AI Vendor Insolvency
Professional Security Magazine, Friday, December 5th, 2025
AI regulation is becoming an increasingly urgent topic - and for good reason, says Sam Kirkman, Director of Services for EMEA at the cyber firm NetSPI.
Adoption of third-party AI tools has surged across industries, embedding themselves into everything from security operations to customer systems. Yet, many CIOs and senior decision makers are overlooking a critical and fast emerging risk that comes with this rapid, widespread adoption: what happens when your AI provider goes bankrupt? Despite the vast capital being injected into AI startups - about $32.9 billion in the first half of 2025 - many are operating at a loss. Combine this with the growing speculation of an 'AI bubble' burst and you end up with a data network under threat.