Daily Tech Digest - February 04, 2026


Quote for the day:

"The struggle you're in today is developing the strength you need for tomorrow." -- Elizabeth McCormick



A deep technical dive into going fully passwordless in hybrid enterprise environments

Before we can talk about passwordless authentication, we need to address what I call the “prerequisite triangle”: cloud Kerberos trust, device registration and Conditional Access policies. Skip any one of these, and your migration will stall before it gains momentum. ... Once your prerequisites are in place, you face critical architectural decisions that will shape your deployment for years to come. The primary decision point is whether to use Windows Hello for Business, FIDO2 security keys or phone sign-in as your primary authentication mechanism. ... The architectural decision also includes determining how you handle legacy applications that still require passwords. Your options are limited: implement a passwordless-compatible application gateway, deprecate the application entirely or use Entra ID’s smart lockout and password protection features to reduce risk while you transition. ... Start with a pilot group — I recommend between 50 and 200 users who are willing to accept some friction in exchange for security improvements. This group should include IT staff and security-conscious users who can provide meaningful feedback without becoming frustrated with early-stage issues. ... Recovery mechanisms deserve special attention. What happens when a user’s device is stolen? What if the TPM fails? What if they forget their PIN and can’t reach your self-service portal? Document these scenarios and test them with your help desk before full rollout. 


When Cloud Outages Ripple Across the Internet

For consumers, these outages are often experienced as an inconvenience, such as being unable to order food, stream content, or access online services. For businesses, however, the impact is far more severe. When an airline’s booking system goes offline, lost availability translates directly into lost revenue, reputational damage, and operational disruption. These incidents highlight that cloud outages affect far more than compute or networking. One of the most critical and impactful areas is identity. When authentication and authorization are disrupted, the result is not just downtime; it is a core operational and security incident. ... Cloud providers are not identity systems. But modern identity architectures are deeply dependent on cloud-hosted infrastructure and shared services. Even when an authentication service itself remains functional, failures elsewhere in the dependency chain can render identity flows unusable. ... High availability is widely implemented and absolutely necessary, but it is often insufficient for identity systems. Most high-availability designs focus on regional failover: a primary deployment in one region with a secondary in another. If one region fails, traffic shifts to the backup. This approach breaks down when failures affect shared or global services. If identity systems in multiple regions depend on the same cloud control plane, DNS provider, or managed database service, regional failover provides little protection. In these scenarios, the backup system fails for the same reasons as the primary.


The Art of Lean Governance: Elevating Reconciliation to Primary Control for Data Risk

In today's environment comprising of continuous data ecosystems, governance based on periodic inspection is misaligned with how data risk emerges. The central question for boards, regulators, auditors, and risk committees has shifted: Can the institution demonstrate at the moment data is used that it is accurate, complete, and controlled? Lean governance answers this question by elevating data reconciliation from a back-office cleanup activity to the primary control mechanism for data risk reduction. ... Data profiling can tell you that a value looks unusual within one system. It cannot tell you whether that value aligns with upstream sources, downstream consumers, or parallel representations elsewhere in the enterprise.  ... Lean governance reframes governance as a continual process-control discipline rather than a documentation exercise. It borrows from established control theory: Quality is achieved by controlling the process, not by inspecting outputs after failures. Three principles define this approach: Data risk emerges continuously, not periodically; Controls must operate at the same cadence as data movement; and Reconciliation is the control that proves process integrity. ... Data profiling is inherently inward-looking. It evaluates distributions, ranges, patterns, and anomalies within a single dataset. This is useful for hygiene, but insufficient for assessing risk. Reconciliation is inherently relational. It validates consistency between systems, across transformations, and through the lifecycle of data.


Working with Code Assistants: The Skeleton Architecture

Critical non-functional requirements- such as security, scalability, performance, and authentication- are system-wide invariants that cannot be fragmented. If every vertical slice is tasked with implementing its own authorization stack or caching strategy, the result is "Governance Drift": inconsistent security postures and massive code redundancy. This necessitates a new unifying concept: The Skeleton and The Tissue. ... The Stable Skeleton represents the rigid, immutable structures (Abstract Base Classes, Interfaces, Security Contexts) defined by the human although possibly built by the AI. The Vertical Tissue consists of the isolated, implementation-heavy features (Concrete Classes, Business Logic) generated by the AI. This architecture draws on two classical approaches: actor models and object-oriented inversion of control. It is no surprise that some of the world’s most reliable software is written in Erlang, which utilizes actor models to maintain system stability. Similarly, in inversion of control structures, the interaction between slices is managed by abstract base classes, ensuring that concrete implementation classes depend on stable abstractions rather than the other way around. ... Prompts are soft; architecture is hard. Consequently, the developer must monitor the agent with extreme vigilance. ... To make the "Director" role scalable, we must establish "Hard Guardrails"- constraints baked into the system that are physically difficult for the AI to bypass. These act as the immutable laws of the application.


8-Minute Access: AI Accelerates Breach of AWS Environment

A threat actor gained initial access to the environment via credentials discovered in public Simple Storage Service (S3) buckets and then quickly escalated privileges during the attack, which moved laterally across 19 unique AWS principals, the Sysdig Threat Research Team (TRT) revealed in a report published Tuesday. ... While the speed and apparent use of AI were among the most notable aspects of the attack, the researchers also called out the way that the attacker accessed exposed credentials as a cautionary tale for organizations with cloud environments. Indeed, stolen credentials are often an attacker's initial access point to attack a cloud environment. "Leaving access keys in public buckets is a huge mistake," the researchers wrote. "Organizations should prefer IAM roles instead, which use temporary credentials. If they really want to leverage IAM users with long-term credentials, they should secure them and implement a periodic rotation." Moreover, the affected S3 buckets were named using common AI tool naming conventions, they noted. The attackers actively searched for these conventions during reconnaissance, enabling them to find the credentials quite easily, they said. ... During this privilege-escalation part of the attack — which took a mere eight minutes — the actor wrote code in Serbian, suggesting their origin. Moreover, the use of comments, comprehensive exception handling, and the speed at which the script was written "strongly suggests LLM generation," the researchers wrote.


Ask the Experts: The cloud cost reckoning

According to the 2025 Azul CIO Cloud Trends Survey & Report, 83% of the 300 CIOs surveyed are spending an average of 30% more than what they had anticipated for cloud infrastructure and applications; 43% said their CEOs or boards of directors had concerns about cloud spend. Moreover, 13% of surveyed CIOs said their infrastructure and application costs increased with their cloud deployments, and 7% said they saw no savings at all. Other surveys show CIOs are rethinking their cloud strategies, with "repatriation" -- moving workloads from the cloud back to on-premises -- emerging as a viable option due to mounting costs. ... "At Laserfiche we still have a hybrid environment. So we still have a colocation facility, where we house a lot of our compute equipment. And of course, because of that, we need a DR site because you never want to put all your eggs in that one colo. We also have a lot of SaaS services. We're in a hyperscaler environment for Laserfiche cloud. "But the reason why we do both is because it actually costs us less money to run our own compute in a data center colo environment than it does to be all in on cloud." ,,, "The primary reason why the [cloud] costs have been increasing is because our use of cloud services has become much more sophisticated and much more integrated. "But another reason cloud consumption has increased is we're not as diligent in managing our cloud resources in provisioning and maintaining."


NIST develops playbook for online use cases of digital credentials in financial services

The objective is to develop what a panel description calls a “playbook of standards and best practices that all parties can use to set a high bar for privacy and security.” “We really wanted to be able to understand, what does it actually take for an organization to implement this stuff? How does it fit into workflows? And then start to think as well about what are the benefits to these organizations and to individuals.” “The question became, what was the best online use case?” Galuzzo says. “At which point our colleagues in Treasury kind of said, hey, our online banking customer identification program, how do we make that both more usable and more secure at the same time? And it seemed like a really nice fit. So that brought us to both the kind of scope of what we’re focused on, those online components, and the specific use case of financial services as well.” ... The model, he says, “should allow you to engage remotely, to not have to worry about showing up in person to your closest branch, should allow for a reduction in human error from our side and should allow for reduction in fraud and concern over forged documents.” It should also serve to fulfil the bank’s KYC and related compliance requirements. Beyond the bank, the major objective with mDLs remains getting people to use them. The AAMVA’s Maru points to his agency’s digital trust service, and to its efforts in outreach and education – which are as important in driving adoption as anything on the technical side. 


Designing for the unknown: How flexibility is reshaping data center design

Rapid advances in compute architectures – particularly GPUs and AI-oriented systems – are compressing technology cycles faster than many design and delivery processes can respond. In response, flexibility has shifted from a desirable feature to the core principle of successful data center design. This evolution is reshaping how we think about structure, power distribution, equipment procurement, spatial layout, and long-term operability. ... From a design perspective, this means planning for change across several layers: Structural systems that can accommodate higher equipment loads without reinforcement; Spatial layouts that allow reconfiguration of white space and service zones; and Distribution pathways that support future modifications without disrupting live operations. The objective is not to overbuild for every possible scenario, but to provide a framework that can absorb change efficiently and economically. ... Another emerging challenge is equipment lead time. While delivery periods vary by system, generators can now carry lead times approaching 12 months, particularly for higher capacities, while other major infrastructure components – including transformers, UPS modules, and switchgear – typically fall within the 30- to 40-week range. Delays in securing these items can introduce significant risk when procurement decisions are deferred until late in the design cycle.


Onboarding new AI hires calls for context engineering - here's your 3-step action plan

In the AI world, the institutional knowledge is called context. AI agents are the new rockstar employees. You can onboard them in minutes, not months. And the more context that you can provide them with, the better they can perform. Now, when you hear reports that AI agents perform better when they have accurate data, think more broadly than customer data. The data that AI needs to do the job effectively also includes the data that describes the institutional knowledge: context. ... Your employees are good at interpreting it and filling in the gaps using their judgment and applying institutional knowledge. AI agents can now parse unstructured data, but are not as good at applying judgment when there are conflicts, nuances, ambiguity, or omissions. This is why we get hallucinations. ... The process maps provide visibility into manual activities between applications or within applications. The accuracy and completeness of the documented process diagrams vary wildly. Front-office processes are generally very poor. Back-office processes in regulated industries are typically very good. And to exploit the power of AI agents, organizations need to streamline them and optimize their business processes. This has sparked a process reengineering revolution that mirrors the one in the 1990s. This time around, the level of detail required by AI agents is higher than for humans.


Q&A: How Can Trust be Built in Open Source Security?

The security industry has already seen examples in 2025 of bad actors deploying AI in cyberattacks – I’m concerned that 2026 could bring a Heartbleed- or Log4Shell-style incident involving AI. The pace at which these tools operate may outstrip the ability of defenders to keep up in real time. Another focus for the year ahead: how the Cyber Resilience Act (CRA) will begin to reshape global compliance expectations. Starting in September 2026, manufacturers and open source maintainers must report exploited vulnerabilities and breaches to the EU. This is another step closer to CRA enforcement and other countries like Japan, India and Korea are exploring similar legislation. ... The human side of security should really be addressed just as urgently as the technical side. The way forward involves education, tooling and cultural change. Resilient human defences start with education. Courses from the Linux Foundation like Developing Secure Software and Secure AI/ML‑Driven Software Development equip users with the mindset and skills to make better decisions in an AI‑enhanced world. Beyond formal training, reinforcing awareness creating a vigilant community is critical. The goal is to embed security into culture and processes so that it’s not easily overlooked when new technology or tools roll around. ... Maintainers and the community projects they lead are struggling without support from those that use their software.

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