Daly Tech Digest - August 20, 2025


Quote for the day:

"Real difficulties can be overcome; it is only the imaginary ones that are unconquerable." -- Theodore N. Vail


Asian Orgs Shift Cybersecurity Requirements to Suppliers

Cybersecurity audits need to move away from a yearly or quarterly exercise to continuous evaluation, says Security Scorecard's Cobb. As part of that, organizations should look to work with their suppliers to build a relationship that can help both companies be more resilient, he says. "Maybe you do an on-site visit or maybe you do a specific evidence gathering with that supplier, especially if they're a critical supplier based on their grade," Cobb says. "That security rating is a great first step for assessment, and it also will lead into further discussions with that supplier around what things can you do better." And yes, artificial intelligence (AI) is making inroads into monitoring third-party risk profiles as well. Consultancy EY imagines a future where multiple automated agents track information about suppliers and when an event — whether cyber, geopolitical, or meteorological — affects one or more supply chains, will automatically develop plans to mitigate the risk. Pointing out the repeated supply chain shocks from the pandemic, geopolitics, and climate change, EY argues that an automated system is necessary to keep up. When a chemical spill or a cybersecurity breach affects a supplier in Southeast Asia, for example, the system would track the news, predict the impact on a company's supply, and suggest alternate sources, if needed, the EY report stated.


The successes and challenges of AI agents

To really get the benefits, businesses will need to redesign the way work is done. The agent should be placed at the center of the task, with people stepping in only when human judgment is required. There is also the issue of trust. If the agent is only giving suggestions, a person can check the results. But when the agent acts directly, the risks are higher. This is where safety rules, testing systems, and clear records become important. Right now, these systems are still being built. One unexpected problem is that agents often think they are done when they are not. Humans know when a task is finished. Agents sometimes miss that. ... Today, the real barrier goes beyond just technology. It is also how people think about agents. Some overestimate what they can do; others are hesitant to try them. The truth lies in the middle. Agents are strong with goal-based and repeatable tasks. They are not ready to replace deep human thinking yet. ... Still, the direction is clear. In the next two years, agents will become normal in customer support and software development. Writing code, checking it, and merging it will become faster. Agents will handle more of these steps with less need for back-and-forth. As this grows, companies may create new roles to manage agents, needing someone to track how they are used, make sure they follow rules, and measure how much value they bring. This role could be as common as a data officer in the future.


How To Prepare Your Platform For Agentic Commerce

APIs and MCP servers are inherently more agent-friendly but less ubiquitous than websites. They expose services in a structured, scalable way that's perfect for agent consumption. The tradeoff is that you must find a way to allow verified agents to get access to your APIs. This is where some payment processing protocols can help by allowing verified agents to get access credentials that leverage your existing authentication, rate-limiting and abuse-prevention mechanisms to ensure access doesn’t lead to spam or scraping. In many cases, the best path is a hybrid approach: Expand your existing website to allow agent-compatible access and checkout while building key capabilities for agent access via APIs or MCP servers. ... Agents work best with standardized checkouts instead of needing to dodge botblockers and captchas while filling out forms via screenscraping. They need an entirely programmatic checkout process. That means you must move beyond more brittle browser autofill and instead accept tokenized payments directly via API. These tokens can carry pre-authorized payment methods such as tokenized credit cards, digital wallets (e.g., Apple Pay and PayPal), stablecoins or on-chain assets and account-to-account transfers. When combined with identity tokens, these payment tokens allow agents to present a complete, scoped credential that you can inspect and charge instantly. Think Stripe Checkout but for AI.


AI agents alone can’t be trusted in verification

One of the biggest risks comes from what’s known as compounding errors. Even a very accurate AI system – for example, 95% – becomes far less reliable when it’s chained to a series of compounding and related decisions. By the fifth hypothetical step, accuracy would drop to 77% or less. Unlike human teams, these systems don’t raise flags or signal uncertainty. That’s what makes them so risky: when they fail, they tend to do so silently and exponentially. ... This opacity is particularly dangerous in the fight against fraud, which is only getting more advanced. In 2025, fraudsters aren’t using fake passports and bad Photoshop. They’re using AI-generated identities, videos, and documents that are nearly impossible to distinguish from the real thing. Tools like Google’s Veo 3 or open-source image generators allow anyone to produce high-quality synthetic content at scale. ... Responsible and effective use of AI means using multiple models to cross-check results to avoid the domino effect of one error feeding into the next. It means assigning human reviewers to the most sensitive or high-risk cases – especially when fraud tactics evolve faster than models can be retrained. And it means having clear escalation procedures and full audit trails that can stand up to regulatory scrutiny. This hybrid model offers the best of both worlds: the speed and scale of AI, combined with the judgment and flexibility of human experts. As fraud becomes more sophisticated, this balance will be essential. 


AI in the classroom is important for real-world skills, college professors say

The agents can flag unsupported claims in students’ writing and explain why evidence is needed and recommend the use of credible sources, Luke Behnke, vice president of product management at Grammarly, said in an interview. “Colleges recognize it’s their responsibility to prepare students for the workforce, and that now includes AI literacy,” Behnke said. Universities are also implementing AI in their own learning management systems and providing students and staff access to Google’s Gemini, Microsoft’s Copilot and OpenAI’s ChatGPT. ... Cuo asks students not to simply accept whatever results advanced genAI models spit out, as they may be riddled with factual errors and hallucinations. “Students need to select and read more by themselves to create something that people don’t recognize as an AI product,” Cuo said. Some professors are trying to mitigate AI use by altering coursework and assignments, while others prefer not to use it at all, said Paul Shovlin, an assistant professor of AI and digital rhetoric at Ohio University. But students have different requirements and use AI tools for personalized learning, collaboration, and writing, as well as for coursework workflow, Shovlin said. He stressed, however, that ethical considerations, rhetorical awareness, and transparency remain important in demonstrating appropriate use.


Automation Alert Sounds as Certificates Set to Expire Faster

Decreasing the validity time for a certificate offers multiple benefits. As previous certificate revocations have demonstrated, actually revoking every bad certificate in a timely manner, across the broad ecosystem, is a challenge. Having certificates simply expire more frequently helps address that. The CA/Browser Forum also expects an ancillary benefit of "increased consistency of quality, stability and availability of certificate lifecycle management components which enable automated issuance, replacement and rotation of certificates." While such automation won't fix every ill, the forum said that "it certainly helps." ... When it comes to getting the so-called cryptographic agility needed to manage both of those requirements, many organizations say they're not yet there. "While awareness is high, execution is lagging," says a new study from market researcher Omdia. "Many organizations know they need to act but lack clear roadmaps or the internal alignment to do so." ... For managing the much shorter certificate renewal timeframe, only 19% of surveyed organizations say they're "very prepared," with 40% saying they're somewhat prepared and another 40% saying they're not very prepared, and so far continue to rely on manual processes. "Historically, organizations have been able to get by with poor certificate hygiene because cryptography was largely static," said Tim Callan


AI Data Centers Are Coming for Your Land, Water and Power

"Think of them as AI factories." But as data centers grow in size and number, often drastically changing the landscape around them, questions are looming: What are the impacts on the neighborhoods and towns where they're being built? Do they help the local economy or put a dangerous strain on the electric grid and the environment? ... As fast as the AI companies are moving, they want to be able to move even faster. Smith, in that Commerce Committee hearing, lamented that the US government needed to "streamline the federal permitting process to accelerate growth." ... Even as big tech companies invest heavily in AI, they also continue to promote their sustainability goals. Amazon, for example, aims to reach net-zero carbon emissions by 2040. Google has the same goal but states it plans to reach it 10 years earlier, by 2030. With AI's rapid advancement, experts no longer know if those climate goals are attainable, and carbon emissions are still rising. "Wanting to grow your AI at that speed and at the same time meet your climate goals are not compatible," Good says. For its Louisiana data center, Meta has "pledged to match its electricity use with 100% clean and renewable energy" and plans to "restore more water than it consumes," the Louisiana Economic Development statement reads.


Slow and Steady Security: Lessons from the Tortoise and the Hare

In security, it seems that we are constantly confronted by the next shiny object, item du jour, and/or overhyped topic. Along with this seems to come an endless supply of “experts” ready to instill fear in us around the “revolutionized threat landscape” and the “new reality” we apparently now find ourselves in and must come to terms with. Indeed, there is certainly no shortage of distractions in our field. Some of us are likely aware of and conscious of the near-constant tendency for distraction in our field. So how can we avoid falling into the trap of succumbing to the temptation and running after every distraction that comes along? Or, to pose it another way, how can we appropriately invest our time and resources in areas where we are likely to see value and return on that investment? ... All successful security teams are governed by a solid security strategy. While the strategy can be adjusted from time to time as risks and threats evolve, it shouldn’t drift wildly and certainly not in an instant. If the newest thing demands radically altering the security strategy, it’s an indicator that it may be overblown. The good news is that a well-formed security strategy can be adapted to deal with just about anything new that arises in a steady and systematic way, provided that new thing is real.


IBM and Google say scalable quantum computers could arrive this decade

Most notable advances come from qubits built with superconducting circuits, as used in IBM and Google machines. These systems must operate near absolute zero and are notoriously hard to control. Other approaches use trapped ions, neutral atoms, or photons as qubits. While these approaches offer greater inherent stability, scaling up and integrating large numbers of qubits remains a formidable practical challenge. "The costs and technical challenges of trying to scale will probably show which are more practical," said Sebastian Weidt, chief executive at Universal Quantum, a startup developing trapped ions. Weidt emphasized that government support in the coming years could play a decisive role in determining which quantum technologies prove viable, ultimately limiting the field to a handful of companies capable of bringing a system to full scale. Widespread interest in quantum computing is attracting attention from both investors and government agencies. ... These next-generation technologies are still in their early stages, though proponents argue they could eventually surpass today's quantum machines. For now, industry leaders continue refining and scaling legacy architectures developed over years of lab research.


The 6 challenges your business will face in implementing MLSecOps

ML models are often “black boxes”, even to their creators, so there’s little visibility into how they arrive at answers. For security pros, this means limited ability to audit or verify behavior – traditionally a key aspect of cybersecurity. There are ways to circumnavigate this opacity of AI and ML systems: with Trusted Execution Environments (TEEs). These are secure enclaves in which organizations can test models repeatedly in a controlled ecosystem, creating attestation data. ... Models are not static and are shaped by the data they ingest. Thus, data poisoning is a constant threat for ML models that need to be retrained. Organizations must embed automated checks into the training process to enforce a continuously secure pipeline of data. Using information from the TEE and guidelines on how models should behave, AI and ML models can be assessed for integrity and accuracy each time they are given new information. ... Risk assessment frameworks that work for traditional software will not be applicable to the changeable nature of AI and ML programs. Traditional assessments fail to account for tradeoffs specific to ML, e.g., accuracy vs fairness, security vs explainability, or transparency vs efficiency. To navigate this difficulty, businesses must be evaluating models on a case-by-case basis, looking to their mission, use case and context to weigh their risks. 

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