The giant models threaten to wipe out classic cybersecurity companies. Who will survi
The giant models threaten to wipe out classic cybersecurity companies. Who will survi
https://www.calcalistech.com/ctechnews/article/rjnsdxexgx
Publish Date: 2026-05-24 03:33:00
Source Domain: www.calcalistech.com
Over the past few weeks, the global cybersecurity industry has been hit by an upheaval that goes well beyond the usual response to a technology announcement. The drop in market value of publicly traded cyber companies, following the unveiling of dedicated cybersecurity models from the AI giants, among them Claude Mythos and GPT-5.4-Cyber, signals the opening shot of a deep paradigm shift in the industry. For the Israeli cybersecurity sector, which spent the past decade establishing itself as a global power, this represents an inflection point that forces a rethinking of where its competitive advantage lies in light of these tools. The question echoing through the market is whether generative AI is rendering the cybersecurity industry, as we have known it, irrelevant.
The Erosion of the Traditional Cybersecurity Model
For years, the cybersecurity industry was built around the detection problem. Most of the technological innovation and the capital poured into the field went toward one thing: the ability to find “the needle in the haystack”, to spot anomalies and weaknesses inside mountains of data, whether in code, in the cloud, or in identities. The new models from the AI giants moved exactly into this territory. Their ability to run analytics and detect vulnerabilities at broad scale turns a sizable share of today’s detection products into a commodity. Companies and startups that built their entire differentiation on training a dedicated detection model now find themselves challenged by generic models that deliver comparable performance, and the resources they invested into training a proprietary model become a dead weight rather than an asset.
This shift also creates a dangerous asymmetry between attacker and defender. The ability to detect weaknesses cuts both ways. Artificial intelligence is a powerful working tool for defense, but it is just as much of a force multiplier for attack. The capacity to locate breaches in next to no time hands the advantage to…
