Arqit Launches Encryption Intelligence Service
Arqit Quantum has launched its new Encryption Intelligence service as a part of its Symmetric Key Agreement Platform. This service helps organizations identify and mitigate network risks arising from quantum computing threats. The announcement follows Arqit's first paid contract with an international telecom operator. The U.S. government’s National Security Memorandum 10 mandates organizations to inventory cryptographic vulnerabilities, driving demand for Arqit’s automated solution. CEO David Williams emphasized that the service pinpoints and addresses cybersecurity issues effectively, meeting rising demands prompted by regulatory requirements.
- Launch of Encryption Intelligence service enhancing Arqit's product portfolio.
- Secured first paid contract with an international telecom network operator.
- Service aligns with U.S. government mandates, increasing market demand.
- Automated solution simplifies compliance with National Security Memorandum 10.
- No financial data disclosed to measure potential revenue impact.
Insights
Arqit's launch of the Encryption Intelligence service is a noteworthy development in cybersecurity. This service is designed to assist organizations in identifying weaknesses within their network, a critical task given the ever-increasing sophistication of cyber threats. The timing aligns well with the U.S. government's National Security Memorandum 10, which requires organizations to inventory their cryptographic systems. This can potentially drive significant demand for Arqit’s service in the short-term.
From a technical standpoint, the integration with Arqit's existing Symmetric Key Agreement Platform is a smart move. The ability to automate the identification of vulnerabilities and offer a cohesive solution to address these issues can streamline the cybersecurity process for organizations. Moreover, this service can help companies transition smoothly to quantum-resistant cryptographic systems, a critical step as quantum computing evolves.
However, it's worth noting that the adoption curve for new cybersecurity technologies can be steep and Arqit will need to build trust and demonstrate the efficacy of their solution in real-world scenarios. Potential investors should keep an eye on customer feedback and any reports of successful deployments to gauge the service's true impact.
The commercial launch of Arqit's Encryption Intelligence service is significant in the context of market trends and regulatory drivers. The U.S. government's mandate for organizations to inventory their cryptographic systems underscores the urgent need for cybersecurity solutions like Arqit's. This regulatory push can accelerate market demand, positioning Arqit well to capture a growing share of the cybersecurity market.
From a market perspective, securing the first paid contract with an international telecoms network operator serves as a validation of the product's value proposition. This can potentially pave the way for more contracts, especially within industries bound by stringent security regulations. Investors should monitor Arqit's sales pipeline and contract wins as indicators of market traction and revenue growth.
While the regulatory environment creates a favorable backdrop, Arqit faces competition from established cybersecurity players. Differentiating its offering through technological superiority and effective marketing will be important for sustained success. The company's ability to scale operations and maintain service quality will also be key factors influencing its market position.
LONDON, June 20, 2024 (GLOBE NEWSWIRE) -- Arqit Quantum Inc. (Nasdaq: ARQQ, ARQQW) (Arqit), a leader in quantum-safe encryption, announces the full commercial launch of a new feature of its Symmetric Key Agreement Platform, the “Encryption Intelligence” service. Encryption Intelligence assists organizations in identifying network risks and developing mitigation plans to enhance their security posture against current and evolving cybersecurity threats. Arqit secured its first paid contract for this feature with an international telecoms network operator.
In the USA, the government required organisations (in National Security Memorandum 10) to build an inventory of cryptography used in their networks to gain an understanding of where the vulnerabilities to quantum computing attack exist and this is becoming a widespread requirement internationally. By using Arqit's Encryption Intelligence, organizations can do this in an automated manner. The product is highly complementary to Arqit Symmetric Key Agreement Platform, which is the logical solution to the problems identified by Encryption Intelligence.
David Williams, Arqit's Founder, Chairman, and CEO, stated, "To fix a problem comprehensively, you need to know where it is. Arqit Encryption Intelligence makes it very easy for CISOs to do this. Because of the Government requirement we saw rising demand for the service. We diagnose the scale of the problem, then fix it."
Notes to Editors
Call to Action
Discover how Arqit's Encryption Intelligence service can fortify your organization’s cybersecurity.
Reference
The White House instructed National Security Systems to use Symmetric Keys
“Within 180 days of the date of this memorandum, and on an ongoing basis, the Director of OMB, in consultation with the Director of CISA, the Director of NIST, the National Cyber Director, and the Director of NSA, shall establish requirements for inventorying all currently deployed cryptographic systems, excluding National Security Systems (NSS). These requirements shall include a list of key information technology (IT) assets to prioritize, interim benchmarks, and a common (and preferably automated) assessment process for evaluating progress on quantum-resistant cryptographic migration in IT systems.”
About Arqit
Arqit Quantum Inc. (Nasdaq: ARQQ, ARQQW) (Arqit) supplies a unique encryption software service which makes the communications links of any networked device, cloud machine or data at rest secure against both current and future forms of attack on encryption – even from a quantum computer. Compatible with NSA CSfC Components and meeting the demands of NSA CSfC Symmetric Key Management Requirements Annexe 1.2. and RFC 8784, Arqit’s Symmetric Key Agreement Platform uses a lightweight software agent that allows end point devices to create encryption keys locally in partnership with any number of other devices. The keys are computationally secure and facilitate Zero Trust Network Access. It can create limitless volumes of keys with any group size and refresh rate and can regulate the secure entrance and exit of a device in a group. The agent is lightweight and will thus run on the smallest of end point devices. The product sits within a growing portfolio of granted patents. It also works in a standards compliant manner which does not oblige customers to make a disruptive rip and replace of their technology. Arqit is winner of two GSMA Global Mobile Awards, The Best Mobile Security Solution and The CTO Choice Award for Outstanding Mobile Technology, at Mobile World Congress 2024, recognised for groundbreaking innovation at the 2023 Institution of Engineering and Technology Awards and winner of the National Cyber Awards’ Innovation in Cyber Award and the Cyber Security Awards’ Cyber Security Software Company of the Year Award. Arqit is ISO 27001 Standard certified. www.arqit.uk
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Arqit: pr@arqit.uk
Investor relations enquiries:
Arqit: investorrelations@arqit.uk
Gateway: arqit@gateway-grp.com
Caution About Forward-Looking Statements
This communication includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. These forward-looking statements are based on Arqit’s expectations and beliefs concerning future events and involve risks and uncertainties that may cause actual results to differ materially from current expectations. These factors are difficult to predict accurately and may be beyond Arqit’s control. Forward-looking statements in this communication or elsewhere speak only as of the date made. New uncertainties and risks arise from time to time, and it is impossible for Arqit to predict these events or how they may affect it. Except as required by law, Arqit does not have any duty to, and does not intend to, update or revise the forward-looking statements in this communication or elsewhere after the date this communication is issued. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this communication may not occur. Uncertainties and risk factors that could affect Arqit’s future performance and cause results to differ from the forward-looking statements in this release include, but are not limited to: (i) the outcome of any legal proceedings that may be instituted against the Arqit, (ii) the ability to maintain the listing of Arqit’s securities on a national securities exchange, (iii) changes in the competitive and regulated industries in which Arqit operates, variations in operating performance across competitors and changes in laws and regulations affecting Arqit’s business, (iv) the ability to implement business plans, forecasts, and other expectations, and identify and realise additional opportunities, (v) the potential inability of Arqit to successfully deliver its operational technology, (vi) the risk of interruption or failure of Arqit’s information technology and communications system, (vii) the enforceability of Arqit’s intellectual property, and (viii) other risks and uncertainties set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in Arqit’s annual report on Form 20-F (the “Form 20-F”), filed with the U.S. Securities and Exchange Commission (the “SEC”) on 21 November 2023 and in subsequent filings with the SEC. While the list of factors discussed above and in the Form 20-F and other SEC filings are considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realisation of forward-looking statements.
FAQ
What is Arqit's Encryption Intelligence service?
When did Arqit launch the Encryption Intelligence service?
How does Arqit's Encryption Intelligence service comply with U.S. government mandates?
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Why is there rising demand for Arqit's Encryption Intelligence service?
