The old cybersecurity model is breaking down
Original: The old cybersecurity model is breaking
Why This Matters
A top-tier VC doubling down on AI-native security signals where institutional capital is flowing next.
Index Ventures partner Shardul Shah, who backed Wiz through six rounds before Google acquired it for $32B, argues on TechCrunch's Equity podcast that periodic, human-in-the-loop security can no longer keep pace with AI-native threats — and that investors are responding with nine-figure bets on startups like Instinct and Simile.
On a 31-minute episode of TechCrunch's Equity podcast, Index Ventures partner Shardul Shah joins host Rebecca Bellan to explain why the traditional cybersecurity model — built on periodic audits and human oversight — is failing in an AI-native environment. Shah has spent nearly two decades investing in cybersecurity and enterprise software. His most notable bet: six consecutive funding rounds in cloud security startup Wiz, which Google acquired earlier this year for $32 billion in one of its largest deals ever.
Shah argues that rogue AI agents and accelerating threat surfaces make human-in-the-loop security fundamentally too slow. Index is responding by backing AI-native security companies at earlier stages and higher valuations than would have been justified just a few years ago. The podcast points to Instinct and Simile as examples of startups now commanding nine-figure checks and valuations. The episode is available on YouTube, Apple Podcasts, Spotify, and Overcast.