AI & Data Companies

AI and data companies face risks that standard control sets often miss: prompt injection, sensitive information disclosure, model and data poisoning, supply-chain vulnerabilities, and excessive agent autonomy.

Our approach: Standard SEC Cybersecurity Disclosure readiness first. AI and data-specific hardening second. The advisory modules below are optional enhancements on top of mandatory controls.

Standard Controls vs. AI/Data Enhancements

Standard SEC Cybersecurity Disclosure Readiness

Mandatory controls required for compliance:

  • Logical access and privileged access
  • Change management
  • Incident response
  • Risk management
  • Vendor management
  • Backup and availability
  • Logging and monitoring
  • Confidentiality and privacy (where applicable)

View all control domains →

AI/Data Advisory Enhancements

Optional modules justified by AI-risk frameworks:

  • Data lineage and training data governance
  • Prompt/response telemetry
  • RAG and retrieval governance
  • Model/provider vendor review
  • Agent approval gates
  • AI-assisted SDLC controls
  • Warehouse and analytics governance

Advisory Modules

Each module adds specific controls and documentation practices to address risks unique to AI and data-intensive products.

AI-Assisted SDLC Controls

SEC disclosure requires describing cybersecurity risk management processes; AI-assisted development introduces risks that should be disclosed if material.

What This Module Adds

  • AI risk disclosure language for 10-K filings
  • Secure AI development as risk management evidence
  • Disclosure of AI-related cybersecurity incidents

Human Review & Agent Gates

Board oversight requirements extend to AI systems making decisions that could have material impact; human gates demonstrate governance maturity.

What This Module Adds

  • Board-level AI risk oversight documentation
  • AI decision escalation for materiality-sensitive operations
  • Materiality assessment framework for AI-driven incidents

Model Provider Vendor Risk

Item 106(b)(2) requires disclosing third-party risk oversight; AI model providers represent a material third-party cybersecurity risk category.

What This Module Adds

  • AI vendor risk assessment in 10-K disclosure narrative
  • Model provider concentration risk evaluation
  • AI supply chain disclosure for risk management section

Prompt & Response Logging

Incident investigation and the 4-business-day materiality determination require comprehensive audit trails including AI system interactions.

What This Module Adds

  • AI interaction forensics capability for incident response
  • Log retention aligned with SEC disclosure timelines
  • Automated anomaly detection in AI system interactions

RAG & Vector Store Controls

Data exfiltration from AI systems including RAG stores could constitute a material cybersecurity incident requiring 8-K disclosure.

What This Module Adds

  • Vector store breach detection and response procedures
  • Materiality thresholds for AI data exposure incidents
  • Incident scoping methodology for RAG and AI data systems

Training & Inference Data Governance

Data governance for AI systems is part of the overall cybersecurity risk management strategy disclosed under Item 106(b).

What This Module Adds

  • AI data risk integration into enterprise risk management framework
  • Training data breach scenario planning and materiality assessment
  • Intellectual property exposure risk evaluation for AI systems

Warehouse & Analytics Governance

Enterprise data warehouses are critical assets whose compromise could be material; governance demonstrates risk management maturity for 10-K disclosure.

What This Module Adds

  • Data warehouse inclusion in enterprise risk management scope
  • Breach materiality assessment for centralized data repositories
  • Analytics governance as a board reporting and oversight topic

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