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EXCLUSIVE: Stephanie Link On The Next Big Disruptors In Cybersecurity

Benzinga ·  02:20

As the cybersecurity industry evolves, new disruptors are emerging that could reshape the landscape.

Stephanie Link, chief investment strategist and portfolio manager at Hightower Advisors, shared some exclusive insights with Benzinga, highlighting the key challenges and opportunities for investors.

Generative AI, Quantum Computing & Consolidation

Three significant disruptors are poised to impact the cybersecurity sector:

  • Generative AI
  • Quantum computing
  • Consolidation.

"Generative AI has become a race," Link notes, with companies like CrowdStrike Holdings Inc (NASDAQ:CRWD), Palo Alto Networks Inc (NASDAQ:PANW), Forntinet Inc (NASDAQ:FTNT), SentinelOne Inc (NASDAQ:S), International Business Machines Corp (NASDAQ:IBM), Google's parent Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL), and Amazon.com Inc (NASDAQ:AMZN) actively expanding their use of AI in products and systems.

"Time will tell who the major winners will be in this space," she adds.

Quantum computing threatens traditional encryption methods, with leaders like IBM, Google, Amazon, and Microsoft Corp (NASDAQ:MSFT) at the forefront of this technology. "This could pose a threat to current cybersecurity protocols," warns Link.

Consolidation is another factor, as big players like Google, Amazon, Meta Platforms Inc (NASDAQ:META), and Microsoft eye smaller cybersecurity firms to enhance their offerings.

"They are not afraid to spend money to increase their market share," Link observes.

Read Also: Palo Alto, CrowdStrike, Zscaler 'Will Only Get Bigger' Says Expert: Cybersecurity Market Projected To Hit $2 Trillion By 2030

How Investors Can Position Themselves

Link emphasizes the importance of staying informed in this rapidly changing industry. "These changes are happening rapidly, and there are many companies to track," she advises. "Owning the best operators has always been a favorite strategy of ours."

By focusing on leading companies and emerging technologies, investors can capitalize on the opportunities presented by these disruptors.

  • Jim Cramer Joins Multiple Analysts Calling The Bottom In CrowdStrike Stock

Photo: Song_about_summer via Shutterstock

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