IriusRisk reports 51 percent revenue rise from AI expansion

IriusRisk has reported remarkable growth in 2023, driven primarily by its expansion into Artificial Intelligence (AI). The industry-leading platform for automated threat modelling recorded a 51% increase in Annual Recurring Revenue (ARR) from December 2022 to December 2023.

The growth was facilitated by strategic hires and a focus on customer success in addition to their AI ventures.

The company's foray into AI is part of a broader strategy to develop advanced AI-driven threat modelling solutions. IriusRisk aims to improve the ways it assists its customers in designing secure software and systems. Notably, the company has developed solutions to model threats in machine learning and AI systems while embedding generative AI into its own product. This innovation addresses one of the key challenges in threat modelling: the time required for creating data flow diagrams.

Cyber security experts have highlighted significant concerns about the rapid development of AI, particularly its implications for cyber security. The UK's National Cyber Security Centre (NCSC) warned earlier this year that new AI tools could result in a surge of cyberattacks and make it easier for less sophisticated hackers to perpetrate digital harm.

In alignment with its AI-focused strategy, IriusRisk made significant appointments. Jose Lopez was named Head of AI in February, and Mark Watson joined as Chief Commercial Strategy Officer in August. These strategic hires have been instrumental in expanding the company's capabilities.

Adding to their achievements, IriusRisk launched its AI & ML Security Library in October. This resource allows organisations to model their machine learning software, assess security risks, and identify necessary mitigation measures before building AI systems.

The security-by-design approach enables engineering teams to understand the security requirements for constructing AI systems that comply with organisational security and data privacy policies.

Additional highlights from 2023 underscore IriusRisk's solid performance. The company boasts a high customer retention and expansion rate, with 55% of existing customers deepening their engagements. The workforce also grew by 34%, reaching 161 members by December 2023.

The company has fostered a diverse and inclusive culture, employing three times more women than the average tech company and achieving an 83% employee engagement score through the Employee Net Promoter Score (ENPS), which is 12% higher than the industry average.

The company's Threat Modeling Connect platform, which was launched in November 2022, now has 1,500 members globally. This community facilitates collaboration and knowledge-sharing among threat modelling practitioners. The platform saw a 67% increase in the number of active users and a 35% rise in the number of threat models created.

Stephen de Vries, CEO of IriusRisk, remarked, "It's been another strong year of growth for IriusRisk."

"I am particularly pleased with the enhancements made to our AI capabilities. By doing so, we have strengthened IriusRisk's capacity to deliver cutting-edge security solutions for our clients, adapting to the continually evolving cyber challenge."

"Our expansion into AI, coupled with several strategic hires, underscores our commitment to staying ahead of technological advancements and bolstering defences against emerging cyber threats," de Vries added.