What’s Holding Back Enterprise AI — With Shiv Ramji
Channel: Alex Kantrowitz
Published at: 2025-09-25
YouTube video id: PjKCzIeCzCo
Source: https://www.youtube.com/watch?v=PjKCzIeCzCo
Let's talk about why businesses are still struggling to get AI right and what they can do to fix it. We're joined today by Shiv Ramji, the president of Ozero at Octa in a conversation today brought to you by Octa. Shiv, great to see you. Welcome to the show. >> Thank you so much for having me. >> Thanks for being here in studio with us. Uh we talk all the time about businesses seeing the potential of generative AI but struggling to bring it to market. There was an MIT study that 95% of businesses that are trying to implement AI aren't doing so uh profitable with profitability and you recently spoke to a room about this. Uh what did you find? >> Yeah. So we just we talk to customers all all the time and we I pulled uh everybody in the room and said you know how many of you are uh experimenting with AI or prototyping and you could see like 80% of the room lit up and hands were up and I said keep your hands up if these experiments or prototypes are in production and you could see only a few hands uh remained and so uh when digging into kind of well why is that and it turns out it's a lot of security concerns and so you know with AI what happens is because these AI chat bots or uh agents that you create are non-deterministic and can really go access any system I think a lot of CIOS CTOs are kind of nervous because there is so much of their internal infrastructure that may not be protected remember in a traditional application like if you're using an app today whether it's at work or if it's a consumer app what you can do in the application is very deterministic like you know you can search for something maybe you can update uh your own information or you can order something but you can't instruct their application to just go out there and do you know reasoning and research and maybe come back to you and go out there again and do more. So it's it's a very non-deterministic access pattern and so I think this creates a whole host of risks for uh a lot of the customers and companies that we talk to who are really nervous in implementing these agents uh in production without a lot of guard rails. So, can I ask you is it the businesses that are that are playing with this technology? It's not just that they're using AI to go navigate current systems. It's that the potential they see with AI is effectively to rewrite the entire basis of software that they're working with. Because if you just had AI navigating current apps, then the these problems wouldn't be a major issue. But if you're trying to rewrite something to make it useful for artificial intelligence, that's where you run into these problems. >> Exactly. And I think actually that's the power of AI which is because these agents are non-deterministic and can do reasoning on our behalf and practically and talk to any uh machine interface. And what I mean by machine interface is it can be an API. It could be a document that's on your on your Google Drive or Microsoft Drive if that's the product that you're using. uh or it could be internal wiki and can can also access the open web, right? So, so now um and that's really really powerful and so everybody recognized like wow you can do a lot of amazing things with these agents or chat bots but there is also a risk that now the chatbot can access in sensitive information you know I always think of like imagine if we're all working in a company and I have a chatbot that's doing some HR tasks and imagine if somebody could ask the HR task can say, "Hey, can you go see uh Shiv's salary information?" Well, that is very private sensitive information. But imagine if that was exposed to somebody who was not supposed to have access to that information. That could be catastrophic. And there are already examples of this by the way. I mean, I you know, one recent one that comes to mind uh is um sometime in the summer, you know, McDonald's had a breach with their with their with their chatbot. So the chatbot kind of processing uh applications for people who want to work at at McDonald's and there were several issues you know everything from an internal API was exposed internally uh the admin account password was 1 2 3 4 which is you know >> high security password >> exactly you know so not secure at all right >> um and and so and so you see these are the types of things that I think uh companies have to be really careful out careful and so I think that's kind of one example of like you know sensitive and so millions of applicant information was just leaked uh from this from this chatbot catastrophic yeah >> yeah it is interesting there was another example I think of uh people in one of these chatbot applications asking um some questions about their company and then the chatbot because it had access then sharing uh answers from the CEO's emails. Yes. >> Um, so this is something that's happening all the time. So I want to make sure that I nail this because I think this is important. >> So your what you're saying to us today is that um we talk about this stat all the time that there's so many only I think only 20% of uh AI builds make it into production. That might be generous. >> Um so what you're saying is it's not the technology holding uh holding back these companies from rolling it out. it is the security and access issues that come uh that come into play when you're starting to roll out this you know uh probabilistic ter uh technology. >> Yeah. Yeah. The way I think I like to frame this very simply because it's very easy to understand. So um the first thing you want to understand whether it's a chatbot or an agent um is that you know who who should have access to this information and this is the classic um uh identity and access management problem. So if if you have an agent working on your behalf, we want to make sure well that the agent is authenticated but the agent is valid. We also want to authenticate you with the agent that the and you are authorizing the agent to do stuff on your behalf. So this is like the who part of the equation and then comes like well what can the agent do? Hopefully if the agent is working on your behalf the only thing an agent can access are things that you have access to right? Uh but if the agent goes and access to information that you were not supposed to have access to that's a problem. So like what can they access and do is um is really really uh important. So all of this basically is the classic identity and access management problem. But I think with agents things go a little bit further which is now you need much much finer grain authorization. Right? So today we have systems that will do coar grain uh authorization and what I mean by that is Alex is part of a certain group and that group can read these documents or Alex is part of this group that group can write but we all know today like just think about what you do in at work every day and kind of the the myriad of applications you're accessing. Well, in some apps you can read, maybe you can write, maybe you can view, maybe you can comment and in some cases you're the owner so you can do everything. So the the whole web of permissions get very very complicated and by the way they get updated in real time. So, so you know identity is kind of the uh the core the first problem that we need to solve and then the second problem is kind of authorization or kind of what do you have access and what can you do with that information? >> It sounds like it's a real issue because you tell me if I'm wrong here. My understanding about the way that AI is being implemented today in organizations often times it's coming bottom up. Um, yes, the CEOs are saying, "Can we have a course an AI strategy?" And they're pushing it down on leadership, but oftentimes it's somebody that really knows AI uh quite well, has been listening to this show, has been following the news, has been experimenting on their own, and sees a use within their organization and wants to do, let's say, a contract uh with an open AI or an anthropic to use the API and and implement it. Um the problem is when they start to get these projects underway, they start running into some of these issues uh that you're talking about and that's when you really need it's who do you need buy in from to be able to get this get this underway? I I think right now in most companies uh you know I think uh the chief uh information security officers or chief security officers are the ones who are who are tasked with figuring all this out >> and um and usually they don't even have the inventory of all the internal APIs that can be exposed right >> it's like total new territory it's new territory this is not what they sort of if you've been working for 10 years >> this is brand new for you >> this is brand new and and By the way, it's it's not their fault candidly because >> remember applications up until today, you know, the application was a front door. You really controlled what once Alex logged in, you really the app controlled what you can access, what data, what database, but in the world of AI agents and chatbots, I mean, they can go query if a database is open, it will go query that database if if it's relevant for the type of task you have asked. So I think the this is really burdensome for uh CISOs and CIOS and and CSOS because they're like wait a minute we don't even have an inventory of all the systems that we have let alone which ones are secure or not. And so this becomes a pretty tricky problem for them to navigate and figure out. And so they're the ones who are essentially now tasked with locking the systems down or essentially ensuring that there are enough guard rails in place so that these these projects can go into uh into production. >> Right. And uh we were speaking previously you told me that only 10% of companies overall have an AI governance process set into place. >> Correct. So I mean talk a little bit about how what is an AI governance uh process or or document and and how does that how does not having one sort of hold a company back. >> Yeah. So I think I think different companies approach this differently. There is no one way to solve this. Obviously the a few frameworks uh companies are deploying but essentially you want to have it's it's not even AI governance. It's really data governance. So you want to make sure that all of your systems that are housing you know like sensitive data or or critical data that there is a system to make sure that only people who should have access to it have access to it. Now there are different levels of sensitivity right like if somebody just accessed some meeting notes uh for a team that may not be as consequential but imagine uh if I was in a meeting and I was talking about a customer and the customer information was accessed by somebody that could be problematic. My other example was, you know, my salary information was disclo disclosed. That could be problematic. Or if a team is working on a confidential M&A, right? They're trying to buy a company and that project name or the company name got kind of exposed internally. That would be problematic. And so I think a lot of companies, you know, a good practice has been classifying the different types of sensitive information you have in the company and then really making sure that all access to that information is really locked down and you have this centralized way of uh managing permissions so that whether it's an app you create or an agent or a chatbot that it is essentially going through your centralized um framework for policies of who can access what information. So in and a lot of companies today you know they may have classification for customer data for example that's pretty common right um but they don't have a classification for all the internal stuff and internally in companies we all know we have act we have documents that we write we post to we have wiki pages internally we have some internal databases we may even have APIs that are just internal only they're not meant for external exposure um and in a in the traditional in previous world we'd have thought well I don't need to worry about this and I think now you actually have to worry about all of those endpoints that I just talked about because those those are all things that a chatbot can access and >> information can leak through any one of those uh avenues. >> Yeah. So we've been talking a lot of uh maybe gloom and doom or like all the problems with AI. So I'm actually kind of curious to go a little bit more on the constructive side. When you get this right, what does it enable you to do? So far the the examples that we've seen uh in uh you know the the easiest one I can think of that the the benefit is so obvious is just in uh in software engineering. You've you've probably already heard a lot of stats from from a lot of the large tech companies where they're claiming anywhere between 10 to 30% of their code is now written by agents. >> Yeah. Some are saying 90% and people are like well that shows. So 10 and 30 seems realistic. >> Yeah. You know, and and so and and and well, I'm sure there are companies that are probably early in on the cutting edge that maybe it's higher, but um you see the benefits there, right? Agents can go uh learn on your codebase, can make recommendations, can write code, can analyze your systems. So I think their agents are uh pretty useful and they are making the lives of engineers uh much much better. Engineers are happier because they get these agents that are assisting them uh either in a co-pilot or um companion way which is which is pretty amazing and so they are more productive and um they're able to produce um you know ship things much much faster. >> And what about outside of the coding realm? Are is there potential for this in use cases outside of coding? >> Yeah, so there there are other categories. I know in healthcare healthcare has a lot of uh well it's highly regular but has a lot of manual processes and entry manual entry. So so I've seen I can't mention uh customer names but we have customers who are using agents to essentially process medical information y >> for their for their patients and customers. So uh lot of benefits there and you can imagine other scenarios. I think uh retail uh and pretty soon you retail and e-commerce is another area where you will see uh these agents play a pretty big role. Um I I can see travel being another category. You know I I want to travel uh to Japan in November. I can easily uh instruct an agent to say, you know, go find me the right airfare, build me an itinerary, if the agent knows kind of my preference of what what kind of um me, you know, if I have any meal preferences, any hotel preferences. So, those things are really valuable because I'm really busy. I don't have the time to figure this out and an agent can go do all this work um for me and I think it's extremely helpful uh to me as a consumer. Now, of course, hopefully it's done with all the security controls and you know, it's not signing me up and buying airfare that I haven't approved. But but so there are many scenarios where I think agents will make our lives easier and and today you're seeing this in either uh categories where uh there are languages and instruction so software engineering or categories where there's a lot of manu manual work >> and automation can help and you're seeing uh those those those categories are the ones that are benefiting the most. >> Yeah. Just to talk a little bit about the stakes in healthcare. Um, my father's a podiatrist and he's retired now, but >> spent so much of his career just taking notes and putting them into EMRs, filling out forms for insurance. I think that with the, you know, assuming that you have the right systems that could protect patient data, uh, and, um, and, you know, make sure that it's not being exposed in the wrong areas, >> that could have saved, you know, not just hours, not just days, weeks, months, uh, maybe even years of of his life from doing this stuff. Um, and and actually could have spent more time taking care of patients. >> Yeah. Yeah. That's a very good example of what you just said which is just just simple things just data entry about you know I saw a patient >> people underestimate how much time we spend in our economy just doing data >> entry >> yeah we we do a lot of data entry so I I think I think that's where you already see AI is having a pretty big uh impact uh already >> and we're still early I think we're going to see lots of interesting use cases and the other thing that I think that hasn't fully played out is you know the interfaces is for chat bots or agents are also evolving really fast >> right >> so we haven't seen uh I mean outside of like the experience of talking to a chatbot which is chat GPT kind of when chat GPT came out that became a way to interact with a with AI but I think there are a lot more scenarios that are and experiences that are still being built that we haven't fully experienced and an example of that would be you you're seeing companies now launching their own browsers And these browsers can do all kinds of stuff for you, right? They can read your email and they can act on your email and it will go do tasks on your behalf. Uh there are other agents that actually mimic that that will um mimic how you browse uh uh the internet and then it will essentially mimic that and to make sure that it's doing it the way you do. So we're still early on these like there are new ways to interact with AI that we we still haven't fully experienced. And I think that will probably bring all kinds of amazing benefits and productivity gains that we haven't even we haven't even kind of fully understood the impact of. >> Yeah. So let's drill down on that a bit because uh we talk often on the show about how there are different uses of AI. Uh to me it really breaks down into three categories. One is agent. Uh the other is thought partner. The other is companion. Um maybe sometimes thought partner and companion are the same thing depending on how much you trust your AI companion to handle your thoughts. >> Uh why do you believe in the the agent use case? Because uh it it has become we've talked about this on the show. It has become a bit of a buzzword uh in the business world right now. Um so so why is it worth the hype? >> I think there are three characteristics about agents that are super interesting. One, they're asynchronous. So it can it can go do you don't have to be in front of uh your laptop or or phone and you know the input is not limited to like your mouse and how fast you can type. So it's asynchronous. Second is I think now especially now with agents they can do long running tasks. Now, most of the experience we have today when we ask questions, we're doing research, I think you'll see agents responding fairly quickly, but you will but there are tasks that require quite a bit of research that may take a long while. And so I think agents are perfect for these longunning tasks. So whether it's minutes, hours, I think there'll be some tasks that will run for days or weeks. >> Yeah. M so we're just going to we'll come to that kind of use case soon and it'll be super interesting because you know all these models are getting large their context windows are getting bigger u so we we you will see scenarios where agents will be working on something for days and they'll come back to you and I think the last part is uh it's non-deterministic and I think that's really powerful and what I mean by that is let's say you had a you know you had certain prompts or you asked the agent to do a few tasks and it comes back with a result or an output. And you're like, "Oh, you know what? I don't this is not quite what I had asked for. Take what I had given you before, but here are the modifications. Now go do something different or enhance what you just did." Right? Now, it may go access other sources of information or may go do additional research on your behalf, which so I think that's incredibly powerful. And so I think agents bring these three cate um characteristics that you know have have the potential of kind of really improving our lives in pretty profound ways. >> All right. So for those who are building uh these things practically I want to get a little bit of um insight from you in terms of how this is happening uh obviously you work um at Octa. Octa is helping companies set up agents. Um, so how exactly is this process taking place of you working with companies to be able to handle some of these tricky things we talked about in the beginning and and actually set up agents? >> Yeah. So we we do four things uh currently that really help um our customers and the developers that are that are building these agent experiences, right? So the first one is pretty simple which is we verify both the agent uh and the user. So making sure that you are who you say you are, you're Alex, and that the agent that you that you have essentially uh consent at this agent to go do stuff um on your behalf. The second thing that we do is we provide capabilities for um our customers to essentially um uh secure APIs. to have this capability called token vault because in this world you know agents are going to be talking to lots of systems and it's really cumbersome to go system by system or API by API and figure out how to handle their security. So we do this in a scalable way and make it super easy for a developer to use our product to essentially make sure that all of the API and agent communication is secure. Then the third one is agents will always need humans in the loop at least at the moment right and like just this example I shared about um the travel example right I want to go to Japan in in November I give a bunch of criteria to the agent to go find me the best itinerary but before the agent purchase the attorney I probably want to review it right so there are always tasks that you will want to review and so we call this having human in the loop right so we do this it's Async authorization is kind of the third thing and the last one is agents will need information um such as retrieval augmented generation which is commonly known as rag. So you may re have we want to feed your own custom data into these agents. Well, how do you do that? Uh you need fine grain permissions and fine grain authorization for that. So that's the fourth capability that we're we're offering. So this whole kind of suite or package of products is called Ozero for AI agents and uh this is kind of what customers are using today to um make sure that their agents are out um they can deploy the agents securely in production. >> So are these agents being set up as human workers within companies or like like do they have seats in like different software systems or is it just being set up outside? >> Very good question. So I I think agents now are going to be treated I I call these like principles and the idea is like you know humans are they are a principle. >> So I think that agents are going to be treated as kind of its own entity or or a principle and um and uh we will be obviously verifying humans but we also have to verify agents and so the same principles will apply to agents. So in a software system um will you have like let's say 400 employees and then a thousand agents sitting like just the same type of >> authorization this is happening today in fact yeah so >> uh again one name name any customers but this is happening today I have seen our customers you know you probably use some HR or uh HR system where you have a directory of everybody in your happening. >> Well, I've seen our customers where, you know, you see employees and then you see agents in the same directory. >> Yeah. >> So, this is already happening. >> They're side by side. >> Uh talk a little bit about verification because you you said earlier, you know, we have to make sure that you know this is really Alex or um but what maybe I'm having an AI do something on my behalf. Can you distinguish when something is robot and when something is human? That is going to be I think that's incredibly hard right now. I mean, uh, so let let's let's kind of zoom out. You know, how do you do verification today? For example, if you're opening a bank account, Alex, today, you're going to you'll be taking selfies and photos of your your your driver, >> taking every crosswalk in the picture, >> right? you're doing all of that >> and um but but AI is getting really really good at this that it's incredibly hard for humans to detect what is generated by a human or or what is AI generated but I'd argue even machines are having a hard time >> right so machines also have fourth positive rates and they are pretty high so I think verification is going to be a real problem uh and there are two things here one how Do you verify Alex is human? And I think the second one is, you know, the content that Alex generated, was it actually generated by Alex? So these are like two different uh areas of verification and um I think we'll see a rise in kind of uh verifiable digital credentials more and more and uh that will be kind of one way to make sure that I can verify Alex is who he says he is. And so so so this area is developing fairly quickly and um and standards are being developed and we support some of them already but I you you will see a lot more um uh with with with digital credentials and increasingly you you'll essentially take all your offline credentials your passport your ID maybe even your school certificate and they will all become digital credentials that you verify every so often. And so then when you're interacting with systems that require sensitive information or verification, they will interact with credentials that you have essentially uh verified. So that will be the way that'll be be one of the ways that I think we can ensure that you know we reduce fraud and and and and prevent fraud basically so that uh you know somebody can't steal your identity. Did you see this thing where Ethan Mollik, the Wharton professor, uh I think he asked one of the latest bots or latest models to generate a capture and >> pass it. >> And these are like pretty complicated captas that they're tackling. >> So if they can get those I mean what do you think about if they get those? Can they get others? >> Yeah. Yeah. I think it's possible. I mean I think this is why this is going to be interesting like it's this is like a race, right? which is like how do you prevent bad or malicious actors from gaining access to systems or causing a lot of damage to a company because because of the the you know different fraud and mechanisms they come up with. So I mean you know all those these checks like I was reading something recently about you know how every company was has been interviewing candidates um uh on Zoom and online. Well, there are so many tools now you can install on your computer that that will do a real-time translate, you know, analysis of the question the interview is asking and we'll give you an answer that you can replay back. So, so you're seeing some companies are actually moving to saying, well, all interviews are going to be in person now. So, that's like a big reversal from the last few years. And so I think I think you will see maybe some of these verification methods and mechanisms are going to be maybe annoying but more in person. I always think of like you know you use clear when you go to the airport. >> I I use it for sports games because you don't have to pay a subscription to get into like >> uh sports games. But yeah exactly. >> But that's like an interesting example, right? Because you did your initial verification in person. somebody had to really check your ID or your password and say, "Are you really who you say you are?" >> Right. >> And and then now it allows you to go through the the airport lines or get you to a game. So, right, that's like an in-person high assurance verification. Like I literally checked your passport and verified you are who you are. So I think I think I I do see some of those mechanisms kind of becoming more important and I like this interview example is like the easiest one where companies are saying well we we're not going to do Zoom interviews anymore. You have to come in person. >> Yeah. And look at us today. I mean here we're in person and it's funny cuz like I've interviewed the uh CEO of Clara Sebastian Simowski. U >> he now has his AI avatar going out and doing uh earnings calls. Yes. and the Zoom CEO also has his AI avatar doing earnings calls. I mean, it's going to get to the point where it's going to be really tricky to tell. So, this verification piece becomes super important. >> Yeah, verification. I think verification of humans then I think it's also content, >> right? >> Uh although >> content as well. >> Yeah. I I think content on the content side though there are standards already being >> do we have to like wink and be like this this is real people? Uh no, but you know digital watermarking has kind of been around for a while and you know there are standards around uh content verification that are also being developed and so I think you will see prolification of more watermarking technologies to kind of determine what's original versus um AI generated. I'm not saying by the all AI generated stuff is bad, right? Like I mean people are generating images and videos and and if you go to Instagram you'll see all these funny um you know yetis and and whatever Jesus >> yeah they just they have you know they have all these dad jokes or whatever jokes they're coming up with or content. I mean there are people who love that content and view that content and enjoy it. So I think there's a place for both but but but there will be scenarios where I think you do want to verify that this was content generated by Alex and so how do you do that and so I think maybe some of these watermarking technologies um will will kind of be adopted a lot more. >> Well sh this was fascinating. Can you tell folks where they can go if they want to learn more about what octa provides? Yeah. So you can go to ozero.com uh and you'll see odds.com and you'll see all the capabilities we have with regards to how we help secure >> uh AI. If you are building agents and if you're a company that's essentially you already have agents and you want to secure them then obviously you want to go visit octa.com. So we have two products and we're serving two different use cases and both are uh available um today for you to for you to deploy. >> Well Shv, great to see you. Thank you again for coming in. I think maybe we'll see, you know, as companies get this stuff figured out that that number of 20% moving into production or 95% unprofitable, uh, that will go up. >> I hope so. Yeah. >> Yeah. Well, the unprofitability will go down will go up. >> Great to see you, Sh. Thanks for coming in. >> Thank you so much. >> All right, everybody. Thank you for watching. We'll be back on the feed with another video soon.