Cantor Daily Research Highlights

Research evidence excerpt

Cantor Daily Research Highlights

a Q2

pipeline >$50M. Management framed AIDR as a larger long-term opportunity than EDR, citing ~90 AI agents per employee,

a >$2.5T AI market, and low single digit enterprise adoption of advanced AI security strategies.

2) Project Quiltworks. In April, CrowdStrike introduced Project QuiltWorks, an industry coalition to assess, prioritize, and

continuously remediate vulnerabilities being discovered by frontier AI models. QuiltWorks pairs CrowdStrike's frontier

AI-powered vulnerability discovery and platform data with the remediation workforce of its system integrator partners.

CrowdStrike delivers the offering through its Frontier AI Readiness and Resilience Service, a subscription including

assessment of current program readiness, vulnerability scanning, risk prioritization and guided remediation. We note that

Falcon Exposure Management and Falcon for IT both nearly doubled adoption y/y. We view QuiltWorks as further validation

that frontier AI models are being deployed for cyber defense at scale, and we believe the beneficiaries are platform vendors

with network, endpoint, cloud and identity visibility, as model effectiveness scales with the breadth of security data available

to it and enterprises deploying these models will require an AI governance layer.

3) Endpoint Acceleration. Management cited a third consecutive quarter of endpoint ARR growth acceleration, with

accelerating legacy displacement driven in part by AI use cases and demand to deploy LLMs and agents on endpoints. We

see AI adoption making the endpoint a higher-value control point, as enterprises need visibility, policy enforcement, and

runtime protection where AI interacts with applications.

F1Q27 Results.