Global AI Trend Tracker – LLM in vertical industry: Is cybersecurity the next big thing for LLM adoption?

Following the China AI value chain anchor report (11 September), Nomura examines the next "killer apps" for large language models (LLMs), focusing on cybersecurity software. Heightened discussion over whether frontier model companies should slow LLM development has centered on security weaknesses of LLM and Gen AI platforms, which may raise awareness of cybersecurity and information security in the AI cloud ecosystem. Certain cybersecurity players could see fundamental improvements from rising security demand across infra/network/application layers, but Nomura cautions that: 1) demand from the government and enterprise market remains lackluster in China, while the competitive landscape in China's security software market remains suboptimal;