The Department of Defense has awarded its first contract for generative AI in defense to Jericho Security, highlighting a strategic shift in military cybersecurity. This $1. 8 million Small Business Technology Transfer (STTR) Phase II contract, announced via AFWERX, involves the New York-based startup developing advanced cybersecurity solutions for the Department of the Air Force. "This contract is one of the first in defense to focus on generative AI, marking a significant step in addressing AI-based threats, " said Sage Wohns, CEO of Jericho Security, in an exclusive interview with VentureBeat. Jericho Security specializes in simulating intricate, multi-channel phishing attacks that reflect real-world events. Wohns noted, "Phishing campaigns today are not limited to emails—they involve coordinated attacks through text messages, phone calls, and even video calls, " highlighting how these attacks use various communication methods to deceive targets. What distinguishes Jericho's technology is its emphasis on human vulnerability, often seen as the weakest link in cybersecurity. Jericho claims that human error accounts for up to 95% of data breaches. Their platform customizes security training programs based on individual risk profiles, utilizing generative AI to simulate complex attacks, including deepfake impersonations and AI-generated malware. The contract comes as military personnel face increasingly targeted attacks.

Wohns disclosed a spear-phishing attack aimed at Air Force drone pilots that utilized fake user manuals, illustrating how Jericho helped assess vulnerabilities through attack simulations and specialized training. For Jericho Security, a young competitor in a competitive cybersecurity market, securing a Defense Department contract is a major validation. This positions the company to expand from its commercial roots into the growing government sector, where cybersecurity spending is increasing in response to rising threats. Military contracts typically demand stringent security measures, and Wohns stressed that Jericho maintains "military-grade cybersecurity standards, " including end-to-end encryption and isolated secure environments for managing sensitive military data. Jericho Security adopts a "predator and prey" model, a departure from traditional reactive cybersecurity methods. "We began with attack simulation, providing continuous real-time data to improve both offensive and defensive capabilities, " Wohns explained. This approach allows their AI to evolve alongside new threats rather than just responding to them.