Okta CEO warns of AI security risks as agents enter production

In a Tuesday interview with CNBC's Jim Cramer, Okta CEO Todd McKinnon highlighted the cybersecurity challenges emerging as agentic artificial intelligence models transition "from prototypes to production."

• Key Points:
  • McKinnon emphasized that AI agents in production require access to real systems and data, necessitating robust identity management solutions like Okta.
  • "Identity is security," he stated, underscoring the growing importance of secure access controls for both human users and AI agents.
  • While acknowledging AI's "tremendous" potential, McKinnon warned of significant risks without proper security measures.

Okta, a cybersecurity company specializing in identity management, reported strong Q1 earnings but maintained conservative revenue guidance due to macroeconomic uncertainty, causing shares to drop 11% after hours.

• Market Context:
  • McKinnon attributed the cautious outlook to increased global uncertainty in recent months.
  • He maintained long-term optimism for Okta's growth despite short-term conservatism.
  • The CEO noted some investors desire faster market penetration but stressed the importance of realistic timelines.

"Sometimes these things take time to play out," McKinnon concluded, "and it's prudent to have short-term conservatism with long-term optimism."