00:00Talk us through these numbers and your outlook going into the next period, given that we have
00:05had that acquisition. What's the sort of broader plan now in terms of the business priorities and
00:11where you see growth? Great. Thanks for having me here. In terms of the business itself, you know,
00:17we've been focused on making sure that families, wherever they are, whether it's at home, whether
00:21it's at school, whether it's at work, we're keeping them safe when they're using services online,
00:26digital services online. Part of that journey took us towards this merger acquisition of a
00:33company called Coria based out of Australia. And it's come together really well. With the addition
00:38of Coria, we are now able to enter the school market where we had a set of products that was
00:44very focused on the personal devices and the personal device of both the teenagers and their
00:50whole families, while Coria was focused on the devices that the kids used at school. So now we
00:56have the ability to look at the full spectrum of potential safety issues that families might have
01:01and be able to keep them safe proactively. It was a great quarter. We feel very good about the growth
01:08rate in the company. The three things we told investors as we were getting public was that we
01:14do 20 plus percent growth rate. And then we would get to free cash for positive by closing time and
01:21be free cash for positive for the rest of the year. And we would generate about $55 million of synergies
01:28by putting the two companies together. All three of them are at or above plan. And we're off to a
01:34good
01:34start here. Are you seeing more interest driven in your technology and product as a result of
01:41what is broadly going on with the progress made in AI? And of course, we've also got regulatory and
01:47government moves, for example, in Australia's jurisdiction when it comes to the social media
01:51ban as well. Have you seen a correlated rise in the need for products like yours?
01:58Yeah, so I think there's two dimensions to that. One is what is sort of in the tailwinds as people
02:04adopt
02:05more and more AI technology. Now, it's sort of a little bit of a sad state of the world where
02:10while the good actors get access to a lot of good technology, so do the bad actors.
02:14So we're seeing an unprecedented amount of cyber crime against families, whether it's scams,
02:19whether it's deep fakes, kids getting groomed by AI agents on large gaming platforms. So there is
02:26quite a bit of, I mean, if you can call it tailwind, even though it is sort of a negative
02:31aspect of
02:32of how people are using the technology. And so that's creating a lot of tailwind and momentum for
02:40us. And then the second avenue is how are we as a company leveraging technology and AI technology
02:46that's going to come to bear? And we bring that up across two parts. One is internal, which we're
02:50using to now accelerate growth and accelerate product momentum and engineering velocity as well.
02:55And externally, we are really focusing our product very much on personalizing it in a deep way using
03:01AI technology, making sure that the product is intelligent and it can identify things before
03:06it happens. Again, using a lot of AI technology and also make it so that to take the action once
03:12you
03:12find an issue or you foresee an issue, can you make it easy for the user? And that's something we're
03:18using a lot of AI as well. Is AI technology and cyber security able to counter the AI risk that's
03:26inherent in cyber security, right? Because every week you've got, whether it be meta being the latest
03:31one or open AI or anthropic, these cases of escaping from the sandbox and growing concern that the AI
03:39technology is sort of getting out of hand for cyber security companies and services to be able to
03:45to handle. Is that a concern?
03:49I mean, the risk is certainly higher because it's a higher stakes gamble here. Again,
03:53if you're thinking about keeping kids safe, keeping families safe, you know, as you have a lot of these
04:00sort of negative cyber security incidents, it is worrisome. But that being said, as we are grounding
04:06things further and further using really good technology, the best way to combat
04:12you know, the negative impact of AI is with the positive impact of AI. So you kind of get both
04:16sides of it. And it's something that it definitely is a much higher stakes than perhaps some other
04:22industries, I would say.
04:25Do you think there's sufficient guardrails in place? Do you think governments can and should be doing more?
04:32You know, I think that it seems to be starting to lean towards that. I mean, I think there's a
04:36a little bit of that in place. We definitely saw that with the Fable release from anthropic,
04:41which had to get pulled. With open AI now, as they're putting out their new GPT models,
04:46they're having to get them okayed by by cities and other government bodies before they go out and
04:51tested by smaller pockets. I think that the trouble with it is that it is completely stochastic. So
04:57like nobody can actually know what the answer is going to be from an LLM type of a system.
05:03So it makes it very hard to predict and have very sort of secure guardrails that, you know,
05:09you can just box, you know, like you could with something that's much more deterministic.
05:12And so as a result, it's a tougher problem, but it needs to be handled. And it is something that
05:18I
05:18think the frontier model companies are doing, spending a lot more time on it. And it's certainly
05:23something that the government's taken much more of a close interest in as well from a
05:27national security standpoint. So yes. So the answer to your question is, yes, I do think that
05:32there needs to be better framing and regulation around what can and can't be used from a safety
05:39and security perspective. We were talking a little bit about the enterprise side of things, right?
05:44Because we have you on a day where we're hearing about this wave of sophisticated targeted attacks on
05:49major Wall Street hedge funds and financial organizations. When you take a look at the ability of AI
05:56technology to be able to commoditize, to be able to carry out these attacks in an unprecedented level
06:02of scale. How do you combat that, right? From from from your side? Have we seen industries and sectors
06:09really become too lax when it comes to being able to have the infrastructure in place to do that?
06:15Yeah, I mean, I think there's a range of threats that are happening again for enterprises.
06:20Again, as as bad actors are leveraging technology, the kind of attacks, breaches, social engineering
06:27type attacks are getting more and more sophisticated. Network style attacks like with Fable, we saw where
06:33we was able to string together multiple sequences of things to be able to do a very coordinated
06:38a potential security breach there. I think from from a lot of companies perspective, people are scrambling.
06:43I mean, they are worried about it. You know, everybody we speak with, it's top of mind, you know,
06:48just coming up with the right policies. How do you make sure that, you know, you have a great service
06:51that gives
06:52the company a lot of edge and being able to get some particular thing done. But you may need to
06:57release
06:57an AI agent inside your company infrastructure. And that's scary. And so CISOs everywhere are thinking
07:03deeply about this. And, you know, there is a real opportunity here for companies that are able
07:07to solve some of these issues for folks leveraging the same technology.
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