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Cybersecurity stocks dropped for a second day on Monday as investors fretted over new artificial intelligence security tools that threaten to displace the sector’s longstanding business models.
Anthropic on Friday debuted a new security tool to its Claude model that the AI lab said could scan software code for vulnerabilities and suggest solutions.
The move led to a freefall in cyber stocks that spilled over into Monday’s session, raising concerns that these tools could replace tasks handled by cybersecurity companies.
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