Radware Ltd. (NASDAQ:RDWR) Q4 2023 Earnings Call Transcript

Roy Zisapel: Yes. So SkyHawk is focused on a new niche marketing public cloud security, which is called Cloud Detection and Response, CDR. It’s a very new market. There are other startups in that, but it’s basically talking or addressing the need in real time to detect intrusion into your public cloud account and block it before the hackers are able to steal the valuable data, identities and so on. The solution is heavily based on machine learning and AI algorithms that based on multiple malicious indicators are able to understand whether what we are seeing, the anomalies we see are actually part of kill chain or an attack that is actually developing in real-time. I think the solution is very advanced and unique in the market.

We are adding there a lot of usage of generative AI to detect new attacks as well as create new sensors and in real time, improve the product. But again, it’s very early. I would not foresee in 2024 material impact on other revenues. As you see, we do consolidate the losses, although the company is fully funded, and that hurts our EPS. But we are strong believers in the technology, in the positioning, we think there will be a very good opportunity for shareholder value in public cloud security with SkyHawk, and we look forward to their success.

Chris Reimer: Great. Thanks. That’s nice color. That’s it for me.

Roy Zisapel: Thank you.

Operator: There are no further questions at this time. I would like to hand the call back over to Roy Zisapel for some closing remarks.

Roy Zisapel: Thanks a lot. Thank you for joining us, and have a great day.

Operator: This concludes today’s conference call. You may now disconnect.