CyberArk’s Study Reveals a Persistent “Shadow Privilege” Gap Amid AI‑Driven Identity Adoption
CyberArk Software Ltd., the Nasdaq‑listed stalwart of privileged‑access security, has recently spotlighted a critical shortfall in the industry’s transition toward just‑in‑time (JIT) privileged access. The firm’s research, reported by iTWire on 9 January 2026, indicates that only a minority of organisations have fully embraced JIT, leaving a vast majority of privileged accounts continuously active and, consequently, exposed to what CyberArk terms a “shadow privilege” blind spot.
A Widespread Inertia Toward Continuous Privilege
The analysis reveals that more than 70 % of surveyed companies still maintain at least half of their privileged accounts in a permanently active state. This reliance on static access models not only contravenes contemporary security best practices but also creates a latent attack surface that is difficult to detect and mitigate. Even as artificial‑intelligence‑driven identities—AI agents that perform automated tasks—become increasingly prevalent, organisations have not yet adjusted their privileged‑access frameworks to account for these evolving actors.
Strategic Context: Why the Gap Matters
- Attack Surface Expansion – Continuous privileged accounts provide attackers with a persistent foothold that can be exploited for lateral movement and data exfiltration.
- Regulatory Pressure – Emerging data‑protection regulations are tightening requirements around access governance; failing to adopt JIT could result in compliance penalties.
- AI‑Enabled Threats – AI agents can generate new identities or manipulate existing ones rapidly, outpacing static controls that were designed for human operators.
CyberArk’s findings underscore a misalignment between confidence in privileged‑access controls and operational realities. While many firms tout robust security postures, the underlying practices reveal a disconnect that could be catastrophic if exploited by sophisticated threat actors.
Industry Moves Reinforcing the Trend
Just a day prior, CrowdStrike announced its acquisition of the identity‑security startup SGNL for a substantial sum. SGNL specializes in safeguarding machine‑based identities, including those generated by AI agents. Although CyberArk was not involved, the deal signals a broader industry pivot toward protecting non‑human identities.
- CrowdStrike’s Acquisition: Strengthens its capability to detect and mitigate AI‑driven credential misuse.
- CyberArk’s Position: Continues to focus on privileged‑access controls, but the acquisition highlights a potential gap in its portfolio—specifically in machine‑identity governance.
The convergence of these developments illustrates a market-wide recognition that traditional privileged‑access solutions must evolve to accommodate an expanding array of identity types.
Market Implications for CyberArk
CyberArk’s market presence remains robust, with a sizeable market capitalization and a history of strong price performance over the past year. However, recent earnings have slipped into the negative territory, a trend that may be linked to the broader shift toward AI‑centric identity security. The company’s headquarters in Petach Tikva and its unwavering commitment to protecting privileged accounts position it well to capitalize on demand for advanced controls, provided it adapts its offerings to the emerging AI threat landscape.
Forward‑Looking Analysis
- Product Evolution Needed: CyberArk must integrate AI‑driven identity monitoring into its core platform to remain competitive.
- Strategic Partnerships: Collaborating with startups focused on machine‑identity governance could accelerate product innovation.
- Thought Leadership: By championing JIT adoption through research, CyberArk can influence industry standards and regulatory expectations.
In an era where identity is no longer solely human, the “shadow privilege” gap highlighted by CyberArk is a clarion call for all stakeholders to rethink privileged‑access management. Those who act decisively—through technological upgrades, strategic acquisitions, and policy alignment—will be best positioned to secure their digital environments against the next generation of threats.
