Guardrail Technologies, the leading provider of AI security and governance software for enterprises building with AI, today released The AI Cyber-Disclosure Gap Report, the first study to measure how S&P 500 companies describe their use of artificial intelligence against how they document managing its cybersecurity risk. The first of its kind, the report is what Guardrail intends to make an ongoing benchmark, revisited on a recurring basis as filings update and disclosure practice evolves.

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Guardrail reviewed all 503 Form 10-K filings currently on file for S&P 500 companies against the SEC's Item 1C cybersecurity disclosure requirement. The results were stark and consistent: 97 percent of companies mention AI somewhere in their annual report, but only about 16 percent document an AI-specific cyber-risk process at all, and fewer than 1 in 20 describe a governed one, meaning a named policy, program, or committee with a stated activity connected to cybersecurity controls.

Across every reading applied, including an independent human review, the distance between discussing AI and documenting a process for its cyber risk was at least 77 percentage points.

“Nearly every company in the S&P 500 says AI matters to their business, but almost none can prove how they're keeping it under control," said T.J. Marlin, founder and CEO of Guardrail Technologies. "A policy written after a breach carries no weight with an investigator, and a control that only lived in someone's memory is no control at all. This report shows how few companies could survive that kind of scrutiny today.”

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