Security teams face a new challenge as employees increasingly run AI models directly on their devices, bypassing traditional cloud-based monitoring systems.

The traditional CISO strategy of controlling browser access and monitoring cloud API calls is becoming ineffective as local LLM inference moves AI off the network

Employees are adopting 'bring your own model' (BYOM) approaches, running capable AI models locally on laptops with no network traffic or API calls to detect

Shadow AI 2.0 creates a governance blind spot where traditional data loss prevention (DLP) tools cannot see or monitor unvetted inference happening directly on devices

Enterprise security must shift focus from preventing data exfiltration to the cloud toward controlling unsanctioned AI model execution within endpoint devices