Mythos stalls as CrowdStrike, Palo Alto miss earnings
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- Anthropic deemed its Mythos model too powerful to release publicly because it could be easily used to exploit software vulnerabilities.
- CrowdStrike saw its stock rise over 70% between April and the end of May after the Mythos announcement, then fall 8% after its latest earnings report.
- Palo Alto Networks saw its stock rise over 70% between April and the end of May after the Mythos announcement, then fall 3% after its latest earnings report.
- Project Glasswing expanded from an exclusive Anthropic testing program to include 150 new partners this week, adding firms such as Rubrik and Tenable.
- Palo Alto Networks CEO Nikesh Arora reported that more than 1,200 companies have reached out about AI strategy, with 800 meetings held in the past six weeks, about 100 of which he personally conducted.
- Analyst Joseph Gallo warned that investors may have overestimated the near‑term impact of AI, noting that enterprise sales cycles of nine to 12 months mean AI‑driven revenue growth may not materialize until 2027.
Why it matters: Investors in CrowdStrike and Palo Alto Networks lose short‑term value as shares tumble 8% and 3%, while the sector’s AI boom is delayed until at least 2027, postponing expected revenue uplift for enterprise customers.
