CyCraft Technology
AI-driven threat detection firm from Taiwan, sells XCockpit for SOC alert triage and response.
On the record
Checkpoint: Q2 and Q3 2026 TWSE earnings filings, testing whether losses stabilize and Japan/India revenue converts to recurring income
The call
CyCraft holds a real niche inside Taiwan's semiconductor and sovereign-data rules, but its push into Japan, India, and Southeast Asia runs straight into CrowdStrike and Microsoft on open ground.
CyCraft makes software that helps companies detect and respond to cyberattacks. It has a real advantage in Taiwan and selling to semiconductor companies because the U.S. government makes it hard for American security vendors to compete there. But in Japan, India, and Southeast Asia, it faces much bigger competitors like CrowdStrike and Microsoft that have way more money and people. CyCraft is also losing money at a speed that is getting worse, not better, even though its sales are growing, which means it is spending more than it earns on every product it sells. The key question is whether CyCraft can turn sales in Japan and India into steady, profitable business in the next two quarters, or whether it will keep losing money while competitors chip away at its business.
Why
01
AI pressure: Microsoft Security Copilot, CrowdStrike Charlotte AI. Both automate the same alert-triage work XCockpit sells, turning CyCraft's core feature into a bundled add-on for bigger platforms. Could AI do the core job? Only partly.
02
Bigger players: CrowdStrike, Microsoft, Fortinet, Darktrace. These vendors compete openly in Japan, India, and Southeast Asia, the exact markets CyCraft needs for growth outside Taiwan. Could a giant copy it? Probably.
03
What protects it. Sovereign-Taiwan trust and semiconductor compliance rules like SEMI E187, where foreign vendors face real political and regulatory friction.
What would change this call
Q2/Q3 2026 TWSE filings show net loss narrowing from NT$46.19M or continuing to widen. Whether the AI-native cost structure can reach sustainable margins post-IPO.
NTT Security Japan or Sectonics India partnerships convert to disclosed recurring revenue. Whether CyCraft can win share outside its protected Taiwan/SEMI niche.
CrowdStrike Charlotte AI or Microsoft Security Copilot announce SEMI E187-equivalent compliance features in Taiwan. Whether the sovereign/compliance moat that shields CyCraft is eroding.
NTT Security Japan or Sectonics India partnerships convert to disclosed recurring revenue. Whether CyCraft can win share outside its protected Taiwan/SEMI niche.
CrowdStrike Charlotte AI or Microsoft Security Copilot announce SEMI E187-equivalent compliance features in Taiwan. Whether the sovereign/compliance moat that shields CyCraft is eroding.
Key numbers
- FY2025 revenue ~$11.8M, up 23% year over year
- Net loss widened from NT$1.84M to NT$46.19M
- Market cap around $85M as of July 2026
Named risks
- Net losses widened about 25x in FY2025 (NT$1.84M to NT$46.19M) while revenue grew only 23%.
- Core AI-SOC triage function faces commoditization from Microsoft Security Copilot and CrowdStrike Charlotte AI.
- Stock trading ~49% below highs since February 2026 IPO, pressuring capital-raising ability.
- Growth depends on unproven Japan and India channel deals (NTT Security, Sectonics) signed only in 2026.
- Small headcount (~100-130) competing against far larger, better-resourced global incumbents.
Rivals, as read in July 2026
| Rival | Direction | Evidence |
|---|---|---|
| CrowdStrike | contesting | Charlotte AI competes head-on with CyCraft outside Taiwan sovereign niche, 2026 |
| Microsoft (Security Copilot) | gaining on | Security Copilot commoditizes SOC alert-triage globally, pressuring XCockpit's core value, 2026 |
| Darktrace | losing to | Flagged by PitchBook as a comparably-positioned, far larger AI/cyber incumbent |
| Fortinet | contesting | Adjacent MDR/EDR incumbent competing in unprotected Japan/India/SEA markets |
Questions people ask
- Is CyCraft Technology profitable in 2026?
- No. CyCraft posted a FY2025 net loss of about NT$46.19M, a sharp widening from NT$1.84M in FY2024, even as revenue grew 22.72% YoY to NT$368.83M (~$11.8M USD), per stockanalysis.com data as of 2026-06-18.
- Who owns CyCraft Technology?
- CyCraft is a public company on the Taiwan Stock Exchange (ticker 7823), having IPO'd on February 5, 2026. It was founded in 2017 by Dr. Benson Wu (CEO), PK Tsung, and Jeremy Chiu, who previously ran Xecure Lab before its 2014 acquisition by Verint.
- Could AI replace CyCraft Technology's product?
- CyCraft's own core value, AI-driven SOC alert triage via XCockpit, faces commoditization risk from shipped rivals like Microsoft Security Copilot and CrowdStrike Charlotte AI. CyCraft is countering by pivoting into AI-guardrail products XecGuard and XecART, launched 2025-2026.
- Is CyCraft Technology stock a safe investment?
- CyCraft's stock has been volatile since its February 2026 TWSE IPO, hitting a 52-week low of NT$77.70 on March 9, 2026 and trading roughly 49% below highs as of July 26, 2026, per TradingView, amid widening net losses.
- Who is CyCraft Technology's biggest competitor?
- CyCraft competes against much larger incumbents including CrowdStrike, Microsoft Security Copilot, Fortinet, and Darktrace, all of which are shipping AI-driven SOC triage tools that directly challenge CyCraft's XCockpit platform outside its protected Taiwan sovereign niche as of 2026.
- What does CyCraft Technology do?
- CyCraft is a Taiwan-based AI-driven cybersecurity firm offering the XCockpit threat exposure management platform (EASM, IASM, Endpoint modules), CyberTotal threat intelligence, and newer AI-security products XecGuard and XecART, launched 2025-2026.
Timeline
- 2026-07-15Gartner names CyCraft sole Taiwan cybersecurity firm in AI Vendor Race Reasoning Models report
- 2026-06-01Partnership signed with NTT Security Japan
- 2026-05-01Distribution partnership signed with Sectonics in India
- 2026-04-30XecART and XecGuard included in OWASP AI Security Solutions Landscape
- 2026-04-06Stock reported trading NT$80-100, down about 49% from IPO highs
- 2026-03-09Stock hits 52-week low of NT$77.70
- 2026-02-05CyCraft IPOs on Taiwan Stock Exchange as ticker 7823
- 2017-08-24CyCraft founded by Benson Wu, PK Tsung, and Jeremy Chiu
- 2014Founders' prior company Xecure Lab acquired by Verint
Revision history
26 July 2026
First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.
In the same band
Sources
- 7823 Stock Price and Chart, TWSE (2026-04-06)
- CyCraft Technology (TPE:7823) Revenue (2026-06-18)
- 7823) Financials & Income Statement
- Products, Competitors, Financials, Employees, Headquarters Locations (2026-05-17)
- 7823) Number of Employees (2025-06-29)
- 7823) Stock Price & Overview
- CyCraft Technology
- CyCraft Stock Price, Funding, Valuation, Revenue & Financial Statements (2026-02-04)
- CyCraft XecART and XecGuard Recognized in OWASP AI Security Solutions Landscape (2026-04-29)
- Provide AI-powered Cybersecurity Technologies (2026-07-15)
- CyCraft named sole Taiwan cybersecurity firm in Gartner report (2026-07-15)
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