Digital Identity

Artificial intelligence is expanding the possibilities of digital services, but it is also reshaping the threat landscape. VIDA used the Garuda AI Impact Summit 2026 to warn that modern data security can no longer rely on conventional protection alone.The company argued that the central challenge is no longer just preventing data leaks. The greater issue is making sure stored data cannot be misused by unauthorized parties once it exists inside a system.Security now depends on trust in AI systemsIn a keynote session, Indonesia’s Deputy Minister of Communication and Digital Affairs, Nezar Patria, said the challenge of AI is not limited to technical questions. He noted that AI transformation also affects digital literacy, public trust, and society’s readiness to use technology responsibly.Nezar also pointed to a new divide that may emerge in the digital era. The gap will no longer be defined only by internet access, but by who can use AI productively and who gets left behind in the transformation.Comfort and security must move togetherFounder and Group CEO VIDA, Niki Luhur, said successful AI adoption depends heavily on public confidence in digital security. He argued that convenience and security should not be treated as opposing goals in digital services.“Digital transformation does not have to sacrifice security for convenience, or convenience for security. With the right design and system architecture, both can move forward together,” Niki said during the panel discussion titled AI for Digital Public Services.He illustrated the point by referring to how ransomware operators use cryptography to encrypt and lock victim data. The same core principle, he said, can be used in reverse to protect data so it cannot be used by other parties.Authentication is the key control pointOnce data is protected, the next issue is controlling who can access it. That is where authentication becomes critical, because systems must verify identity, define access rights, and record how data is used.VIDA said around 95 percent of data security and cybersecurity breaches globally stem from weak authentication systems. For that reason, strengthening authentication is seen as a foundational step in building trust across modern digital ecosystems.In general, authentication can rely on three approaches: something you know, such as a password or PIN; who you are, such as face or fingerprint biometrics; and what you have, such as a device or security token.Digital fraud is becoming more sophisticatedVIDA also warned that personal data already exposed on the internet can no longer serve as the sole proof of account ownership. The risk is growing because AI can now be used to support multiple forms of digital fraud.Those threats can target a person’s face, voice, device, network, and even behavioral patterns. That reality is pushing digital identity systems to become stronger and more adaptive to evolving attacks.Indonesia already has important building blocksAmid rising cyber threats, VIDA praised the Indonesian government’s efforts to build a stronger national digital identity foundation. Niki said Indonesia already has identity verification standards aligned with global best practices and reinforced through adaptive regulation.According to him, the technology, security standards, and regulations are already in place. The main challenge now is accelerating implementation across digital services so more sectors can benefit.Niki said AI could become a game changer for digital security if adoption moves quickly and consistently. VIDA’s message was clear: in the AI era, protecting data requires strong authentication, trusted digital identity, and responsible use of technology.

AI Raises New Data Security Risks, Strong Authentication Becomes the Last Line of Defense