Digital transformation is a priority for oil and gas companies to secure the entire energy ecosystem. From that point of view, the urgency of applying AI and ML capabilities for optimization and cybersecurity becomes clear, especially as threat actors increasingly target connected devices and operating systems, putting the oil and gas industry in collective danger.  

Most companies have the resources to implement sophisticated AI programs to stay secure and advance digital capabilities on their own. However, irrespective of size, available budget, and in-house personnel, all energy companies must manage operations and security fundamentals to ensure they have visibility and monitoring across powerful digital tools to remain resilient and competitive.  

In a study conducted by MIT Technology Review insights and Siemens Energy, they spoke to more than a dozen information technology and cybersecurity executives at oil and gas companies worldwide to gain insight into how AI is affecting their digital transformation. 

Analyzing the findings 

According to the MIT study, Oil and gas companies are under pressure to adapt to dramatic changes in the business environment. The COVID-19 pandemic dealt a stunning blow to the global economy in 2020, contributing to an extended trend of lower prices and heightening the value of increased efficiency to compensate for market pressures. In addition, post-pandemic, companies are forced to manage the environmental impact of operations growing stronger. These factors force companies to choose new streamlined ways of working, making digital technology adoption critical. 

The study also found that as companies digitalize, the risk of cyberattacks increases, as do opportunities for AI. Data security and privacy are common issues found in all industries. The industry’s collective digital transformation is widening the surface for cybercriminals to attack.  

Implementing new technologies affects interdependent business and operational functions and underlying IT infrastructure. The reality calls for oil and gas companies to shift to a risk management mindset. This includes designing projects and systems within a cybersecurity risk framework that enforces companywide policies and controls. Most importantly, they now need to access and deploy state-of-the-art cybersecurity tools powered by AI and ML to stay ahead of attackers. 

Furthermore, AI optimizes and secures energy assets and IT networks for increased monitoring and visibility. Companies look to external partners to guard against cyber threats. Many companies need more cybersecurity resources to meet their challenges head-on.  

Cybersecurity, AI and digitalization 

Due to the coronavirus pandemic, a multiyear gut in the market, and the drive to go, oil and gas companies are faced with unprecedented uncertainty. However, from moving to the cloud to sharing algorithms, companies are showing a robust opportunity for organizations to evolve with technological changes.  

In the energy industry, the digital revolution has enabled companies to connect physical energy assets with hardware control systems and software programs, which improves operational efficiency, reduces cities, and cuts emissions. This trend is due to the convergence of energy assets connected to OT systems which manage, monitor and control energy assets and critical infrastructure, and IT networks that companies use to optimize data across their corporate environments.  

With billions of OT and IT data points captured from physical assets each day, oil and gas companies are now turning to built-for-purpose AI tools to provide visibility and monitoring across their industrial operating environments- both to make technologies and operations more efficient. 

To navigate today’s volatile business landscape, oil and gas companies must identify optimization opportunities and cybersecurity gaps in their digitalization strategies. This means building AI and cybersecurity into digital deployment from the ground up, not bolting them on afterwards.