Symphony
- David Gurle, the founder and CEO of instant messaging app Symphony, has accused rivals of 'compromising security' in favor of growth amid the COVID-19 pandemic.
- While market leader Zoom's stock skyrocketed 135% and its valuation climbed to more than $30 billion, the firm faced intense scrutiny over its privacy and security protocols.
- Symphony, founded in 2014, primarily serves financial institutions and is backed by the likes of Goldman Sachs and JPMorgan - but is working to become more accessible.
- "Watching others compromise on security and grow fast has not been easy, and made us shake our heads," said Gurle.
- Click here for more BI Prime stories.
The CEO of Symphony, the instant messaging service backed by Goldman Sachs and JPMorgan, has accused videoconferencing platforms of "compromising security" in favor of growth.
Founded in 2014 by former Skype executive David Gurle, Symphony is aimed at the financial services industry and is used by big financial institutions - including investors like Deutsche Bank and Wells Fargo - as a means of cutting the costs of Bloomberg terminals.
The firm has revealed plans to expand its video service, promising to move beyond financial institutions and offer a "truly secure" platform for businesses of all sizes.
"Watching others compromise on security and grow fast has not been easy, and made us shake our heads," said Gurle. "The 'grow fast, deal with the issues later' approach that some competitors have taken was not acceptable to us."
Symphony currently only supports encrypted videos on a peer-to-peer basis, which limits meeting sizes. The firm says it offers true end-to-end encryption.
Gurle told Business Insider he had worried he was being "impractical or overzealous" by refusing to scale up at the same speed as some of its competitors.
He said the firm was working hard to figure out how to provide a service on a mass scale that was "secure, convenient and compliant", adding that he was "100% committed to solving the paradox".
Rapid expansion means greater security responsibilities - and scrutiny.
Just as Zoom's stock skyrocketed 135% and its valuation climbed to more than $30 billion, the firm faced intense questioning over its privacy and security protocols, prompting CEO Eric Yuan to respond personally.
Last month, The Intercept reported that Zoom didn't use end-to-end encryption on video meetings, despite using the term frequently in its marketing materials. End-to-end encryption would ensure neither external attackers nor Zoom itself could access the contents of a video meeting.
Instead, it offers a form of encryption called "transport encryption." This theoretically scrambles the content for external attackers but not for Zoom itself.
Zoom told The Intercept in a statement that it did not directly access users' data.
Do you have a personal experience with the coronavirus you'd like to share? Or a tip on how your town or community is handling the pandemic? Please email covidtips@businessinsider.com and tell us your story.
Get the latest coronavirus business & economic impact analysis from Business Insider Intelligence on how COVID-19 is affecting industries.