Deepfakes and the role of IR in protecting your company’s reputation

May 14, 2025

Troye Brady, Aprio Consultant 

AI technology has advanced at a breath-taking pace and is now a part of our online and even physical worlds such as internet-of-things (IoT). While it is mostly a positive and supplemental development, there are unfortunately also very sinister and dangerous dimensions to AI technology. One of these is the so-called “deepfakes” where you can take a video clip of any person and then digitally alter it to say anything you want, typically with malicious intent, such as spreading false information.

Our Aprio IR team warned about the impact of deepfakes as far back as 2020 and today we can see it. Watch here to learn more: https://apriogroup.com/deepfakes-theyre-about-to-change-how-we-see-the-world/

We’ve all likely seen the AI versions of “Elon Musk” and “Anton Rupert” promoting some dodgy investment scheme on YouTube. The likeness and authenticity of these videos are uncanny and for all practical purposes, it appears that it is indeed the actual person saying those words. Informed investors may spot the deception, but many can’t and probably will be convinced.

Now, imagine someone who wants to discredit your company, or influence a share price, by producing a video of the CEO giving imaginary guidance. According to Deloitte, deepfake incidents in Europe’s financial sector increased by over 780% last year, while the Financial Services Information Sharing and Analysis Centre (FS-ISAC) in the US reports that one in ten US companies have encountered deepfake fraud. In the absence of deepfake regulations, it is therefore a real and increasingly likely threat that companies will have to deal with at some point.

Mark Hayes at US-based Breakwater Capital Markets wrote a very informative piece, where he provides some guidance on how an Investor Relations Officer (IRO) can handle such a crisis. It involves three stages, namely (1) Pre-Crisis Planning, (2) Response and (3) Post-Crisis Analysis.

Pre-Crisis Planning stage

1. Establish a deepfake response plan. Conduct a risk assessment to understand how the company could be affected, form a response team, and develop clear protocols for verification and response to deepfake incidents.
2. Educate and train employees to recognise and report potential deepfakes (and make it clear where this should be reported to).
3. Implement verification systems. Use technology for real-time monitoring and verification of official communication from top management.
4. Regularly communicate with stakeholders. Keep investors, analysts and regulators updated regarding when to expect key financial releases or updates.

Response to a Deepfake Crisis

1. Identification and verification: Quickly determine the authenticity, use technological tools and consult with IT experts.
2. Rapid and clear communication: Immediately inform top management and the deepfake response team. Issue a public statement, refuting the deepfake and clarifying the company’s actual position. Use the press, social media, company website and direct communication with key investors.
3. Ongoing monitoring and damage control: Monitor the market’s reaction and be ready to provide additional clarification or updates.
4. Stakeholder engagement: Actively engage with investors, analysts and the media to restore confidence. Organise investor calls or press conferences, if necessary.

Post-Crisis Analysis and Strengthening Defences

1. Conduct a thorough review. Analyse the incident to understand how it happened and the effectiveness of your response,
2. Update the crisis management plan. Revise your deepfake response plan, based on lessons learned.
3. Strengthen technological defences. Invest in more advanced detection and monitoring tools, if needed.
4. Continued education and awareness. Update training programmes to include the latest information and tactics used in deepfake technology.

Aprio’s proven skills in IR, digital and issue and crisis management can certainly assist in a developing a deepfake response plan.

Talk to us www.apriogroup.com and for more information about our investor relations offering, contact Lydia du Plessis on lydia@aprio.co.za or call her on 082 491 7583.