Operationalize Australian AI Policy

Use Case:Operationalize AU AI Policy

Turn Australian Government’s AI Compliancy Policy and 7-question Screening Tool into concrete, browser-native controls: in-browser inspection and redaction, AI access control and governance, and audit-ready evidence powered by Nexi, the built-in AI agent inside the DefensX Secure Digital Workspace.


Executive Summary

DefensX converts the browser into a secure digital workspace, inspecting LLM requests and responses inside that workspace.

DefensX enforces AI data protection policies, masking or blocking PII and source code in real time, controls which AI tools can be used, and records prompts and responses in a confidential, zero-trust ledger (“Third Eye”).

These controls align with the Australian Government’s AI Policy Guide and support the Screening Tool’s triage process.


What the Australian Government Expects

Australian AI Policy Expectations

  • AI Policy Guide & Template
    Set scope and purpose, define responsibilities, insist on ethics, risk checks, security, transparency, and human oversight, and have a plan for screening, incidents, and review.

  • AI Screening Tool
    Seven quick yes/no questions to detect higher-risk use cases: sensitive/personal data, autonomy, regulated decisions, contestability, adaptability.


How DefensX Helps

How DefensX Helps

  • Zero-Trust AI Data Protection
    Inspects LLM requests/responses in a secured browser workspace; masks or blocks PII and source code before anything leaves.

  • AI-Aware DLP
    Live PII detection for prompts and responses.

  • Access & Governance
    Block unauthorized AI tools by category; enforce authentication; limit developer code-related use; block desktop (“fat”) AI clients; stop Shadow IT.

  • ChatGPT (Disable Data Sharing)
    Require user login; automatically disable “Improve the model for everyone”, preventing session data from training OpenAI models.

  • Microsoft Copilot (Commercial Data Protection)
    Require Entra ID; prevent prompts/responses from being saved or used for external model training.

  • “Third Eye” Logging
    Confidential prompt ledger + telemetry mapped to SOC 2, GDPR, SOCI.

Most AI work happens in the browser.
DefensX turns it into a secure workspace, monitoring every interaction and protecting employees and AI agents alike.


Where Nexi Agent Kicks In

Nexi Agent

AI Data Protection runs inside the secure digital workspace.
Data-leak prevention is enforced at the source (the browser) before sensitive data can leave.

Nexi helps assess governance, surfaces evidence, and generates audit-ready reports on demand — even across different regulatory frameworks.


Screening Alignment Table

Screening Question Answer DefensX Guardrails
Does the AI handle personal/sensitive/confidential info? Yes In-browser inspection + masking/blocking; AI-aware DLP; full prompt logging.
Significant autonomy without meaningful oversight? No Access policies keep assistants supervised; developer usage governed.
Acts autonomously at scale / hard to intervene? No Block by category/tool in browser; easy to pause risky flows.
Affects vulnerable or marginalized groups? No Prompt logs enable review + contestability; access controls stop high-risk misuse.
Operates in a regulated area / legal implications? No Policy controls + audit-ready logs support approvals & documentation.
Harm difficult to contest or reverse? No Ledgered prompts + telemetry simplify remediation.
Multi-purpose / easily repurposed? Yes Category-based blocking; identity-based policies; Copilot protections via Entra ID.

From Policy to Proof

With DefensX’s full AI data protection capabilities, the company seamlessly met the Australian Government’s new AI data security requirements, instantly safeguarding its operations and customer trust.

By leveraging DefensX, the SME:

  • Saved six figures in AUD
  • Avoided three months of integration and consulting overhead
  • Achieved rapid, audit-ready compliance in a highly regulated environment

This resulted in a powerful competitive advantage in an industry where regulatory adaptation speed directly influences credibility and market position.

Policy Element What to Show How Nexi Helps
Purpose & scope; ethics, risk, transparency, oversight Clear rules + evidence Third Eye ledger + browser telemetry + tool controls
Roles & approvals Ownership & workflow alignment Access categories verify approved usage
Screening before use Oversight levels tied to impact 7-question triage → Nexi policy enforcement
Quality, security, incidents Monitoring + ability to act fast Browser-native isolation + block/kill switch
Transparency & contestability Ability to review & override AI Identity-based logging + structured prompt history

Why Teams Pick DefensX

  • What used to take weeks + consultant fees now takes seconds.
  • Maps cleanly to Australian Government policy — no extra agents required.
  • Prevents leaks before they happen.
  • Blocks Shadow IT and unauthorized AI clients.
  • Audit-ready by default (SOC 2 / GDPR / SOCI / internal gov review).

© 2025 DefensX – Nexi AI Data Protection. Browser-native controls. Audit-ready by design.

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