When Kathy Durfee launched TechHouse 30 years ago, it wasn’t just about business—it was about balancing family, purpose, and technology. Today, she leads her company with the same clarity, helping small businesses embrace digital transformation while staying true to a core value often overlooked in tech: trust.
Kathy and I were both at the Jim Moran Business Leadership Conference. I was keynoting and hosting and she talked about privacy on the panel she was on. She warned that companies who have advertising business models, might not be using your data in the best ways. She said companies such as Microsoft and Zoho, whose business is selling software, are better.
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Key Takeaways:
- Data is the new currency: AI tools rely on data, and businesses must know how their data is being used—or misused.
- Trust the business model: If a company profits from selling software (like Microsoft), they’re less likely to monetize your data.
- Your input becomes the AI’s output: Sensitive information you feed into AI tools may later reappear in unexpected ways.
- Always assume your data could be public: Treat private uploads like they’re on a billboard seen by competitors and hackers.
- You shape AI’s future: What we upload, publish, and digitize is training tomorrow’s artificial intelligence.
From Chemistry to Code: The Origin Story
In a candid conversation with small business expert Ramon Ray, Kathy shared the unconventional path that led her to founding TechHouse. From discovering a crystal in a university chemistry lab to pivoting into English literature and eventually landing in programming, her story is one of resilience and reinvention.
But her real pivot point? Motherhood. When her employer couldn’t accommodate her need for flexibility after her daughter was born, Kathy made the bold decision to resign and launch her own firm—building TechHouse from the ground up.
“I had to choose my family,” she said. “And I chose to build something where flexibility and people came first.”
Related – This Small Research Firm is Saving Hours with Microsoft Copilot AI – Here’s how.
The Truth About Data, AI, and Big Tech
Kathy’s passion for tech is balanced by a deep concern for how businesses and consumers protect their data. During the interview, she praised Microsoft and its Copilot tools for their commitment to privacy—contrasting that with other platforms that trade user data as a business model.
“You need to understand how a company makes its money,” Kathy explained. “If they’re not charging you for the product, they’re likely monetizing you another way—through your data.”
That means small business owners need to be careful about what they upload to AI tools. Casual prompts like “What park should I visit in Korea?” aren’t an issue. But uploading a spreadsheet with proprietary customer info or venting about a high-profile client? That’s risky.
Kathy compared AI models to interns. If your intern overheard sensitive information and later repeated it at a networking event, you’d be alarmed. AI engines, similarly, “learn” from your input—and that data can inform responses given to someone else, perhaps even a competitor.
Related – Too Much Tech and Too Little Human: Find the Right Balance
Think Before You Type: AI Is Watching and Learning
In her parting message, Kathy emphasized a powerful idea: “The models are learning from whatever’s been digitized. You are the role model for the AI.”
In other words, our emails, blogs, social posts, and prompts are shaping the next generation of artificial intelligence. As small business owners, we must think critically about the digital trail we leave behind.
This advice is especially timely in an era where tools like ChatGPT, Google Gemini, Zoho Zia, and Microsoft Copilot are rapidly becoming part of daily business operations. It’s tempting to throw everything at them. But Kathy’s wisdom is a reminder: just because the tech is smart doesn’t mean it’s secure.
About TechHouse
Based in Florida, TechHouse is a technology and business process consulting firm focused on helping small businesses grow with confidence. From cloud integration to cybersecurity and AI implementation, the company is a trusted partner for entrepreneurs looking to modernize their operations without compromising their values.
“We believe in small business,” Kathy said. “If you’re interested in business advice, technology consulting, or how to securely use AI—TechHouse is here to help.”
You can learn more about TechHouse at tech-house.com