That has absolutely nothing to do with the encryption software. If the information is vulnerable that is because of the secure network.
The claim that this software will eliminate the need for a server is 100% false. Data cannot be stored on a network without a server. Encryption software has nothing at all to do with data storage.
The claim was this software does not require a server. That is 100% False. Data cannot be stored in the air it must be stored on a server.
The second claim was this software does not require a server to access the internet. That is also 100% false. The internet is a network of servers. Without servers there would be no internet to connect to.
This software does nothing different than any other encryption software out PERIOD !!! Is it more secure? That has yet to be seen because it doesnt exist at this point in time.