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Israeli AI Agent Security Co Reco Raises $50m
The startup said annual recurring revenue is in the double-digit millions as companies rush to control AI sprawl across enterprise systems.
- On Tuesday, AI security startup Reco announced it raised $55 million, bringing its total capital raised to $140 million.
- Enterprises are deploying AI agents faster than they can track, prompting what industry observers call "AI sprawl," which led Reco to shift from SaaS security to broader agent protection.
- Reco's platform identified 21,000 unknown agents at one Fortune 100 customer, while the startup serves more than 100 customers with financial services accounting for about 40% of business.
- At least two dozen companies now offer AI agent security solutions, a crowded market where HiddenLayer CEO Chris Sestito warned that production risks scale to "full scale really quickly."
- Reco CEO Ofer Klein expects annual recurring revenue, currently in "double-digit millions of dollars," to triple this year, while the company's valuation has "more than doubled" since the Series B was announced.
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cybernoz.com
cybernoz.comReco raises $55M as AI agent security startups crowd the market
The round builds on a $30 million fundraise in February, taking the company's total funding to $140 million.
·San Francisco, United States
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Reco earned $55 million to expand its security platform while companies deploy AI agents faster than they can identify them and control their permits. The round arrives in a market where at least two dozen suppliers already compete.
IT Security News Hourly Summary 2026-09-29 15h : 22 posts
22 posts published in the last hour 12:32Andorran Police joins Europol’s secure communication network 12:32Reco raises $55M as AI agent security startups crowd the market 12:32The devil is still in the email – but wearing a new mask 12:32ChatGPT Custom… Read more →
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