Company news
HiddenLayer nabs $100M as enterprises rush to secure their AI deployments
Published 2 September 2026
WHAT HAPPENED
HiddenLayer raised $100 million in Series B funding led by Delta-v Capital with participation from Ten Eleven Ventures, Morgan Stanley, Microsoft's M12, and Booz Allen Hamilton. The Austin-based AI security startup reported annual recurring revenue grew more than 10x in the past year and now sits in the tens of millions of dollars.
WHO IS INVOLVED
HiddenLayer's co-founder and CEO Chris Sestito leads the company, which serves financial services firms, large tech companies, the Department of Defense, and intelligence community clients. The company counts a frontier model provider with more than 700 million weekly users among its customers.
WHY IT MATTERS
Gartner forecasts companies will spend $2.83 billion this year on AI security products, up 83% from 2025, reaching $4.78 billion next year as enterprises deploy AI agents and models at scale. HiddenLayer's tools protect AI deployments from adversarial attacks, prompt injection, agent manipulation, and malicious code by extending traditional endpoint detection and response concepts to AI systems.
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- Type
- Mega round
- Category
- AI Security
- Source
- techcrunch.com ↗
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