CrowdStrike Acquires Two AI Security Startups for $495 Million

CrowdStrike to Acquire Two AI Security Startups for $495 Million Gold Finance reports that on November 3, CrowdStrike reached agreements to acquire two AI security startups for a combined $495 million. As enterprises race to deploy AI agents, this acquisition will strengthen CrowdStrike’s ability to monitor and manage risks associated with AI agents. The cybersecurity firm will pay approximately $400 million to acquire Fiddler AI, headquartered in Palo Alto, California. Founded in 2018, Fiddler AI develops software for monitoring and explaining agent behavior. CrowdStrike will also acquire Dreadnode— an automated security testing platform founded in 2023 that detects vulnerabilities in AI models before deployment—for approximately $95 million. CrowdStrike stated that the majority of the purchase prices will be paid in cash, with the remainder in restricted stock subject to vesting conditions. CrowdStrike President Mike Sentonas said, “We’ve moved beyond the testing phase; enterprises are now deploying AI agents at scale.” CrowdStrike plans to integrate the capabilities of Fiddler and Dreadnode into its Falcon platform by early next year.