From TechCrunch · Ram Iyer · · 2m
Reco raises $55M as AI agent security crowds
Reco has raised $55 million to help companies find and secure thousands of AI agents they don't know they have deployed.
In brief
Reco has raised $55 million to help companies find and secure thousands of AI agents they don't know they have deployed. Reco raised fifty five million for AI agent security as dozens of vendors enter a market where enterprises are deploying agents faster than they can track them. Originally reported by TechCrunch.
The agent security boom
As enterprises deploy AI agents across networks, CISOs face a new problem: dozens of vendors offering to help secure them. At least two dozen companies now sell some form of AI agent security.
Reco's pivot to agents
AI security startup Reco, which previously sold software to map and secure SaaS and AI platforms, has repositioned around a broader solution using a context graph to connect agents to apps, people, accounts, and permissions.
Hidden agents at scale
Reco's co-founder and CEO Ofer Klein said companies are building and deploying AI agents faster than they can track them. At one Fortune 100 customer, Reco found twenty-one thousand agents the company didn't know about.
Rogue agent risk
At a large financial services customer, Reco identified an agent set up by an ex-employee that could access Salesforce and share that data with a domain the company couldn't see.
The ecosystem problem
Klein told TechCrunch that market demand for agent security is not only about the agent itself but about the entire ecosystem end-to-end. Other security startups report similar urgency across their customer bases.
“The market demand right now for agent security is not only about the agent itself; it's about the entire ecosystem end-to-end.”
Reco's fifty-five million raise
Reco raised fifty-five million on Tuesday, building on a thirty million Series B in February. AT&T, a customer, invested via its venture arm, as did Forestay and Quadrille Capital.
Valuation and revenue growth
Klein said the company's valuation has more than doubled since the Series B was announced in February, estimating it in the high hundreds of millions. Annual recurring revenue is in the double-digit millions and is expected to triple this year.
Customer base and market focus
Reco has more than one hundred customers, with financial services companies accounting for about forty percent of the business. The company integrates with more than two hundred eighty apps and can add new integrations within days.
Total capital and next steps
The new funding brings Reco's total capital raised to one hundred forty million. The startup will use the funding for hiring, sales, partnerships, and customer support.
The headline
Reco raised fifty five million for AI agent security as dozens of vendors enter a market where enterprises are deploying agents faster than they can track them.
