CrowdStrike buys two AI security startups for nearly 500 million dollars

Cybersecurity firm CrowdStrike is buying two artificial intelligence security companies named Fiddler AI and Dreadnode.

The Purchases

CrowdStrike is paying about 400 million dollars for Fiddler AI and roughly 95 million dollars for Dreadnode. Fiddler AI builds software that lets businesses monitor AI agents inside their companies. Dreadnode helps firms automate security tests to find flaws in AI models and apps before they go live.

Integration Plans

Fiddler AI will join CrowdStrike's Falcon platform as Falcon Observe to help clients check agents and track their actions. Dreadnode will become part of the Falcon Guardian product to feed test results into security policy recommendations. Fiddler AI was founded in 2018 and has raised about 99 million dollars, while Dreadnode started in 2023 and has raised 14 million dollars.

Context

These acquisitions come as companies race to adopt new AI tools faster than their internal security policies can keep up. Major cybersecurity providers are expanding their product lines to protect corporate networks from emerging risks tied to automated workflows and independent AI agents.