Reco raises $55 million for AI agent security tools

In short: Reco has raised $55 million to expand its software that helps companies find and control AI agents inside their systems.

What happened

Reco, an AI security startup, said it raised $55 million in new funding. The round builds on a $30 million raise in February and brings Reco’s total funding to $140 million.

According to TechCrunch, AT&T invested through its venture arm, along with Forestay and Quadrille Capital. Reco’s CEO, Ofer Klein, said the company’s valuation has more than doubled since February, but he did not give an exact number.

Reco sells software meant to help security teams manage “AI agents,” which are automated helpers that can take actions in apps on a company’s behalf (like a co-worker who can click buttons and move files for you). Reco says companies are creating and using these agents so quickly that they lose track. Klein said Reco found 21,000 agents a Fortune 100 customer did not know about, and it also identified an agent created by an ex-employee that could still access Salesforce data.

Why it matters

As more workplaces use AI agents, the risk is not just what an agent says, but what it can reach and share. If an agent has access to the wrong apps or files, it can act like someone who was handed a master key by mistake. Investors backing Reco also signals a growing market for tools that help companies keep an up-to-date list of their AI agents and limit what those agents can do.

Source: TechCrunch AI