SentinelOne announces Prompt Security acquisition, expands into GenAI security

SentinelOne has signed a definitive agreement to acquire Prompt Security, an Israeli startup focused on securing AI in runtime and preventing data leakage from generative AI tools. The acquisition, which will be made through a combination of cash and stock, is expected to close in SentinelOne’s third fiscal quarter, pending regulatory approvals and customary conditions. Calcalist first revealed the deal on Monday.

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The deal marks a strategic shift for the NYSE-listed cybersecurity firm, extending its platform into one of the fastest-growing and least regulated frontiers of enterprise technology: generative and agentic AI. While financial terms were not disclosed, it is estimated to be in the region of $250 million.

“AI is the most transformative force in the world today—but without security, it becomes a liability,” said SentinelOne CEO Tomer Weingarten. “With Prompt Security, we’re making it possible for every company to fully embrace GenAI and agentic AI without compromising safety and security.”

The Israeli-founded SentinelOne currently has a market cap of around $6 billion.

“SentinelOne shares our passion for empowering teams and organizations to embrace AI as a distinct advantage, while delivering real-time, automated protection built for the AI-native world,” said Prompt Security CEO and co-founder Itamar Golan.

Although the valuation may not seem especially high, Prompt is only two years old and has raised just $23 million to date, representing a rapid and significant return for its investors. These include the Israeli venture capital fund Hetz Ventures, Jump Capital, Ridge Ventures, and major technology companies Okta and F5.

Prompt Security was founded in August 2023 by Itamar Golan (CEO) and Lior Drihem (CTO), both graduates of Israel’s elite 8200 Unit and experts in cybersecurity and artificial intelligence. Itamar previously founded the AI divisions at Check Point and Orca Security, while Lior served as Director of Innovation at Check Point before joining Orca Security alongside Itamar.

Prompt’s solution secures every point of interaction between generative AI tools and the organization. It monitors employee use of tools such as browsers, code assistants, and GenAI integrations, as well as AI-enhanced applications developed internally. The platform analyzes every prompt and response to detect potential exposure of sensitive data, block harmful content, and defend against AI-specific attack vectors such as toxic prompts.

Industry insiders believe this deal will not be the last of its kind. Other startups in the space, includin—but without security, it becomes a liability,” said SentinelOne CEO Tomer Weingarten. “With Prompt Security, we’re making it possible for every company to fully embrace GenAI and agentic AI without compromising safety and security.”

The Israeli-founded SentinelOne currently has a market cap of around $6 billion.

“SentinelOne shares our passion for empowering teams and organizations to embrace AI as a distinct advantage, while delivering real-time, automated protection built for the AI-native world,” said Prompt Security CEO and co-founder Itamar Golan.

Although the valuation may not seem especially high, Prompt is only two years old and has raised just $23 million to date, representing a rapid and significant return for its investors. These include the Israeli venture capital fund Hetz Ventures, Jump Capital, Ridge Ventures, and major technology companies Okta and F5.

Prompt Security was founded in August 2023 by Itamar Golan (CEO) and Lior Drihem (CTO), both graduates of Israel’s elite 8200 Unit and experts in cybersecurity and artificial intelligence. Itamar previously founded the AI divisions at Check Point and Orca Security, while Lior served as Director of Innovation at Check Point before joining Orca Security alongside Itamar.

Prompt’s solution secures every point of interaction between generative AI tools and the organization. It monitors employee use of tools such as browsers, code assistants, and GenAI integrations, as well as AI-enhanced applications developed internally. The platform analyzes every prompt and response to detect potential exposure of sensitive data, block harmful content, and defend against AI-specific attack vectors such as toxic prompts.

Industry insiders believe this deal will not be the last of its kind. Other startups in the space, including Lasso Security, Aim Security, and Pillar Security, have also received acquisition offers in recent weeks. Suitors reportedly include Check Point and global cybersecurity players like Zscaler and F5.

The rise of generative AI has shaken the cybersecurity landscape on nearly every level. Hackers are using AI to craft more sophisticated attacks, including prompt-based exploits, while employees unknowingly expose sensitive information through tools like ChatGPT. On the defense side, AI is accelerating the development of security solutions.

In April, Palo Alto Networks fired the starting gun with its $700 million acquisition of Protect AI. In May, Tenable followed with a $100 million purchase of Israeli startup Apex, heating up the market further. Cisco, meanwhile, made its first move a year ago with the $500 million acquisition of Israeli company Robust Intelligence.

g Lasso Security, Aim Security, and Pillar Security, have also received acquisition offers in recent weeks. Suitors reportedly include Check Point and global cybersecurity players like Zscaler and F5.

The rise of generative AI has shaken the cybersecurity landscape on nearly every level. Hackers are using AI to craft more sophisticated attacks, including prompt-based exploits, while employees unknowingly expose sensitive information through tools like ChatGPT. On the defense side, AI is accelerating the development of security solutions.

In April, Palo Alto Networks fired the starting gun with its $700 million acquisition of Protect AI. In May, Tenable followed with a $100 million purchase of Israeli startup Apex, heating up the market further. Cisco, meanwhile, made its first move a year ago with the $500 million acquisition of Israeli company Robust Intelligence.