Observed Signal · Sep 29, 2026 · Funding · Source: techcrunch · Impact: 3/5 · Sentiment: Positive
Reco Raises $55M for AI Agent Security Platform
Reco, an AI security startup, has raised $55 million in an extension of its Series B funding round, bringing its total capital to $140 million. The funding was led by existing investors, including AT&T's venture arm, Forestay, and Quadrille Capital. Reco is repositioning its platform to focus on AI agent security, using a context graph to map agents' access to apps, data, and permissions. The company claims to have discovered over 21,000 undocumented agents at a Fortune 100 customer. Reco plans to use the funds for hiring, sales, and partnerships, and expects its ARR to triple this year.
This funding round highlights the growing market for AI agent security, a niche within the broader AI infrastructure space that is increasingly relevant to AdTech as AI agents are deployed for marketing and advertising automation. The investment from AT&T and the substantial valuation increase signal confidence in this segment.
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Key Takeaways & Evidence Grounding
- Reco raised $55 million in an extension of its Series B funding round.
- Total funding for Reco now stands at $140 million.
- Investors include AT&T's venture arm, Forestay, and Quadrille Capital.
- Reco's valuation has more than doubled since the initial Series B in February, estimated in the 'high hundreds of millions'.
- Reco expects its annual recurring revenue to triple this year.
Connected Companies & Entities
2 Entities mapped“AT&T, a customer, invested in the extension via its venture arm....”
“CrowdStrike is building detection and response controls for AI agents....”
Ontology Mapping & Concepts
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