HiddenLayer, a startup focused on securing artificial intelligence systems, has raised $100 million in funding as enterprises grapple with the security challenges of deploying AI at scale.
What Happened
The Austin-based company announced the Series B round, bringing its total funding to over $130 million. The round was led by venture capital firm Sutter Hill Ventures, with participation from existing investors including Microsoft’s M12 and Foundry. HiddenLayer develops software designed to protect AI models from adversarial attacks, data extraction, and model tampering—threats that traditional cybersecurity tools are not equipped to address.
Why It Matters
The funding reflects growing enterprise demand for specialized AI security tooling as organizations deploy increasingly large language models and other AI systems. Unlike conventional software, AI models present unique attack surfaces: they can be queried to extract training data, manipulated through adversarial inputs, or stolen through repeated inference queries. HiddenLayer's platform monitors model behavior to detect such attacks in real time. The company reports that it now counts 25 of the Fortune 100 among its customers.
The Bottom Line
HiddenLayer joins a broader wave of startups and established vendors building security products for AI infrastructure, an area venture investors see as ripe for growth as enterprise AI adoption accelerates.