Cybersecurity Firm Alice Raises $140 Million at Up to $800 Million Valuation to Expand AI Security

Israeli cybersecurity company Alice has secured $140 million in a funding round led by Apax Digital, with participation from Samsung, SentinelOne, Maj Invest, MoreTech, and Phoenix. Existing investors including CRV, Grove, NVP, Highland, Vintage, Resolute, Claltech, and NFX also took part. This round brings total investment in Alice since its 2018 founding to $280 million and values the company between $700 million and $800 million.

The new capital will be used to expand Alice's development center in Israel and grow its sales and marketing teams. The company plans to increase its workforce, currently about 400 employees mostly based in Israel, with additional offices in New York, London, and Munich. Alice was founded as ActiveFence by CEO Noam Schwartz, CTO Yiftach Or, Chief Customer Officer Alon Porat, and Eyal Dikan. It has spent nearly a decade combating online fraud, cyberattacks, coordinated manipulation, and hostile behavior, developing expertise in evolving attack methods.

Alice is approaching $100 million in annual recurring revenue (ARR). Schwartz told Calcalist that their systems operate within major platforms like Amazon and Nvidia, and since 2022 have collaborated with AI labs such as Canada’s Cohere. He emphasized the critical role of their "highly contaminated" data in securing AI models, especially as AI technologies like ChatGPT proliferate. Alice’s technology helps both AI model developers and users by testing and protecting AI systems from training through deployment.

The company works closely with leading AI labs including Anthropic and Cohere to identify vulnerabilities and tailor defenses. After deployment, Alice monitors AI behavior in real time, simulating attacks to detect data leaks, compliance breaches, and undesirable actions. Their researchers attempt to make AI models violate set rules to strengthen protections. Alice operates one of the world’s largest AI security research labs with over 150 researchers and currently protects eight of the top ten AI labs globally.

Schwartz also referenced the recent incident involving Israeli company Irregular, noting that while Irregular assesses AI model risks, Alice provides comprehensive solutions to mitigate those dangers. He highlighted the increased misuse of open AI models by illegitimate organizations, including data theft and phishing campaigns, underscoring Alice’s mission to anticipate threats and build safeguards. The company recently rebranded to reflect its expanded focus on future AI security challenges.