Reco raises $55M, pivots to AI agent security

Reco, an AI security startup, has raised $55 million in new funding and repositioned its business around AI agent security. The extension was backed by AT&T's venture arm, along with Forestay and Quadrille Capital, bringing Reco's total funding to $140 million.

The company previously focused on mapping and securing SaaS and AI platforms. It now offers a context-graph-based solution that links agents to apps, people, accounts, and permissions, giving security teams visibility into what an agent can reach and the ability to cut off access it does not need.

Co-founder and CEO Ofer Klein said companies are building and deploying AI agents faster than they can track. At one Fortune 100 customer, Reco's platform found 21,000 agents the company did not know about. At a large financial services customer, the startup identified an agent set up by a former employee that could access Salesforce and share data with a domain the company could not see.

Klein said the market demand for agent security now covers the entire ecosystem, not just agents themselves. The company integrates with more than 280 apps, uses browser and network signals to discover agents outside connected apps, and has controls to inspect prompts and tool calls. Reco has more than 100 customers, with financial services accounting for about 40% of its business, and plans to use the new funding for hiring, sales, partnerships, and customer support.