In a bold move underscoring the accelerating convergence of cybersecurity and generative AI, SentinelOne has agreed to acquire Israeli startup Prompt Security in a deal valued at approximately $250 million. The acquisition, confirmed by Israeli tech publication Calcalist, positions SentinelOne to take the lead in addressing one of the most urgent challenges facing enterprises today: securing the explosive adoption of GenAI tools across the digital landscape. Founded just in 2023, Prompt Security represents a rare breed in the startup world—an ultra-fast scale-up with a product that landed it a nine-figure exit within less than two years of operations.
Prompt Security was launched in August 2023 by Itamar Golan and Lior Drihem, two cybersecurity veterans with deep roots in Check Point and Orca Security, two pillars of Israel’s well-established cyber defense ecosystem. The startup’s platform focuses specifically on mitigating risks associated with generative AI usage. Its technology enables organizations to detect data leaks, enforce safe prompts, identify malicious outputs, and gain real-time visibility into how AI tools are being used across their environments. In a world where ChatGPT, Claude, and other large language models are becoming embedded into business workflows, the potential for unintended information exposure and adversarial manipulation is growing rapidly. Prompt Security’s solution addresses that growing blind spot directly—filling a niche that major enterprises and security vendors alike have scrambled to secure.
This deal aligns strategically with SentinelOne’s broader mission to offer AI-native security capabilities. Already known for leveraging machine learning in endpoint protection and threat detection, SentinelOne is evolving beyond traditional antivirus and EDR into a platform that integrates cloud workload security, identity protection, and now—through Prompt—AI usage governance. By bringing Prompt’s technology and talent into the fold, SentinelOne can offer a more comprehensive defense posture tailored for the age of autonomous agents and enterprise-wide AI deployments.
The valuation—reportedly $250 million—represents an extraordinary return for Prompt’s investors. Prior to the acquisition, Prompt had raised just $23 million in funding. Although some reports speculated a $300 million deal, the $250 million figure appears consistently across trusted sources, suggesting the larger number may have reflected upper-end estimates or rounding. For Israeli venture capital, the deal is a reminder that even in a cautious global funding climate, standout innovation in cybersecurity can still command premium valuations—particularly when it touches the nexus of two red-hot sectors: AI and data security.
This acquisition also follows a string of AI-driven cybersecurity transactions, as major players reposition for the next generation of threats. Earlier this year, Palo Alto Networks completed its blockbuster $25 billion acquisition of CyberArk, another Israeli-born cybersecurity firm. Meanwhile, startups like Noma AI have drawn tens of millions in early funding by focusing on AI governance and safety. Prompt’s rapid trajectory and lucrative exit reaffirm Israel’s status as a global center of gravity for cyber innovation and further highlight the growing strategic value of AI-risk mitigation technologies.
With Prompt Security’s platform now under its wing, SentinelOne is poised to enhance its appeal to large enterprises, many of which are navigating the difficult balance between accelerating AI adoption and managing its risks. As generative AI becomes ubiquitous, this acquisition may prove prescient—placing SentinelOne at the forefront of a new era in cybersecurity, where guarding against machine-generated threats becomes as critical as stopping human adversaries.
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