Nudge Security, a leading innovator in SaaS and AI security governance, has secured a $22.5m Series A funding round.
The investment was led by Cerberus Ventures, with additional participation from existing backers Ballistic Ventures, Forgepoint Capital and Squadra Ventures. Alongside the new capital, Cerberus Ventures’ Morgan Mahlock will also join the company’s board.
The company said the new raise was driven by the rapid expansion of AI across enterprise SaaS ecosystems. Organisations are now facing significant challenges in managing AI-enabled applications, complex integration networks and the emergence of non-human identities with access to sensitive environments. This growing complexity is shaping the need for more comprehensive governance tools at what Nudge Security calls the Workforce Edge.
Founded to help organisations manage real-time workforce decisions across SaaS and AI environments, Nudge Security focuses on replacing rigid, innovation-blocking security controls with dynamic, real-time guidance. Its platform provides automated discovery, behavioural insight and continuous governance embedded directly in the way employees work.
The firm positions itself as the only solution dedicated to securing the Workforce Edge, giving organisations visibility across all SaaS and AI tools, the integrations that bind them, and the human and non-human identities that interact within them.
The new funding will be used to expand Nudge Security’s governance capabilities and accelerate its innovation pipeline. Since its launch in October 2022, the company has seen rapid market traction, achieving 3x ARR growth for two consecutive years and onboarding nearly 200 customers across sectors including software, financial services, biotechnology, healthcare and entertainment.
The company has delivered over 60 product releases in the past year, strengthening areas such as AI governance, identity security, third-party risk assessment and overall security posture management. Its capabilities now include full Day One discovery of SaaS and AI footprints, AI visibility across embedded agents and integrations, proprietary risk intelligence, automated workforce guardrails, identity security workflows and security posture monitoring tied to best practices.
Cerberus Ventures director Morgan Mahlock said, “Nudge Security is at an exciting time in their journey and we’re thrilled to partner with Russ, Jaime, and the team. Nudge has cultivated incredible customer loyalty due to its intuitive product that both security teams and employees appreciate for its ease of use. It can deliver immediate value by providing an automated inventory of the SaaS and AI tools being used across an organization. With the vision to expand governance of interactions with SaaS and AI at the Workforce Edge, Nudge will become even more essential for highly distributed, AI-first organizations.”
Nudge Security co-founder & CEO Russell Spitler said, “The difference between AI apps and SaaS has all but disappeared – almost every app has embedded AI capabilities, agents, and integrations. In order to secure workforce AI use at scale, you need to consider the entire SaaS ecosystem, including all SaaS and AI tools, their integrations, and the non-human identities that connect them. This funding will enable us to continue to expand our capabilities and help organizations confidently embrace innovation while maintaining security and control.”
Nudge Security co-founder & CTO Jaime Blasco said, “Our team’s ability to innovate at this pace is a direct reflection of our deep understanding of the challenges our customers face. We’re not just building features—we’re solving real problems that security and IT teams encounter every day as they navigate the complexities of AI adoption and SaaS sprawl. This funding allows us to continue pushing the boundaries of what’s possible and deliver unparalleled value to organizations looking to embrace innovation without compromising on security.”
Recently, Sweet Security raised $75m in a Series B funding round led by Evolution Equity Partners, with additional backing from Munich Re Ventures, Glilot Capital Partners, and Key1 Capital.
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