New investment round will accelerate AI security leader’s product development, enabling even more enterprises to safely and responsibly use generative AI
CalypsoAI, the leader in AI Security, announced today it has raised $23 million in a Series A-1 financing. Paladin Capital Group led the round, with participation from existing investors including Lockheed Martin Ventures, new investors Hakluyt Capital and Expeditions Fund, and strategic angels, including Auren Hoffman and Anne and Susan Wojcicki. CalypsoAI will use the funding to drive product development of its Large Language Model (LLM) security solutions, talent acquisition, and go-to-market investments as demand continues to skyrocket for its solutions that secure and protect organizations using LLMs across enterprises. With this new round of funding, CalypsoAI has raised a total of $38.2 million since its founding.
CalypsoAI established the AI Security (AISec) category and is first to market in delivering the most comprehensive suite of solutions that accelerate trust and governance to enterprise and government adoption of AI and machine learning. By utilizing CalypsoAI to test, validate, and monitor internally developed as well as third-party AI applications prior to wide deployment, organizations can achieve confidence these systems will deliver the intended operational outcomes while preventing cybersecurity risks.
CalypsoAI recently released CalypsoAI Moderator, the first and most robust AI governance product available today that empowers organizations to leverage the immense potential of LLMs responsibly and securely, while reducing risk. CalypsoAI Moderator is easy to use, model-agnostic, and enables administrators to establish a secure gateway and actively monitor LLM usage in real-time across the organization. Dashboards provide full auditability, traceability, and attribution for cost, content, and user engagement. The platform prevents data loss by preventing sensitive company information from being shared on public LLMs; identifying and stopping malicious attacks deployed from within generative AI tools; and ensuring AI outputs are verified to support optimal decision-making. Adopters of CalypsoAI Moderator include highly regulated financial services institutions, insurance companies, and government organizations.
According to Pitchbook, the global generative AI market is expected to reach $42.6 billion in 2023 as enterprises increasingly seek to adopt the technology to unlock new opportunities, enhance decision-making, and fuel innovation. Generative AI will also generate $4.4 trillion in economic value globally, according to McKinsey (June 2023). However, this mass adoption of LLMs like ChatGPT, Bard, and Cohere expands the opportunities for malicious attackers and creates data security concerns. When employees use generative AI tools, they can unknowingly put their organization at risk by unintentionally including intellectual property in prompts or engaging with malicious code embedded in a response, which triggers a malicious infiltration. Such simple errors can incite crippling cyber attacks that erode brand trust, impact critical infrastructure, and cause devastating financial loss.
“Many organizations may think banning the use of LLMs or setting up written guidelines are the right approaches to mitigating risk. Not only are these the wrong approaches, but it also sets them up to become digital laggards as their competitors successfully deploy the technology to scale innovation,” said Neil Serebryany, Founder and CEO of CalypsoAI. “By adopting CalypsoAI’s solutions, every enterprise or government organization should be able to enable the benefits AI solutions deliver while having confidence that they are trusted, resilient, and secure. With support from some of the top investors and a drive to put LLMs in every worker’s hands, CalypsoAI is bringing the AI and cybersecurity markets together in a way that’s never been done before.”
CalypsoAI has received industry accolades recognizing the company’s AI security capabilities, including being named a 2022 Gartner® Cool Vendor in “Cool Vendors™ for AI Core Technologies–Scaling AI in the Enterprise.” Forrester also identified CalypsoAI as a key AI security solution provider in the Top Cybersecurity Threats In 2023 report.
“AISec technology will only become more critical to enterprises, and CalypsoAI has been leading the charge since the beginning,” said Mourad Yesayan, Managing Director at Paladin Capital Group. “The company’s unique mix of cybersecurity and AI talent, combined with its battle-tested technology, makes it a clear driver of the AI revolution. Paladin is proud to have been an early supporter of Neil and the team at CalypsoAI, and we’re excited to be leveling up our investment and partnership as the company accelerates the trusted adoption of artificial intelligence.”
To learn more about CalypsoAI, visit calypsoai.com.
About CalypsoAI
CalypsoAI is the leader in developing and delivering AI security solutions. The company’s vision is to be the trusted partner and global leader in the AI security domain, empowering enterprises and governments to leverage the immense potential of generative AI solutions and Large Language Models (LLMs) responsibly and securely. CalypsoAI is striving to shape a future in which technology and security coalesce to transform how businesses operate and contribute to a better world. Founded in Silicon Valley in 2018 by top minds in the fields of artificial intelligence, data science, and machine learning, the company has secured backing from investors including Paladin Capital Group, Lockheed Martin Ventures, Lightspeed Venture Partners, 8VC, Hakluyt Capital, and Empros Capital. To learn more, visit the website or follow CalypsoAI on Twitter and LinkedIn.
About Paladin Capital Group
Paladin Capital Group was founded in 2001 and has offices in Washington DC, New York, London, Luxembourg, and Silicon Valley. As a multi-stage investor, Paladin’s core strength is identifying, supporting and investing in innovative companies that develop promising, early-stage technologies to address the critical cyber and advanced technological needs of both commercial and government customers. Combining proven investment experience with deep expertise in global security, cyber technology and cutting-edge research, Paladin has invested in more than 60 companies since 2008 and has been a trusted partner to investors, entrepreneurs and governments for over two decades.
For more on Paladin Capital Group, follow us on Twitter at @Paladincap and on LinkedIn or visit us at www.paladincapgroup.com.
Contacts
Amanda Maguire
calypsoAI@v2comms.com