AI-powered enterprise search tools are revolutionizing business intelligence, but they are at great risk: over-information. Enter Knostic, a cybersecurity startup that raised an impressive $11 million to address the growing AI-driven data leak. The latest funding round brings the company’s total investment to $14 million and positions it as a key player in corporate AI Security.
Ensure AI for enterprises
Knostic was founded in 2023 by cybersecurity veterans Gadi Evron and Sounil Yu, both bringing extensive experience to corporate security. The company focuses on knowledge-based access controls for Large Language Models (LLMS) to ensure that AI tools such as Microsoft 365 Copilot and Glean do not show sensitive business information to unauthorized users.
“The problem is that these tools cannot be kept confidential.” explain Gadi Evron, Co-founder and CEO of Knostic. “Businesses wouldn’t be able to adopt these tools without Knostic, and we thank investors for recognizing this.”
Enterprise AI search tools often lack granular access control, increasing the risk of confidential information that is unintentionally shared in organizations. Knostic solves this problem by embedding security in the knowledge layer to ensure that AI-driven queries only return information that is authorized only.
Supported by top cybersecurity investors
Knostic’s funding round is led by Bright Pixel Capital, with Silicon Valley CISO Investments (SVCI) participating,,,,, DNX Adventure,,,,, Seed training,,,,, and well-known angel investors such as Kevin Mahaffey (founder of Lookout) and Gerhard Eschelbeck (former CISO of Google).
“In this era of rapid digital transformation, there is very few boards that don’t ask about AI,” he said. explain Fernando Martins, Director of Cybersecurity at Bright Pipixel Capital. “However, trying to do checks again and again. Enterprises who want to use AI security need knostic, which is simple.”
SVCI is a group of CISOs who also recognize the critical nature of Knostic technology. “As companies accelerate AI adoption, access control remains one of the biggest risks.” explain Shaun Marion, CISO of Xcel Energy and SVCI members. “Knostic’s solutions play a vital role in enabling AI transformation without compromising security.”
Why Knostic’s approach is a game-changer
Traditional security measures are difficult to regulate LLM-driven enterprise search tools, such as Microsoft 365 Copilot. Without effective controls, these tools can inadvertently surface business information (from due diligence on M&A to employee compensation details), creating significant security, legal and reputational risks.
Knostic solves this problem with a multi-layered security approach, including:
- Co-pilot preparation assessment: Determines sensitive information that may be exaggerated before deploying the LLM tool.
- AI-driven policies that need to be known: Ensure that enterprise AI search only returns information related to each user access level.
- Continuous monitoring and remediation: Mark policy violations and automatically adjust permissions to prevent future leaks.
- Protecting the AI application of the future: Extend to other enterprise AI platforms outside of Microsoft 365, such as Slack AI and Einstein AI.
“knostic transforms security teams from ‘no’ to ‘known departments, enabling adoption of secure AI”. explain Sounil Yu, co-founder and CTO of Knostic. “Unlike traditional access controls that only allow or deny access, we need to know how to reshape LLM responses to suit the user’s business environment.”
A winning streak in the field of cybersecurity
Knostic’s groundbreaking approach has been obtained Top industry praise. The company won the 2024 RSA Conference Launchpad Competition and the 2024 Black Hat Start Spotlight Competition, making it the only startup to win the two prestigious competitions.
The prominent rapid rise represents strong market demand for Knostic AI security solutions. “LLM surpassing is a huge problem and businesses do need to pay attention to.” Mike Rogers (RET.), former National Security Agency (NSA). “Knostic’s technology is crucial for businesses that want to avoid reputation, legal and economic damage, as AI becomes a strategic priority.”
Next step is Knostic?
With new funding, Knostic plans to enhance its platform, expand its cybersecurity capabilities, and enhance integration with enterprise AI tools. With the increasing adoption of AI, Knostic aims to help organizations implement safe and effective AI-driven solutions.
