Cybersecurity Startup Obsidian Secures $85M to Tackle AI Agent Risks

Obsidian Security has raised $85 million in new funding, pushing its valuation to $1.1 billion. The company builds a platform designed to help organisations govern AI agents operating across third-party applications—a growing concern as businesses increasingly rely on AI tools embedded in the software they use daily.

As AI agents become more common in workplace software, they can access sensitive data and perform automated actions on behalf of users, often with limited oversight. Obsidian's platform aims to give organisations visibility and control over these AI agents, helping reduce the risk of misuse, data exposure, or unauthorised actions within connected apps.

While this news centres on a large funding round for an enterprise-focused vendor, it signals a broader industry shift: AI governance is becoming a core part of cybersecurity strategy, not just a concern for large tech companies. Small and medium businesses using AI-powered tools—such as chatbots, automation features, or AI assistants built into everyday software—should take note, as similar governance challenges apply at any scale.