CrowdStrike to acquire two AI security startups for $495 million

CrowdStrike agreed to acquire two artificial-intelligence security startups, Fiddler AI and Dreadnode, for a combined total of $495 million on November 3, 2026. CrowdStrike will pay roughly $400 million for Palo Alto-based Fiddler AI, which develops software to monitor and explain AI agent behavior, and about $95 million for Dreadnode, an automated security-testing platform founded in 2023. The deal expands CrowdStrike's capabilities to monitor and contain AI agents as enterprises rush to deploy AI.

Acquisition terms for Fiddler AI and Dreadnode

• ▪CrowdStrike announced it would pay most of the $495 million acquisition price for Fiddler AI and Dreadnode in cash, with a portion paid in stock subject to vesting conditions
• ▪CrowdStrike agreed to acquire two artificial-intelligence security startups, Fiddler AI and Dreadnode, for a combined total of $495 million

Fiddler AI acquisition details

• ▪Fiddler AI develops software designed to monitor and explain artificial intelligence agent behavior
• ▪CrowdStrike agreed to acquire Palo Alto, California-based Fiddler AI, founded in 2018, for roughly $400 million

Dreadnode acquisition details

• ▪Dreadnode provides an automated security-testing platform that probes artificial intelligence models for flaws before their deployment
• ▪CrowdStrike agreed to acquire Dreadnode, an automated security-testing platform founded in 2023, for approximately $95 million

Strategic goals of the acquisitions

• ▪CrowdStrike's acquisitions of Fiddler AI and Dreadnode aim to expand its security offerings as enterprise customers rapidly deploy artificial intelligence technologies
• ▪CrowdStrike targeted oversight and explainability capabilities through its acquisitions of Fiddler AI and Dreadnode to monitor and contain artificial intelligence agents