Okta Makes a Strategic Play in AI Security

Okta has agreed to acquire AI identity security startup Permiso, betting on the growing demand for protecting AI agents and other machine identities. The acquisition is valued at around $200 million, with the terms structured as an almost all-cash deal.

Expanding Beyond User Verification

Okta's move to buy Permiso comes as identity management companies look to expand beyond verifying users at login. The focus has shifted to continuously monitoring what users, applications, and AI agents do once gaining authorized access to a network environment. This shift has intensified competition to secure machine identities as enterprises embed AI deeper into everyday operations.

Permiso's software helps security teams spot suspicious activity in cloud environments after users or applications have been granted access. The startup has expanded its platform to monitor AI agents and other machine identities, detecting attacks that use stolen or compromised identities to move through cloud infrastructure.

A Proven Identity Threat Detection and Response Capabilities

The acquisition strengthens Okta's push into securing AI agents and other non-human identities alongside its core identity management business. Permiso's identity threat detection and response capabilities will extend Okta's identity security fabric, advancing its threat detection and prevention capabilities.

Permiso has raised around $29 million to date, including an $18.5 million Series A round in April 2024 led by Altimeter Capital. The startup has made significant progress in developing software that helps security teams identify and respond to identity-based threats.

What's Next for Okta and Permiso

The deal is expected to close in the third quarter of Okta's fiscal 2027, subject to customary closing conditions. Once the acquisition is complete, Okta's identity security fabric will be enhanced with Permiso's proven identity threat detection and response capabilities. This move underscores Okta's commitment to securing AI agents and other machine identities, a growing concern for enterprises as they deploy autonomous software across their operations.

• Okta's acquisition of Permiso highlights the growing importance of AI security in the enterprise.
• The deal is expected to close in the third quarter of Okta's fiscal 2027, subject to customary closing conditions.
• Permiso's software will extend Okta's identity security fabric with proven identity threat detection and response capabilities.
• The acquisition underscores Okta's commitment to securing AI agents and other machine identities.