Cyera, a data security firm valued at $12 billion after a recent $600 million funding round, has announced its intent to acquire Oasis Security for about $1 billion. The transaction will largely be settled in cash, with some payment in Cyera’s shares. Oasis Security specializes in securing non-human identities, focusing on AI agents, which are rapidly increasing in number across enterprises. Their technology enables companies to monitor AI agent behaviors and manage permissions to various software systems.

Founded in 2022, Oasis Security has raised $195 million from investors including Accel, Craft Ventures, and Cyberstarts. The deal underscores a growing cybersecurity market aimed at countering threats enabled by AI tools that enterprises are increasingly deploying. Both Cyera and Oasis share investors Accel and Cyberstarts, and this acquisition fits Cyera’s recent pattern of expanding its capabilities through strategic purchases, having also acquired Ryft and Genie Security earlier this year.

Following the acquisition, Cyera plans to integrate Oasis’s technology into a comprehensive identity and data security platform. This effort aligns with Cyera’s goal of creating a unified security solution to address challenges in the AI era. Despite recently crossing $150 million in annual recurring revenue, Cyera is still not profitable, having raised a total of approximately $2.3 billion since its founding five years ago.

The move comes as enterprises face increasing pressure to safeguard themselves from sophisticated AI-driven threats. By combining resources with Oasis Security, Cyera aims to strengthen protections around AI agents that interact with sensitive data and systems. This billion-dollar deal highlights the importance of security innovation in the midst of AI’s fast expansion within organizational ecosystems.