M&A Tracker

SentinelOne to Acquire Observo AI in $225 Million Deal

SentinelOne is buying Observo AI for a combination of cash and stock to boost its SIEM and data offerings.

SentinelOne on Monday announced plans to acquire Observo AI, a California-based company that has developed an AI-native data pipeline platform for DevOps and security.

SentinelOne, which specializes in endpoint protection and detection and response solutions, said Observo AI will enable it to boost its SIEM and data offerings, which the company says brought a significant contribution to its latest quarterly bookings.

Observo AI’s platform is designed to help enterprises manage the significant amount of data generated by IT infrastructure and security tools. 

AI is used to filter the data to reduce its volume, help security teams detect and address incidents faster, and route data to SIEMs and data lakes. 

“Observo AI is miles ahead of its rivals and will uniquely benefit customers with an AI-native data architecture — one that is open by design, intelligent by default, and built for the scale and speed needed for autonomous security operations,” said Tomer Weingarten, CEO and co-founder of SentinelOne. 

“As a result, we can deliver significant new customer and partner value – and customer and partner choice – by allowing for fast and seamless data routing into our AI SIEM, or any other destination,” Weingarten added.

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SentinelOne revealed in an SEC filing that it will pay roughly $225 million in cash and stock for Observo AI. The deal is expected to close in SentinelOne’s third quarter of fiscal year 2026.

The news comes one month after SentinelOne announced the acquisition of AI security firm Prompt Security for an estimated $250 million.

An analysis conducted by SecurityWeek shows that more than 400 cybersecurity-related mergers and acquisitions were announced in 2024. SecurityWeek’s M&A tracker lists more than 280 deals in 2025 to date.

Related: Cybersecurity M&A Roundup: 27 Deals Announced in August 2025

Related: SentinelOne’s Purple AI Athena Brings Autonomous Decision-Making to the SOC

Related: Axonius Acquires Medical Device Security Firm Cynerio in $100 Million Deal

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