Traceable AI, a startup building technology to reduce attack surfaces in APIs, has banked a new $60 million funding round that values the company at $450 million.
The San Francisco, Calif.-based Traceable AI said the Series B round was led by Institutional Venture Partners (IVP) with additional investments from Tiger Global Management, Unusual Ventures and BIG Labs.
Founded in 2018, Traceable AI has raised a total of $80 million to carve a path in the competitive API security and observability space.
The company’s technology is aimed at reducing attack surfaces in the cloud, especially at the API level that powers rapid digital transferring. Traceable AI’s platform handles things like API discovery, web application protection, API vulnerability detection and API risk monitoring.
[ READ: Cloud AppSecFirm Traceable Emerges From Stealth Mode ]
Traceable AI plans to use the new investment to shift into growth-mode by further investing in its product development and research efforts and expanding sales and marketing teams.
The company was founded by Jyoti Bansal (CEO) and Sanjay Nagaraj (CTO). Bansal previously founded AppDynamics, an application performance management and IT operations analytics company that was sold to Cisco in 2017 for $3.7 billion. Bansal also founded Harness, a continuous delivery-as-a-service platform.
“Widespread use of APIs in cloud-native applications has led to a significantly larger attack surface, intensifying the challenge of protecting these APIs from malicious usage or abuse,” said Bansal. “Bad actors only need one API entry point to access an organization’s data and cause irreparable financial, reputational and service interruptions damage,” he added.
Bansal said the company’s technology can help defenders to understand how an application really works in the context of the business and have the ability to detect anomalies and block advanced threats.
Traceable AI’s latest funding comes as investors continue to pour cash into startups in the API security category.
Earlier this year, Alphabet’s independent growth fund CapitalG led a $140 million late-stage investment in Salt Security (at $1.4 billion valuation). Other well-funded startups in the space include Noname Security, Corsha, Cequence and 42Crunch.
Related: The Next Big Cyber-Attack Vector: APIs
Related: Noname Security Raises $60 Million in Series B Funding

Ryan Naraine is Editor-at-Large at SecurityWeek and host of the popular Security Conversations podcast series. He is a security community engagement expert who has built programs at major global brands, including Intel Corp., Bishop Fox and GReAT. Ryan is a founding-director of the Security Tinkerers non-profit, an advisor to early-stage entrepreneurs, and a regular speaker at security conferences around the world.
More from Ryan Naraine
- VMware Confirms Exploit Code Released for Critical vRealize Logging Vulnerabilities
- Gem Security Gets $11 Million Seed Investment for Cloud Incident Response Platform
- Ransomware Leads to Nantucket Public Schools Shutdown
- Sentra Raises $30 Million for DSPM Technology
- Saviynt Raises $205M; Founder Rejoins as CEO
- OpenVEX Spec Adds Clarity to Supply Chain Vulnerability Warnings
- Tenable Launches $25 Million Early-Stage Venture Fund
- VMware Plugs Critical Code Execution Flaws
Latest News
- US Downs Chinese Balloon Off Carolina Coast
- Microsoft: Iran Unit Behind Charlie Hebdo Hack-and-Leak Op
- Feds Say Cyberattack Caused Suicide Helpline’s Outage
- Big China Spy Balloon Moving East Over US, Pentagon Says
- Former Ubiquiti Employee Who Posed as Hacker Pleads Guilty
- Cyber Insights 2023: Venture Capital
- Atlassian Warns of Critical Jira Service Management Vulnerability
- High-Severity Privilege Escalation Vulnerability Patched in VMware Workstation
