CrowdStrike Inc. said Thursday it will acquire identity security startup SGNL in a deal valued at $740 million – the latest move by the cybersecurity giant to fortify its defenses against increasingly sophisticated artificial intelligence (AI)-powered cyberattacks.
The acquisition centers on SGNL’s continuous identity technology, designed to prevent hackers from exploiting user credentials as entry points for data breaches. The technology provides constant evaluations of identity access, a capability that has become critical as businesses grant autonomous access to AI agents across their networks.
The deal will integrate SGNL’s capabilities into CrowdStrike’s Falcon cloud security platform, enabling users to better manage both human and AI identity access requests while monitoring real-time risks. CrowdStrike expects the transaction to close in the first quarter of fiscal year 2027.
“AI agents operate with superhuman speed and access, making every agent a privileged identity that must be protected,” CrowdStrike CEO George Kurtz said in a statement. “With SGNL, CrowdStrike will deliver continuous, real-time access control that eliminates the known and unknown gaps from legacy standing privileges. We’re disrupting the premise of modern privilege and access – for every identity, human or machine. This is identity security built for the AI era.”
In an interview with CNBC, Kurtz said the acquisition will strengthen CrowdStrike’s position in the multibillion-dollar identity security market, a segment that generated $435 million in revenue for the company at the end of the second quarter. Identity vulnerabilities have emerged as one of the most significant attack vectors in modern cybersecurity. He said CrowdStrike’s acquisition strategy prioritizes successful teams and innovative technology over legacy tools.
SGNL, headquartered in Palo Alto, Calif., was founded in 2021 by Scott Kriz and Erik Gustavson, whose previous startup was acquired by Google in 2017. Both founders subsequently worked at Google for more than four years. In February, SGNL raised $30 million in early-stage funding from investors including Cisco Investments and Microsoft’s Venture Fund.
The acquisition comes as companies worldwide bolster identity security defenses in response to AI-enhanced cyberattacks. Last year, Microsoft Corp. faced multiple attacks targeting its SharePoint collaboration tool, while Anthropic disclosed the first documented AI-led cyberattack in November.
CrowdStrike’s move reflects a broader consolidation trend sweeping the cybersecurity industry. The company has ramped up its acquisition activity in recent months, announcing purchases of AI security platform Pangea and Spanish data startup Onum earlier in 2025. Meanwhile, competitors have pursued even larger deals: Palo Alto Networks Inc. acquired Israeli firm CyberArk for $25 billion, and Google landed cloud security startup Wiz for $32 billion.
