Nudge Security has raised $22.5 million in Series A financing as the Austin-based company accelerates its mission to secure AI and SaaS usage at the Workforce Edge. Cerberus Ventures led the new funding round with additional participation from Ballistic Ventures, Forgepoint Capital, and Squadra Ventures. Alongside the investment, Cerberus Ventures Director Morgan Mahlock will join the company’s board.
Founded in 2021 and focused on the rapidly expanding challenges created by AI embedded inside SaaS ecosystems, Nudge Security has grown quickly since launching its platform in October 2022. The company reports tripling annual recurring revenue for two consecutive years, onboarding nearly 200 customers, and rapidly releasing new features to address security requirements around modern AI-enabled workflows.
The platform is designed to address the point where employees make day-to-day technology decisions that shape an organization’s risk posture. Rather than limiting productivity through strict controls or relying on reactive monitoring, Nudge Security provides automated, real-time guardrails delivered directly to employees through browsers, Teams, and Slack. The company positions this as a way for IT and security teams to maintain effective control without slowing innovation in cloud native AI-first environments.
The surge of AI across the SaaS landscape has created a wave of new security considerations for enterprises. Many organizations now manage hundreds of AI-enabled applications, complex webs of integrations, machine identities, and widely distributed access to sensitive data. Nudge Security’s solution aims to bring unified visibility and governance across all SaaS and AI tools, human and non-human identities, and integration points from Day One of deployment.
Customer adoption has increased across industries, including software, entertainment, biotechnology, financial services, and healthcare. Security teams have cited the platform’s strong visibility, usability, and rapid time-to-value. Over the past twelve months, the company has released more than sixty product updates spanning AI governance, identity security, vendor risk intelligence, and automated security posture assessments.
Nudge Security also offers a fully featured 14-day free trial that delivers a complete inventory of all SaaS and AI applications, integrations, and identities within minutes of setup. The trial requires no credit card and is entirely self-guided.
The company continues to invest heavily in discovery capabilities, AI-driven risk modeling, and behavioral engagement strategies that encourage secure technology adoption across the workforce. With the new funding, leadership plans to expand functionality and advance the platform’s role in securing rapidly evolving AI and SaaS ecosystems.
KEY QUOTES
“Nudge Security is at an exciting time in their journey and we’re thrilled to partner with Russ, Jaime, and the team. Nudge has cultivated incredible customer loyalty due to its intuitive product that both security teams and employees appreciate for its ease of use. It can deliver immediate value by providing an automated inventory of the SaaS and AI tools being used across an organization. With the vision to expand governance of interactions with SaaS and AI at the Workforce Edge, Nudge will become even more essential for highly distributed, AI-first organizations.”
Morgan Mahlock, Director, Cerberus Ventures
“The difference between AI apps and SaaS has all but disappeared—almost every app has embedded AI capabilities, agents, and integrations. In order to secure workforce AI use at scale, you need to consider the entire SaaS ecosystem, including all SaaS and AI tools, their integrations, and the non-human identities that connect them. This funding will enable us to continue to expand our capabilities and help organizations confidently embrace innovation while maintaining security and control.”
Russell Spitler, Co Founder and CEO, Nudge Security
“Nudge Security has been a big win for our security program at Reddit. Within hours of deployment, we gained complete visibility into our SaaS footprint across the organization. It’s rare to find a solution that’s both incredibly powerful and remarkably easy to use.”
Fredrick Lee, CISO, Reddit
“Our team’s ability to innovate at this pace is a direct reflection of our deep understanding of the challenges our customers face. We’re not just building features—we’re solving real problems that security and IT teams encounter every day as they navigate the complexities of AI adoption and SaaS sprawl. This funding allows us to continue pushing the boundaries of what’s possible and deliver unparalleled value to organizations looking to embrace innovation without compromising on security.”
Jaime Blasco, Co Founder and CTO, Nudge Security
