CrowdStrike to Acquire Fiddler AI and Dreadnode for $495 Million

Summary
CrowdStrike agreed to acquire Fiddler AI for about $400 million and Dreadnode for $95 million, adding AI agent monitoring and automated security testing capabilities to its Falcon platform. The deals are expected to close by Jan. 31, 2027.
Key points
- CrowdStrike plans to pay about $400 million for Fiddler AI and $95 million for Dreadnode, mostly in cash, with some stock subject to vesting conditions.
- Fiddler AI’s software evaluates AI agents before deployment and tracks their decisions and actions in production; CrowdStrike plans to offer it as Falcon Observe.
- Dreadnode’s platform tests models, applications, agents and related components against more than 100 attack strategies, including jailbreaks and prompt injection, and ranks findings by severity.
- CrowdStrike plans to connect Dreadnode’s test results with Falcon Guardian to inform protection policies and use testing data to strengthen its SafeMind models.
- The deals are expected to close by Jan. 31, 2027; Dreadnode’s automated testing is expected to become generally available between now and February.
Article Details
- Event Type
- Planned acquisitions of Fiddler AI and Dreadnode by CrowdStrike
- Impact
- CrowdStrike plans to pay about $400 million for Fiddler AI and $95 million for Dreadnode, extending its Falcon offerings with AI agent observability and automated AI security testing. The deals are expected to close by January 31, 2027.
People
Vendors
CrowdStrikeCrowdStrike has agreed to acquire two artificial intelligence security startups, adding tools to test AI systems for vulnerabilities before deployment and monitor agent behavior after they go into production.DreadnodeThe cybersecurity company will acquire enterprise AI agent observability software maker Fiddler AI and Dreadnode, an automated AI security testing company. The acquisitions would extend CrowdStrike's Falcon platformFiddler AIThe cybersecurity company will acquire enterprise AI agent observability software maker Fiddler AI and Dreadnode, an automated AI security testing company. The acquisitions would extend CrowdStrike's Falcon platform
Products
CrowdStrike Falcon GuardianCrowdStrike plans to connect Dreadnode's testing results with Falcon Guardian, its runtime AI security offering, so findings can inform protection policies. It also plans to use Dreadnode testing data to strengthen itsCrowdStrike SafeMindfindings can inform protection policies. It also plans to use Dreadnode testing data to strengthen its SafeMind models. Dreadnode's automated AI security testing is expected to become generally available between nowFalconAI and Dreadnode, an automated AI security testing company. The acquisitions would extend CrowdStrike's Falcon platform across more stages of AI deployment.Falcon Observea way to investigate what an agent did and why. CrowdStrike plans to sell the technology as Falcon Observe, with general availability expected to roll out as soon as this month.
