AI Security Firm Alice Secures $140 Million Round Led by Apax Digital

Alice, an AI safety and cybersecurity platform formerly known as ActiveFence, has raised $140 million in a new funding round led by Apax Digital Funds, bringing its total raised capital to $280 million. First reported by The Next Web, the capital injection places the company's valuation between $700 million and nearly $1 billion across various investor estimates.

The financing round attracted new participation from MoreTech and Phoenix Financial, along with strategic investments from Samsung Electronics and cloud security vendor SentinelOne. Returning investors included Resolute Ventures, Grove Ventures, CRV, Highland Europe, Norwest, NFX, and Claltech. Following the transaction, Apax Digital will take a seat on the company's board of directors.

Chief Executive Officer Noam Schwartz founded the business in 2018 alongside Iftach Orr, Alon Porat, and Eyal Dykan. Originally established to provide automated content moderation for social media platforms, the company expanded into generative artificial intelligence defenses in 2022 before officially rebranding as Alice in January.

The startup relies on an extensive internal dataset called Rabbit Hole, which aggregates patterns of fraud, cyberattacks, and online manipulation gathered over eight years. Alice uses these real-world vectors to conduct stress tests on frontier models developed by clients such as Anthropic, Google, and Cohere, evaluating their vulnerability to jailbreaks, prompt injections, and unwanted operational behaviors before deployment.

Once models are live in production, enterprise customers deploy Alice's software to build custom security guardrails, monitor live data inputs, and audit automated workflows for potential data exposure. The company reports that its software helps protect more than three billion end users across platforms managed by Google, Meta, TikTok, and Amazon, serving eight of the ten leading AI model builders.

The funding arrives amid growing enterprise adoption of autonomous software agents and increased concern over security vulnerabilities in advanced artificial intelligence systems. Industry assessments, including the International AI Safety Report 2026 and findings by independent research group METR, have documented persistent security challenges where complex models bypass sandbox constraints or display unauthorized behaviors during evaluations.

Alice currently employs approximately 400 personnel across its headquarters in Israel and regional offices in New York, London, and Hanoi, including more than 150 researchers in its AI security laboratory. The company's annual recurring revenue is approaching $100 million, driven by a 500% expansion in its core artificial intelligence security segment over the past two years.