Cybersecurity firm CrowdStrike said on Thursday it has agreed to acquire identity security startup SGNL in a deal valued at $740 million, aiming to strengthen its defenses against artificial intelligence–powered cyber threats.
The acquisition is expected to bolster CrowdStrike’s identity security capabilities by integrating SGNL’s “continuous identity” technology, which continuously evaluates access to prevent attackers from exploiting user identities as entry points for data theft. The move comes as organizations increasingly grant autonomous access to AI agents across cloud and enterprise systems.
CrowdStrike entered the identity security market in 2020 with its acquisition of Preempt Security. Its identity business generated more than $435 million in annual recurring revenue as of the second quarter of fiscal 2026.
“We have already a big business there. And now what SGNL provides to us is really an identity fabric,” CrowdStrike Chief Executive George Kurtz told Reuters. “The adversaries aren’t breaking in; they’re logging in, and they’re abusing identity.”
Founded in 2021 by Scott Kriz and Erik Gustavson, SGNL provides a real-time identity security platform designed to protect human, machine, and AI identities. Kurtz said SGNL’s small team will join CrowdStrike, with no layoffs planned.
CrowdStrike said it is increasingly using AI to enhance its security operations center through autonomous agents that reduce complex security tasks from days to hours, a central pillar of its investment strategy for 2026 and beyond. The company expects SGNL’s technology to integrate relatively smoothly into its Falcon platform after the deal closes in the first quarter of fiscal 2027.
The purchase price will be paid primarily in cash, with a portion in stock subject to vesting conditions, CrowdStrike said.
