75% of security chiefs report AI-related cyberattacks in past year

Fortune’s latest Cyber 60 list reveals that artificial intelligence has become the dominant force shaping cybersecurity startups, with virtually all 14 new early-stage companies focusing squarely on AI solutions. This shift reflects AI’s dual role as both the primary security threat and the essential defensive tool for modern enterprises, as 75% of chief security officers at major companies report experiencing AI-related security incidents in the past year.

The big picture: The cybersecurity startup landscape has undergone a fundamental transformation, with AI now serving as both the weapon of choice for attackers and the core technology powering defensive solutions.

Key survey findings: Lightspeed Venture Partners, which created the Cyber 60 in partnership with Fortune, surveyed 200 chief security officers at companies with over $500 million in annual revenue, revealing widespread AI-related security challenges.

• 75% reported experiencing or suspecting they experienced an AI-related security incident in the past 12 months.
• The findings underscore how AI has created new attack vectors that traditional security measures struggle to address.

What you should know: The Fortune Cyber 60 startups are tackling AI security from multiple angles, addressing both offensive and defensive aspects of the technology.

• Companies like Cogent Security, 7AI, Prophet, and Dropzone AI are automating routine defensive tactics using AI agents to send alerts and escalate incident reports.
• Startups including Virtue AI, WitnessAI, Zenity, and Astrix Security focus specifically on securing AI tools used within workplaces.
• These solutions address both officially approved AI tools and “ghost” technology that individual employees use independently.

Why this matters: The cybersecurity talent shortage makes AI-powered automation particularly valuable for organizations struggling to fill security roles.

Market momentum: Established Cyber 60 companies are making significant moves to strengthen their AI security capabilities.

• Cato Networks, a repeat Cyber 60 company, acquired Aim Security in September, a startup focused on secure AI deployment within enterprises.
• Chainguard raised an additional $280 million in funding last week for its open-source software security solutions.

Notable graduations: Two major success stories from last year’s list have moved beyond startup status.

• Netskope went public on Nasdaq in September, raising more than $900 million in its IPO.
• Google acquired Wiz for $32 billion, marking one of the largest cybersecurity acquisitions ever.

What they’re saying: “I would say at this point [the list] is wall-to-wall focused on AI and on enabling the safe use of AI,” says Guru Chahal, a partner at Lightspeed Venture Partners.

• “It’s the only market where you have an active adversary on the other side,” Chahal notes about cybersecurity. “As soon as you up your game, they up theirs.”