AI trust, safety and security startup Alice has raised $140 million in a new funding round as companies developing and deploying artificial intelligence increase their focus on protecting models from misuse, manipulation and unintended behaviour.
The round was led by Apax Digital Funds, with participation from MoreTech and Phoenix Financial, alongside existing investors including Resolute Ventures, Grove Ventures, CRV, Highland Europe, Vintage Investments, Norwest, NFX and Claltech. The financing brings Alice's total funding to $280 million, while Apax Digital will join the company's board.
Alice CEO and co-founder Noam Schwartz told Bloomberg that the latest investment values the company at close to $1 billion. The company, formerly known as ActiveFence, is headquartered in New York and Tel Aviv and has shifted its focus towards securing AI models as adoption expands across enterprises.
Alice works with AI developers including Anthropic, Google and Cohere to test models before they are released. Its researchers simulate malicious prompts and agentic tasks to identify vulnerabilities, unpredictable behaviour, jailbreaks and prompt injection attacks. Once models are deployed, its platform allows enterprises to establish organisation-specific policies, test for compliance risks and data leaks, and monitor AI inputs and outputs in real time.
The company said its AI business has grown by more than 500% over the past two years and that annual recurring revenue is approaching $100 million. Alice currently works with eight of the 10 leading AI model labs and operates an AI security research lab with more than 150 researchers.
At the centre of its technology is Rabbit Hole, a proprietary dataset developed from years of tracking fraud, extremism, coordinated manipulation and other forms of harmful online activity. Alice uses patterns identified through this dataset to anticipate attacks against AI systems and develop corresponding safeguards.
The company plans to use the new capital to further develop its AI platform, expand the team working on Rabbit Hole and scale its go-to-market operations for AI model developers and enterprises.
The funding comes as businesses increasingly give AI systems access to organisational data, software tools and autonomous capabilities. This has expanded the security challenge beyond controlling model outputs to monitoring what AI agents can access and what actions they are permitted to perform.
Alice's latest funding reflects growing investor interest in the infrastructure being developed around AI safety and security as generative and agentic AI move further into enterprise environments.
Disclaimer: This article may include information derived from interviews, press releases, public statements, research, company communications and other publicly available or third-party sources. Such material may be summarised, paraphrased or contextualised for journalistic and editorial purposes. All rights in third-party content remain with their respective owners.