AI security startup Outtake has raised $40 million in a Series B funding round led by Iconiq Capital’s Murali Joshi, who has previously backed high-profile companies like Anthropic, Datadog, Drata, and 1Password. The round attracted a star-studded group of angel investors, including Microsoft CEO Satya Nadella, Palo Alto Networks CEO Nikesh Arora, Pershing Square Holdings CEO Bill Ackman, Palantir CTO Shyam Sankar, Anduril co-founder Trae Stephens, former OpenAI VP Bob McGrew, Vercel CEO Guillermo Rauch, and former AT&T CEO John Donovan. Founded in 2023 by Alex Dhillon, a former Palantir engineer, Outtake has developed an agentic cybersecurity platform designed to detect, investigate, and automatically dismantle digital identity fraud at scale. The company focuses on combating impersonation accounts, malicious domains mimicking legitimate brands, rogue mobile apps, and fraudulent advertising—problems that have intensified with the rise of AI-powered attacks capable of generating highly convincing content at unprecedented speed. “We kept hearing whispers in our network about an AI company that was finally solving digital misrepresentation at scale. Honestly, we were skeptical,” Joshi said. “Historically, detection and takedown was (and to some extent even today) a manual, human-intensive process that couldn’t keep up with the speed of the internet.” After evaluating the product and conducting customer due diligence, Iconiq became convinced that Outtake had transformed a traditionally labor-intensive challenge into a scalable software-driven solution. “They’ve turned a ‘human problem’ into a ‘software problem,’” Joshi said. “Seeing AI take down digital frauds in real time is a game-changer for brand safety.” Outtake counts major organizations among its clients, including OpenAI, Pershing Square, AppLovin, and various federal agencies. In July 2025, OpenAI highlighted Outtake as a prime example of an agentic startup leveraging its reasoning models to solve complex security challenges. The company reports significant growth, with annual recurring revenue increasing sixfold year-over-year and its customer base expanding more than tenfold. In the past year alone, Outtake’s systems have scanned over 20 million potential cyberattacks, demonstrating the platform’s ability to operate at scale in real-world environments.