Dig Security

Dig Security is a Tel Aviv, Israel-based enterprise software company that develops cloud data security posture management solutions to discover, classify, and protect sensitive information across multi-cloud environments. The company provides real-time breach detection and regulatory compliance support for platforms like AWS, Azure, and GCP, operating with a workforce of approximately 60 employees across Israel and the United States. Prior to its strategic exit, the enterprise software provider raised $45 million in total venture funding from a syndicate of prominent institutional and corporate investors including SignalFire, Team8, and CrowdStrike. In late 2023, the publicly traded cybersecurity giant Palo Alto Networks acquired the startup for an estimated $300 million to $400 million to integrate its technology into the Prisma Cloud platform. Dig Security was originally founded in 2021 by Dan Benjamin, Ido Azran, and Gad Akuka.

Dig Security is a cloud-native data security company that discovers, classifies, protects and provides near‑real‑time detection and response for sensitive data across multi‑cloud environments and data stores, and was acquired by Palo Alto Networks in December 2023 to be integrated into Prisma Cloud for enhanced cloud data protection, including generative‑AI use cases.[4][7]

High-Level Overview

• Mission: Dig’s stated mission is to build the data security stack for modern enterprises — protecting data wherever it lives in the cloud and delivering real‑time Data Detection & Response (DDR).[4][1]
  - Investment philosophy / Key sectors / Impact on startup ecosystem: (Not applicable — Dig Security is a portfolio company / product company; however, it attracted venture backing from security and strategic investors including Team8, SignalFire, Felicis, CrowdStrike, Okta Ventures, CyberArk Ventures, Merlin Ventures and Samsung Ventures prior to acquisition, indicating strong investor conviction in cloud data security).[4][6][9]
  - What product it builds: Dig builds an agentless multi‑cloud Data Security Platform that combines Data Security Posture Management (DSPM), Data Loss Prevention (DLP), and Data Detection & Response (DDR) to discover, classify, monitor and immediately respond to threats against cloud data and databases (including platforms such as Snowflake and Databricks).[4][5][8]
  - Who it serves: The product targets large enterprises and highly regulated industries (finance, healthcare, Fortune 500 customers) operating across AWS, Azure, GCP and various managed and unmanaged data stores.[1][4]
  - What problem it solves: It addresses cloud data sprawl, lack of visibility and context across dozens of database and service types, and the long detection windows of legacy tools by providing continuous discovery, contextual classification and near‑real‑time response to stop data exfiltration and misuse.[2][4]
  - Growth momentum: Dig launched from stealth in 2022, raised seed and a $34M Series A in 2022–2023, secured strategic investor interest (including Samsung Ventures) and reported paying customers and rapid growth in adoption before being acquired by Palo Alto Networks in Dec 2023 for integration into Prisma Cloud.[2][4][9][7]

Origin Story

• Founding year and founders: Dig emerged from stealth in 2022 and was founded by cybersecurity veterans from Microsoft and Google, led by CEO and co‑founder Dan Benjamin.[2][4][1]
  - How the idea emerged: The founders observed a gap in public cloud data security while at major cloud and platform companies — enterprises had widely distributed cloud data, limited contextual visibility, and existing tools (e.g., CSPM) scanned too infrequently to stop rapid cloud‑based breaches — which motivated building an agentless platform focused on *data* rather than just infrastructure posture.[1][2][4]
  - Early traction or pivotal moments: Dig raised an $11M seed, claimed early paying customers even in stealth, closed a $34M Series A in 2022, attracted strategic investors (including Team8 and Samsung Ventures), and in December 2023 was acquired by Palo Alto Networks to bring DSPM/DDR capabilities into Prisma Cloud.[2][4][9][7]

Core Differentiators

• Real‑time DDR (Data Detection & Response): Dig emphasizes near‑real‑time detection and automated response for data threats — positioning DDR as a complement to periodic CSPM scans that may run hours or days apart.[4][2]
  - Combined DSPM + DLP + DDR in one platform: The product claims to unify posture management, loss prevention, and active response within a single agentless platform covering many cloud services and DB types.[4][8]
  - Agentless, multi‑cloud discovery: Dig’s platform discovers data across AWS/Azure/GCP, PaaS/DBaaS/IaaS and unmanaged VMs, including “shadow” data assets and models or vector DBs used for AI, lowering friction for deployment and coverage breadth.[2][5][8]
  - Contextual data classification and prioritization: Beyond mere discovery, Dig provides usage context (who accesses data, how it moves) to classify assets and prioritize risk for faster, actionable alerts.[2][4]
  - Strategic validation and ecosystem ties: Backing from prominent security investors and integration into Palo Alto Networks’ Prisma Cloud provide channel reach, engineering resources and enterprise trust.[4][6][7]

Role in the Broader Tech Landscape

• Trend they are riding: The shift of critical enterprise data into multi‑cloud and data cloud platforms (Snowflake, Databricks) combined with the rise of generative AI and vector databases has made data posture and protection a top priority for CISOs; Dig focused on treating data as a first‑class security concern rather than only infrastructure posture.[4][8]
  - Why timing matters: Attackers can exploit cloud misconfigurations and exposed data rapidly; Dig highlighted that motivated attackers can breach cloud data in minutes while many tools scan infrequently, creating a market need for faster detection and automated remediation.[4][2]
  - Market forces working in their favor: Increasing regulatory scrutiny (HIPAA, SOC2), enterprise cloud migration, proliferation of managed DBs and AI models, and strategic consolidation by large security vendors seeking integrated data protection capabilities have driven demand and acquisition interest.[4][9][7]
  - How they influence the ecosystem: By defining and productizing DDR alongside DSPM and DLP, and being absorbed into a major platform (Prisma Cloud), Dig helped push the industry toward realtime, data‑centric cloud security and set expectations for integrated data protection in cloud security suites.[4][7][8]

Quick Take & Future Outlook

• What's next / immediate trajectory (post‑acquisition): Integrated into Palo Alto Networks’ Prisma Cloud, Dig’s capabilities are positioned to scale broadly across enterprise customers, accelerate productization for generative AI data protections (e.g., detecting shadow models, embeddings), and benefit from Palo Alto’s global sales, telemetry and threat intelligence.[7][8]
  - Trends that will shape the journey: Continued cloud migration, stricter data privacy/regulatory requirements, adoption of generative‑AI that places more sensitive data into new storage types (vector DBs), and vendor consolidation in cloud security will shape demand for DSPM + DDR capabilities.[8][4]
  - How influence might evolve: As part of a leading security platform, Dig’s technology could become a standard component of enterprise cloud security stacks, raising the bar for near‑real‑time data protection and driving competitors to embed DDR and broader data awareness into their offerings.[7][4]

Quick take: Dig successfully identified a practical gap in cloud data security, scaled rapidly with an agentless, data‑centric approach combining DSPM, DLP and DDR, attracted strategic investor and customer momentum, and its acquisition by Palo Alto Networks validates the market imperative for integrated, near‑real‑time cloud data protection — especially as enterprises confront generative AI and sprawling data footprints.[2][4][7]