F5 to Acquire CalypsoAI for $180 Million, Expanding AI Security Offerings

F5, a prominent player in application security, has announced plans to acquire CalypsoAI, a US-based start-up led by Irish entrepreneurs, for $180 million. This acquisition aims to enhance F5’s capabilities in AI security, integrating advanced technologies such as real-time threat defense and data protection into its Application Delivery and Security Platform. The deal, disclosed on September 11, 2023, is anticipated to finalize by the end of F5’s fourth fiscal quarter of 2025.

The acquisition is driven by the increasing need for businesses to safeguard their AI systems as they evolve. According to François Locoh-Donou, President and CEO of F5, traditional security measures are insufficient in the face of rapidly changing enterprise architectures. “AI is redefining enterprise architecture – and the attack surface companies must defend,” Locoh-Donou stated. “The addition of CalypsoAI will give enterprises the confidence to innovate faster and better protect critical data.”

Insights into CalypsoAI’s Innovations

Founded in 2018 and headquartered in both Dublin and New York, CalypsoAI is led by CEO Donnchadh Casey and President and Chief Technology Officer James White. The company’s flagship product, the Inference Platform, offers real-time visibility and enforcement at critical decision-making points. Earlier this year, CalypsoAI secured $5 million in funding after being recognized as a top-two finalist in the RSAC 2025 Innovation Sandbox competition.

The Inference Platform continuously tests, observes, and defends AI systems throughout their lifecycle. This proactive approach helps organizations mitigate risks associated with data leaks, compliance failures, and unsafe outputs. “Enterprises want to move fast with AI while reducing the risk,” Casey explained. “Our customers rely on us to pressure test AI systems at scale and set inference layer guardrails that adapt as models change.”

Strategic Growth and Future Plans

The partnership between F5 and CalypsoAI marks a significant step forward in the integration of AI security within application delivery. As part of its growth strategy, CalypsoAI has expanded its presence in Ireland, opening a center of excellence in June 2023 and planning to double its workforce from 50 to 100 professionals by October 2024.

With the acquisition of CalypsoAI, F5 aims to enhance its service offerings, providing businesses with high-performance application delivery and robust AI security solutions. This move not only reflects F5’s commitment to innovation but also underscores the growing importance of AI security in today’s digital landscape.

As the deal awaits customary closing conditions, both companies are poised to make significant advancements in the realm of application security, enabling enterprises to embrace innovation while maintaining rigorous security standards.