F5 Strengthens Position in Application and Network Security with $180 Million Acquisition of CalypsoAI

Seattle-based application delivery and security leader F5 has announced its acquisition of CalypsoAI, a Silicon Valley startup specializing in securing generative AI infrastructure, in a deal valued at $180 million. The move underscores F5’s ambition to expand its leadership in safeguarding AI-powered applications and driving the next wave of digital innovation.

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Founded in 2018, CalypsoAI has quickly established itself in the competitive AI security market. The company provides advanced tools for vulnerability assessment, robustness testing, monitoring, and secure deployment of generative AI models. Its solutions address one of the most pressing challenges enterprises face today: ensuring the trustworthiness and safety of large language models (LLMs), AI APIs, and generative workflows.

The timing of the acquisition is significant. As organizations worldwide accelerate AI adoption, the demand for enterprise-grade governance and security for AI mirrors long-standing expectations for networks, APIs, and cloud applications. By integrating CalypsoAI’s capabilities, F5 gains an early advantage in providing comprehensive AI risk management alongside its established application and API security offerings.

The deal also positions F5 ahead of competitors like Cloudflare, Fortinet, and Palo Alto Networks, who are racing to develop next-generation AI security solutions. With CalypsoAI’s technology, F5 can now deliver an end-to-end security portfolio designed for the evolving AI landscape—an edge in what is becoming a fierce AI security arms race.

What’s Next for F5—and the Industry

For F5, CalypsoAI’s integration strengthens its role as a trusted partner for enterprises securing IT infrastructure against emerging AI-driven risks. Combining adaptive AI defenses with F5’s proven application delivery and security stack could create one of the most comprehensive platforms for protecting AI-enabled applications.

Beyond F5, the acquisition validates the broader AI security startup ecosystem. As enterprises and investors recognize the urgency of AI governance, the market is likely to see more mergers, acquisitions, and partnerships. The race is on for major technology vendors to build AI portfolios that are not only powerful but safe.