Snyk Code’s $100 Million Milestone: AI-Driven Growth (Forbes)

Artificial intelligence has revolutionized industries across the board, but nowhere has its impact been more profound than in cybersecurity. As enterprises adopt AI to drive innovation and accelerate development, new vulnerabilities arise, especially in AI-generated code.

Snyk is at the forefront of addressing these challenges and recognizing the growing importance of AI-driven solutions in protecting the modern enterprise. The company just announced that its AI-native Snyk Code has crossed the milestone of $100 million in annual recurring revenue, and that it is nearing cash flow positivity.

Surpassing $100 million in ARR, Snyk Code now represents one-third of Snyk’s overall revenue, illustrating the demand for AI-native security tools. Enterprises are increasingly aware that traditional security measures are insufficient to address the risks introduced by AI-generated code. Snyk Code, powered by DeepCode AI, helps developers identify and remediate vulnerabilities in real time, ensuring secure software development throughout the lifecycle.

I recently spoke to Peter McKay, CEO of Snyk, and he shared that the real driver behind Snyk Code’s growth is the explosion of generative AI tools like Copilot and Gemini. “Organizations can roll out Snyk Code and attach it to all of their generative AI solutions for developers to allow them to leverage those tools, but do it in a secure way,” he explained. McKay’s emphasis on secure AI adoption aligns with the broader market’s focus on ensuring that AI advancements don’t come at the expense of security.

One of the key innovations fueling Snyk’s growth is DeepCode AI, a technology acquired four years ago that now serves as the core of Snyk Code. DeepCode AI was designed to help developers secure their code automatically by detecting vulnerabilities and fixing them in real time. This capability is essential in the world of generative AI, where developers increasingly rely on AI to write code quickly, potentially overlooking security gaps.

McKay explained that what makes DeepCode AI so powerful is its ability to auto-remediate vulnerabilities as they are found. “We’re not just showing developers the problem; we’re helping them fix it as they go. That’s the Holy Grail for developer security—integrating security directly into the development process, without slowing developers down.”

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By removing AI “hallucinations” and other errors, DeepCode AI ensures that organizations can confidently adopt AI-generated code while maintaining a strong security posture.

Snyk’s rise to prominence isn’t just driven by its technology but also by the strategic alliances it has built with major partners like AWS, Google Cloud, Deloitte, and Accenture. These partnerships have been critical in driving adoption of Snyk’s solutions, especially among large enterprises.

McKay highlighted the importance of these alliances, saying, “A big part of our growth comes from partnering with organizations that are tackling the same security challenges as we are. Together with AWS, Google Cloud, and others, we’ve been able to offer solutions that integrate security into the entire development process—whether you’re using cloud, AI, or enterprise systems like ServiceNow.”

These partnerships have enabled Snyk to expand its reach and better serve its growing base of over 3,100 customers. With enterprise clients now making up an increasing percentage of its revenue, Snyk is well-positioned to continue scaling its business while maintaining operational efficiency.

Another key factor in Snyk’s success is its commitment to shifting security left—incorporating security early in the development cycle. Snyk’s AppRisk solution, launched in late 2023, provides enterprises with cloud-to-code visibility, allowing them to prioritize and address security risks before they become critical issues.

As McKay noted, “Shifting security left has always been central to our strategy. With AppRisk, we’re giving developers and security teams a way to bridge the gap between development and post-deployment security. It’s about giving them full visibility into the application’s security posture, from code creation to production.”

This approach not only reduces risk but also helps organizations streamline their security processes, making it easier to prioritize and fix vulnerabilities before they impact the business.

One of the key opportunities for Snyk to share its vision for the future of secure AI adoption is DevSecCon, taking place October 8-9, 2024. This annual event, hosted by Snyk, brings together developers and security professionals from around the world to explore the latest trends in developer-first security.

“DevSecCon has always been about making developers more security-aware,” McKay explained. “But this year, we’re taking it a step further by focusing on how security teams can become more developer-aware. We’re going to show how our AI-powered solutions are enabling both sides to work together more effectively.”

With tracks tailored for both developers and security teams, the event will provide actionable insights into how organizations can integrate AI into their security practices. McKay teased some of the announcements that will be made at the event, including new AI-powered tools designed to help organizations adopt generative AI securely.

McKay succinctly summed up, “AI is the future of development, but it’s also the future of security. And we’re making sure that our customers are ready for that future.”

Original Forbes article here

Tony Bradley

Tony Bradley is a reporter who covers the cybersecurity industry and the cross-section of technology and entertainment. He has been a Forbes… Read More