Identity Digital spins out Known Systems AI

Identity Digital launched its AI agent identity initiative earlier this year under the name Innovation Labs, and soon after released DNSid, an open framework for accountable AI identities. The company argued that while existing identity and access management tools can authenticate agents inside a single environment, they do not establish who is accountable once an agent moves across different platforms and systems. DNSid is meant to fill that gap by giving each agent a persistent identity tied to the company that created it.

Known has already taken steps toward making DNSid a standard: it submitted an Internet-Draft to the Internet Engineering Task Force and is working with the Linux Foundation via the Agentic AI Foundation and LF Decentralized Trust. It also claims a number of enterprise customers and relationships with policymakers in the U.S. government. Identity Digital remains one of Known's biggest investors and will keep a board seat, while Ethos Capital, Identity Digital's primary owner, will also support Known.

The test for Known appears to be whether DNSid can attract participation beyond its former parent, since a shared accountability layer is only useful if many platforms and organizations adopt it. Identity Digital's CEO framed the spinout as necessary for exactly that reason. Whether enterprises already running thousands of AI agents embrace an open standard, or keep relying on their own bilateral trust arrangements, is likely to determine how much of the market Known can reach.