Vanta hits $300 million ARR as shadow AI adoption across companies surges

Vanta, a San Francisco-based security and compliance company, has crossed $300 million in annual recurring revenue, representing a tripling of ARR in two years. The company serves more than 16,000 customers and has raised more than $500 million since its 2018 founding.

Shadow AI—tools employees adopted without security review—now affects 70% of companies, per Vanta's data. LLMs are 52% more likely to be flagged as critical risk than traditional SaaS, and in a single year the average company sees employees reinstall an AI tool 1,000 times after security has revoked it.

Vanta's customer growth rate has accelerated to roughly 60% year-over-year, increasing in each of the past four quarters. Net revenue retention has similarly increased every quarter for the last 2 years and continues to be over 100 percent.