Kiteworks Acquires Bonfy.AI to Add Runtime Data Controls

Kiteworks announced the acquisition of Bonfy.AI, an AI-native data-security startup. Financial terms were not disclosed; industry estimates place the price in the tens of millions of dollars.

Kiteworks provides a content-sharing platform that protects sensitive data as it moves across enterprise networks, external partners and internal systems, with built-in compliance, governance and audit tracking. Bonfy.AI offers an AI-first content-security platform that classifies data in real time and enforces context-aware controls across multiple SaaS applications.

Kiteworks will embed Bonfy’s technology into its control plane to govern data in motion and in use across email, file sharing, SaaS applications, data repositories, internet-facing AI assistants and autonomous agents.

Kiteworks framed the acquisition as a response to a gap in enterprise data protection. Companies often maintain inventories of sensitive information, but those inventories do not always control what happens to data when it is used or transmitted. Bonfy’s software analyzes the full context of an exchange at runtime and applies security policies before a transfer completes, including exchanges that involve AI agents.

Amit Toren, Kiteworks’ chief business officer, described the deal as an expansion of the company’s coverage and a way to accelerate development of a unified Data Control Plane: “Bonfy.AI’s cutting-edge technology expands our coverage and capability to deliver the control our customers need in the AI era, and its excellent team will further accelerate the development of our unified Data Control Plane.”

Kiteworks listed benefits that include making decisions inline at runtime rather than reporting them after the fact, applying policies based on contextual understanding rather than simple pattern matching, providing consistent controls across human and AI workflows, and creating an enterprise-wide record that shows a compliant decision at the moment of transfer.

Tim Freestone, Kiteworks’ chief strategy officer, described the company’s promise to customers and highlighted inline classification at the moment of transfer: “Everything we build comes back to a single promise to our customers: you stay in control of your private data, everywhere it moves and everywhere it is used. Inline at runtime classification is what makes that promise complete.”

Bonfy was founded in early 2024 by Gidi Cohen and Danny Kibel and emerged from stealth in June 2025 with $9.5 million in seed funding. Gidi Cohen, Bonfy’s chief executive, explained that the company was built on the idea that risk is created when data moves and that controlling it requires reading the full context of an exchange at runtime before it completes: “Kiteworks gives that technology a control plane and a reach we could not have built on our own.”

This is Kiteworks’ eighth acquisition in five years and follows a series of deals intended to broaden its data security and compliance capabilities.