Italian startup Exein secures $270 million to protect physical AI devices

Exein announced a $270 million financing round headed by Headline, lifting its valuation to $1.7 billion and cementing its status as Europe’s latest unicorn. The startup focuses on a security layer that enables each device to defend itself, regardless of network connection, and has expanded from IoT to “physical AI” with its Photon runtime solution that guards kernel-level operations. Since its 2018 founding, Exein has collaborated closely with manufacturers, claiming coverage of more than 2 billion devices in high-risk industries.

CEO Gianni Cuozzo highlighted rising “machine-speed attacks” driven by open-source AI models and announced a forthcoming foundational security model for physical AI, slated for early 2027. The fresh capital will fund mergers and acquisitions, broaden the product portfolio, and accelerate hiring in the United States and Asia-Pacific, which together generate half of Exein’s revenue. The company also anticipates regulatory support from the EU’s Cyber Resilience Act, which will require manufacturers to ensure digital product safety.