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Arkose Labs
Cybersecurity
Arkose Labs is a San Francisco-based cybersecurity company that uses interactive challenges and risk analytics to stop bot attacks, account takeover, and online fraud.
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Arkose Labs was founded in 2015 by Kevin Gosschalk, along with co-founders, out of the observation that automated bots and credential-stuffing attacks, in which criminals use large lists of stolen usernames and passwords to try to break into accounts across many websites, had become both increasingly sophisticated and increasingly damaging to online businesses, while traditional bot-detection approaches such as simple CAPTCHAs had become both a poor deterrent to well-resourced attackers and a source of significant friction for legitimate users. Arkose's platform combines device and behavioral risk signals with a distinctive interactive challenge system, presenting suspicious traffic with puzzle-like verification tasks calibrated to be difficult for automated scripts and bot farms to solve while remaining relatively quick and low-friction for genuine human users. The company's approach is built around imposing meaningful cost and difficulty on attackers at scale, on the theory that most bot-driven fraud, including account takeover attempts, fake account creation, and scraping, is fundamentally an economic activity where attackers need their automated tools to succeed a high percentage of the time to remain profitable, so raising the failure rate for automated traffic specifically can make an attack economically unviable even if it can't be stopped completely. Arkose Labs has built partnerships with major technology and consumer platforms, including a widely publicized long-term partnership with Microsoft to protect its consumer services, and serves customers across gaming, financial services, e-commerce, and social media where account takeover and fake account creation represent significant fraud and trust and safety challenges. The company has raised substantial venture funding from investors including Blackbird Ventures and Telstra Ventures, reaching a valuation exceeding a billion dollars, and it competes with other bot management and fraud prevention vendors such as PerimeterX (owned by HUMAN Security), DataDome, and Cloudflare's bot management products.
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