Oak emerges from stealth with $60M seed to tackle AI-era identity chaos

Israeli startup Oak has quietly built an identity platform in the background—and is now revealing a hefty $60 million seed round as it comes into the open. Co‑founded by repeat founder Shai Morag, the company is positioning itself as a new kind of identity management provider for a world where humans and AI agents are both interacting with enterprise systems.

Oak sits at the intersection of traditional identity and the fast‑expanding use of automated agents. The company is focused on helping organizations define, manage and enforce who (or what) is allowed to do what inside their digital environments. That includes not only employees and partners, but also software bots and AI agents that are increasingly being granted access to internal tools, data and workflows.

For enterprises, this is no longer a narrow security function. Identity has become the control plane for everything from compliance and auditability to how teams structure access to data for analytics and AI use cases. As more companies adopt generative AI, they are discovering that giving agents access to sensitive systems using legacy identity tools can quickly lead to inconsistent permissions, orphaned accounts and policy drift across dozens of applications.

Oak is built to address that growing complexity. While detailed product modules were not disclosed in the funding announcement, the company describes itself as an identity management startup, which typically covers capabilities like user lifecycle management, access provisioning, policy orchestration and integration with existing identity providers. Its focus on the AI angle suggests it is also thinking about how to represent non‑human actors—such as LLM‑based agents—as first‑class identities that can be governed with the same rigor as employees.

The $60 million seed round is a strong signal of investor conviction at an unusually early stage. Seed rounds in infrastructure and security are commonly in the single‑digit millions; raising an eight‑figure sum at this point places Oak among the more heavily capitalized newcomers in identity. The company is emerging from stealth with enough capital to build out both product and go‑to‑market in parallel, rather than choosing one over the other.

The funding is intended to support product development, customer acquisition and the underlying infrastructure required for an identity platform that needs to be both highly reliable and deeply integrated. Identity startups typically face a long integration and proof‑of‑value cycle with early customers, especially in larger enterprises where they must plug into directories, HR systems, cloud providers and SaaS tools. A larger seed round gives Oak room to invest in these integrations and in the security and compliance certifications that enterprise buyers expect.

For founders building in security, IAM or AI tooling, this round underlines how the market is shifting. Investors are increasingly looking for platforms that do not just bolt AI on top of existing workflows, but that solve the hard, unglamorous problems created by AI adoption—like how to safely grant, monitor and revoke access for autonomous systems. The fact that an identity startup can raise $60 million at seed around this thesis suggests that "AI‑native" infrastructure, particularly in security and governance, is moving from nice‑to‑have to mandatory in the eyes of large customers and investors.

It is also a reminder that the bar for differentiation in identity remains high. Incumbent providers are deeply entrenched, but they were mostly built for human‑centric access control and web‑era architectures. New entrants that can credibly promise better control over AI agents, multi‑cloud environments and complex organizational structures will find a receptive audience—if they can show they work alongside existing identity stacks rather than requiring a full replacement.

Over the next 12–24 months, the key milestones to watch for with Oak will be proof points around customer adoption and depth of integration. Expect early focus on organizations that are aggressively rolling out AI agents internally and feel acute pain from messy permissioning and audit gaps. Case studies that demonstrate granular, enforceable policies for both humans and AI actors across critical systems will be especially important.

Founders in adjacent sectors should also track how quickly Oak can convert a large seed into repeatable sales motion. Identity platforms often face long sales cycles and complex procurement. If Oak manages to shorten those cycles by framing identity as an enabler for AI, not just a risk control, that will be a useful signal for other infrastructure startups looking to ride the same wave.

With substantial capital at seed and a founding team led by a serial entrepreneur, Oak is stepping into a crowded but rapidly evolving market. Its bet is straightforward: as AI agents spread through the enterprise, identity will need to be redesigned from the ground up to manage a mix of human and machine actors. How effectively it executes on that vision will determine whether this large early round becomes a springboard to category leadership or simply the opening move in a long fight with incumbents.