Alcatraz, the physical security startup founded by former Apple engineer Vince Gaydarzhiev, said it had raised $50 million in Series B funding, underscoring growing investor interest in AI-powered systems designed to protect data centers, airports and other high-security sites. The Cupertino-based company said the round was led by BlackPeak Capital, Cogito Capital and Taiwania Capital, with participation from existing investors including Almaz Capital, EBRD and Ray Stata. Alcatraz said the new financing brings its total capital raised to more than $100 million. 

The company, which was founded in 2016, is pitching itself as a privacy-focused alternative to both legacy badge systems and more controversial forms of facial recognition. According to Alcatraz, its flagship product, the Rock, uses facial authentication rather than surveillance-style identification, allowing employees to enter buildings without badges or passcodes while avoiding the storage of photographs or other personal data in the cloud. The company said the platform was designed to meet compliance requirements including GDPR, CCPA and BIPA. 

A Security Pitch Built for the A.I. Era

Alcatraz said demand has risen sharply as the AI boom turns data centers into some of the world’s most sensitive physical infrastructure. In its announcement, the company said its customer base already includes major AI data centers, U.S. airports, energy companies, NFL teams, universities and Fortune 100 companies. It also reported more than 300% year-over-year growth in data center adoption in 2025, along with 200% growth in new enterprise customers and a fivefold expansion across Fortune 500 deployments. 

Chief Executive Tina D’Agostin said the company sees itself as bringing smartphone-style identity verification into the workplace. “We are the Face ID of securing physical spaces,” she said in the announcement, arguing that badges and passcodes now create too much risk for modern workplaces. Founder Vince Gaydarzhiev, who Alcatraz said worked on hardware prototyping for iPhone and iPad during the development of Face ID at Apple, said he wanted to bring a privacy-centered approach to the buildings where people work. 

The timing of the funding reflects a larger shift in the market: as companies pour billions into AI infrastructure, the business of protecting the physical spaces behind that technology is becoming more strategically important. Alcatraz said it plans to use the new capital to expand into new industries, enter international markets and grow its team, betting that the next phase of AI growth will require not just more computing power, but tighter control over who can access it.