Snyk
Snyk scans code and dependencies for security flaws before software ships.
On the record
Checkpoint: Evo Agentic Development Security GA and next 2 quarters of ARR growth data
The call
Snyk still has real data and workflow lock-in, but growth has stalled, leadership is in flux, and GitHub's bundled AI tools are eating the workflow Snyk was built on.
Snyk finds bugs and security problems in software code before companies ship it. The company built tools that lock in enterprise customers and a private database of known vulnerabilities, which were hard for competitors to match. But now GitHub (owned by Microsoft) bundles similar security scanning for free with its platform, and AI coding assistants like Copilot can automatically fix the problems Snyk finds, making Snyk's core product less special. Snyk launched a new AI-powered agent called Evo in June 2026 to compete on smarter fixing, not just scanning. The one thing that could save Snyk is if Evo and its code analysis tools can regain growth faster than GitHub's bundled tools and independent AI agents chip away at what made Snyk valuable in the first place.
Why
01
AI pressure: GitHub Copilot Autofix, Cursor, Claude Code, Devin. AI coding agents now find and fix vulnerabilities inline, swallowing the scan-and-suggest workflow Snyk built its business on. Could AI do the core job? Only partly.
02
Bigger players: GitHub (Microsoft), with Wiz (Google) and Palo Alto Networks pushing from cloud. GitHub bundles CodeQL, Dependabot, and Copilot Autofix natively, undercutting Snyk on price and convenience where developers already live. Could a giant copy it? Yes, easily.
03
What protects it. A large proprietary vulnerability database and deep enterprise workflow lock-in that's expensive for security teams to rip out.
What would change this call
GitHub bundles Advanced Security features into base Copilot pricing within the next year. Would confirm platform bundling is directly displacing Snyk's legacy SCA business.
Snyk names a permanent CEO with an explicit AI-security mandate within 6 months. Would show the board has settled on a strategic direction after McKay's departure.
Total ARR growth rate for the next two reported quarters stays at or below 7%. Would indicate Evo ADS is not yet offsetting legacy SCA commoditization.
Snyk names a permanent CEO with an explicit AI-security mandate within 6 months. Would show the board has settled on a strategic direction after McKay's departure.
Total ARR growth rate for the next two reported quarters stays at or below 7%. Would indicate Evo ADS is not yet offsetting legacy SCA commoditization.
Key numbers
- ARR growth fell from 27% to 7% YoY
- Valuation cut from $7.4B to ~$3.7B on secondary
- 90 employees cut in 4th layoff round
Named risks
- ARR growth collapsed from 27% to 7% YoY, signaling core business erosion.
- Leadership vacuum with interim CEO while board searches for AI-savvy successor.
- Legacy SCA/SAST commoditized by free native tools and AI coding agents.
- Fourth layoff round in June 2026 signals ongoing cost and morale pressure.
- Valuation ambiguity ($7.4B official vs ~$3.7B secondary mark) unresolved without new priced round.
Rivals, as read in July 2026
| Rival | Direction | Evidence |
|---|---|---|
| GitHub (Microsoft) | losing to | Copilot Autofix and Dependabot bundled natively into GitHub, eroding Snyk's legacy SCA wedge as of 2026-07 |
| Wiz (Google) | losing to | Extending code-to-cloud coverage, competing directly with Snyk Cloud as of mid-2026 |
| Palo Alto Prisma Cloud | contesting | Dominates CNAPP and extends code-to-cloud, overlapping with Snyk's platform ambitions |
| Corgea and Endor Labs | gaining on | AI-native SAST/agent security entrants pressuring Snyk's pricing and retention in 2026 |
| Rapid7 | contesting | Parallel AI-driven layoffs and restructuring reported 2026-07-14, signaling sector-wide pressure |
Questions people ask
- Is Snyk profitable in 2026?
- Not confirmed profitable. Snyk reported roughly $400M cash and about $30M burn in H1 2025, targeting cash-flow positivity, but no profitability has been publicly confirmed as of mid-2026, per Sacra's 2025-07-24 research.
- Is Snyk growing or slowing down?
- Slowing sharply. Sacra reported Snyk hit ~$326M ARR in February 2026, growing just 7% YoY, down from about 27% growth the prior year, signaling significant deceleration in its core business.
- Could AI replace Snyk's core product?
- Snyk's legacy open-source dependency scanning (SCA) is already being absorbed into free, native tools like GitHub Dependabot and CodeQL, and into AI coding agents such as Copilot Autofix, per a 2026-07-01 Corgea comparison of AI code security tools.
- Who is Snyk's biggest competitor?
- GitHub Advanced Security, owned by Microsoft, is Snyk's biggest threat since it bundles CodeQL, Dependabot, and Copilot Autofix natively into GitHub; Wiz (now Google) and Palo Alto's Prisma Cloud also extend code-to-cloud competition as of 2026.
- Who owns Snyk and is it going public?
- Snyk is privately held and venture-backed with no parent company; its last priced round was $196.5M at a $7.4B valuation in December 2022. As of mid-2026 it remains private, having reportedly declined sub-$3B PE acquisition offers in 2025.
- What is Snyk's valuation as of 2026?
- Contested. Snyk's official last-round valuation is $7.4B (December 2022, Series G led by Qatar Investment Authority), but a BlackRock secondary-market mark in 2026 valued the company at roughly $3.7B, about 11x its ~$326M ARR, per Sacra's 2026-03-08 report.
Timeline
- 2026-06-29Evo Agentic Development Security (Evo ADS) reaches general availability
- 2026-06-25Snyk completes fourth layoff round, cutting about 90 jobs in an AI-driven reorg
- 2026-06-23Snyk launches Evo Agentic Development Security to govern AI coding agents and MCP servers
- 2026-03-23Snyk launches Agent Security solution and GA of Evo AI-SPM at RSA Conference
- 2026-03-08Sacra reports Snyk at $326M ARR, growth down to 7% YoY from 27%
- 2026-02-22CEO Peter McKay steps aside; CFO Ken MacAskill becomes interim CEO
- 2025-07-11Fresh unquantified wave of job cuts reported at Snyk
- 2025-06-24Snyk acquires Invariant Labs to build agentic AI security research bench
- 2024-12-06Snyk crosses $300M ARR milestone, says not rushing to IPO
- 2024-11-01Snyk acquires Probely (DAST), later rebranded Snyk API & Web
Revision history
21 July 2026
First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.
In the same band
Sources
- Snyk at $326M ARR growing 7% YoY (2026-03-08)
- Snyk's CEO steps aside... (2026-02-22)
- Snyk revenue, valuation & funding (2025-07-24)
- Snyk Raises $196.5M Weeks After Laying Off 14% of Workforce (2026-07-13)
- What is Snyk? Profile, leadership & funding, Komo
- Snyk Acquires Invariant Labs to Accelerate Agentic AI Security Innovation (2025-06-24)
- Snyk launches Evo Agentic Development Security (2026-06-23)
- Layoffs hit Snyk as company pivots to AI (2026-06-25)
- Snyk CEO Peter McKay: Startups Looking To Get Acquired 'Dramatically' Increasing
- Best AI Code Security Tools in 2026 Compared (2026-07-01)
- Snyk Ltd. Number of Employees 2026 (2026-06-29)
- Snyk hits $300M ARR but isn't rushing to go public (2024-12-06)