Is Vectra AI profitable in 2026?

Vectra AI does not disclose audited financials, but third party estimates from Latka put 2025 revenue at approximately $120M as of September 2025, described as an ARR milestone rather than confirmed profit. No public profitability figures have been disclosed by the company as of mid 2026.

Could AI replace Vectra AI's product?

Vectra AI's own platform is an AI system, running 150+ specialized behavioral AI models to automate SOC analyst work, per company materials as of March 2026. Its moat is proprietary behavioral data and 35 to 39 patents, but Darktrace and Palo Alto Networks market similar AI capable platforms, so the moat is contested, not decisive.

Who is Vectra AI's biggest competitor?

Darktrace is Vectra AI's closest NDR rival by buyer mindshare, though both declined on PeerSpot as of July 2026 (Vectra 16.0% to 10.3%, Darktrace 23.7% to 14.1%). Larger platform incumbents Cisco, Palo Alto Networks, and Fortinet also ship competing NDR products and hold roughly 29 to 30% combined market share.

Vectra AI is privately held with no IPO to date. Its last priced round was a $130M Series F in April 2021 led by Blackstone Growth, valuing it at $1.2 billion; other investors include TCV, Khosla Ventures, and Accel, per Barron's, April 29, 2021.

Is Vectra AI's valuation still $1.2 billion?

The 2021 Series F priced Vectra AI at $1.2 billion, but Forge Global secondary market data from July 19, 2026 shows shares trading at $4.96 versus the $7.68 Series F price, an implied 35% discount, indicating investor sentiment has cooled since the peak.

Is Vectra AI losing market share to competitors?

Yes, per PeerSpot data as of July 14, 2026, Vectra AI's buyer mindshare fell from 16.0% to 10.3% year over year, while incumbents like Cisco, Palo Alto Networks, and Fortinet continue shipping competing NDR products and hold a combined ~29 to 30% of the market.

AI companies and labs · United States

Vectra AI

vectra.ai ↗

Vectra AI sells AI-driven network detection and response software to enterprise security teams.

Losing its protection

Assessed 21 July 2026 · Evidence as of 21 July 2026

The structural protection is eroding.

On the recordSince 21 July 2026 · Checkable from Q4 2026 · Every call on the record Checkpoint: First full-year revenue and growth numbers under new CRO Derek Phillips, plus any new priced funding round

The call

Vectra AI still leads Gartner's NDR ranking but is losing buyer mindshare and trading below its 2021 valuation as platform vendors bundle detection for free.

Vectra AI makes software that watches networks for hackers and attacks using artificial intelligence. It has real customers (2,000+) and makes real money (~$120M per year), but the problem is that huge companies like Cisco, Palo Alto Networks, and Fortinet are already selling similar products and winning customers away from Vectra. Vectra's share of buyer interest dropped from 16% to 10% in one year, and its value on the secondary market fell about 35% since 2021, which suggests investors are worried. The one thing that could turn this around would be if Vectra gets acquired by a larger company, raises new funding at a good price, or suddenly starts growing revenue faster under its new sales leader.

Why

AI pressure: Microsoft Security Copilot and Defender for Endpoint/Network. Microsoft bundles AI threat detection into Defender and Entra at no extra cost, squeezing standalone NDR budgets like Vectra's. Could AI do the core job? Only partly.

Bigger players: Cisco, Palo Alto Networks, Fortinet. Cisco Secure Network Analytics, Palo Alto Cortex XSIAM, and Fortinet FortiNDR now ship inside bigger platform deals, pulling NDR budget away from standalone vendors. Could a giant copy it? Yes, easily.

What protects it. 150+ proprietary detection models, 35 to 39 patents, and integrations with CrowdStrike and Endace keep existing customers tied to Vectra's workflow.

What would change this call

Vectra AI's PeerSpot mindshare in next 12 months versus current 10.3%. Shows whether platform bundlers are still taking buyer attention from Vectra.
A new priced funding round or IPO filing for Vectra AI at or above the 2021 $1.2B valuation. Would show the market re-rating Vectra upward rather than confirming the secondary-market discount.
Vectra AI 2026 revenue figures under new CRO Derek Phillips versus the ~$120M plateau. Indicates whether sales momentum is reaccelerating or stalling.

Key numbers

Buyer mindshare fell 16.0% to 10.3% YoY (2026-07-14)
Secondary shares trade ~35% below 2021 Series F price (2026-07-19)
Headcount 714, down 8.3% from 778 in 2023 (2026-06-29)

Named risks

Buyer mindshare eroded from 16.0% to 10.3% YoY as of July 2026, signaling competitive share loss. Severity: high
Secondary market valuation trading ~35% below 2021 Series F price as of July 2026. Severity: high
Flat to declining headcount and only 2 open roles reported July 2026 suggest cautious growth. Severity: medium
Standalone NDR category maturing into platform bundles from Cisco, Palo Alto, Microsoft, CrowdStrike. Severity: medium
Netography integration into Vectra Fusion carries execution risk on cross-sell and product unification. Severity: low

Rivals, as read in July 2026

Rival	Direction	Evidence
Darktrace	losing to	Both declining, but Darktrace held higher mindshare, 14.1% vs Vectra 10.3% as of 2026-07-14
Cisco	losing to	Cisco Secure Network Analytics holds ~8-9% NDR market share while shipping competing product
Palo Alto Networks	losing to	Cortex XSIAM holds ~5-6% NDR share and bundles detection into broader platform
Fortinet	contesting	FortiNDR holds ~5-6% share, competing directly in same NDR category
CrowdStrike	gaining on	Vectra expanded partnership with CrowdStrike for bundled SMB offering, announced 2025-04-28

Questions people ask

Is Vectra AI profitable in 2026?: Vectra AI does not disclose audited financials, but third party estimates from Latka put 2025 revenue at approximately $120M as of September 2025, described as an ARR milestone rather than confirmed profit. No public profitability figures have been disclosed by the company as of mid 2026.
Could AI replace Vectra AI's product?: Vectra AI's own platform is an AI system, running 150+ specialized behavioral AI models to automate SOC analyst work, per company materials as of March 2026. Its moat is proprietary behavioral data and 35 to 39 patents, but Darktrace and Palo Alto Networks market similar AI capable platforms, so the moat is contested, not decisive.
Who is Vectra AI's biggest competitor?: Darktrace is Vectra AI's closest NDR rival by buyer mindshare, though both declined on PeerSpot as of July 2026 (Vectra 16.0% to 10.3%, Darktrace 23.7% to 14.1%). Larger platform incumbents Cisco, Palo Alto Networks, and Fortinet also ship competing NDR products and hold roughly 29 to 30% combined market share.
Who owns Vectra AI?: Vectra AI is privately held with no IPO to date. Its last priced round was a $130M Series F in April 2021 led by Blackstone Growth, valuing it at $1.2 billion; other investors include TCV, Khosla Ventures, and Accel, per Barron's, April 29, 2021.
Is Vectra AI's valuation still $1.2 billion?: The 2021 Series F priced Vectra AI at $1.2 billion, but Forge Global secondary market data from July 19, 2026 shows shares trading at $4.96 versus the $7.68 Series F price, an implied 35% discount, indicating investor sentiment has cooled since the peak.
Is Vectra AI losing market share to competitors?: Yes, per PeerSpot data as of July 14, 2026, Vectra AI's buyer mindshare fell from 16.0% to 10.3% year over year, while incumbents like Cisco, Palo Alto Networks, and Fortinet continue shipping competing NDR products and hold a combined ~29 to 30% of the market.

Timeline

2026-05-21Named Leader in 2026 Gartner Magic Quadrant for NDR, highest for Ability to Execute
2025-12-10Derek Phillips appointed Chief Revenue Officer to accelerate global growth
2025-10-02Acquired Netography, rebranded as Vectra Fusion for cloud network observability
2025-08-12Debuted on Inc. 5000 list of fastest growing private companies
2025-07-31Opened new office in Bangalore, India as part of global expansion
2025-06-02Named Leader in first ever Gartner Magic Quadrant for NDR
2025-04-28Expanded CrowdStrike partnership for SMB and midmarket bundled NDR offering
2022-01-01Acquired Siriux network management software company
2021-04-29Raised $130M Series F led by Blackstone Growth at $1.2B valuation

Revision history

21 July 2026

First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.

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