The cybersecurity company is developing technology that analyzes the software actually running inside connected devices, from vehicles to industrial machinery.
Finite State has raised $27 million in a Series C led by private funds managed by The O.H.I.O. Fund.
CIBC Innovation Banking, Energy Impact Partners, Energize Capital and National Grid Partners also participated.
Founded by Matt Wyckhouse, the Ohio-based company develops software and firmware security technology for manufacturers of connected products.
The financing follows growing concerns about the speed at which AI-powered security tools can identify vulnerabilities in software.
The Security Problem Inside Physical Products
Connected vehicles, medical devices, industrial equipment and energy infrastructure contain increasingly complex combinations of software and firmware.
Manufacturers often depend on components developed by external suppliers, including open-source software.
A vulnerability in one shared component can affect many products.
Finite State analyzes the compiled software and firmware inside devices, rather than relying exclusively on source code or component lists supplied by developers.
Its platform identifies known vulnerabilities, investigates potential security risks and helps manufacturers prioritize problems based on exploitability.
From Vulnerability Detection to Compliance
Manufacturers are also facing new cybersecurity requirements.
Regulations such as the European Union's Cyber Resilience Act are increasing expectations around software inventory, vulnerability management and evidence of compliance.
Finite State supports software bills of materials, vulnerability reporting and documentation for product security reviews.
The company is expanding its use of AI agents to automate analysis, testing and compliance preparation.
A Growing Market for Product Security
As attackers use AI to discover weaknesses more efficiently, manufacturers need faster methods to assess and remediate vulnerabilities.
Finite State's opportunity is to become part of the security development and compliance process for connected products.
The new financing will support international expansion and development of more autonomous platform capabilities.
Its challenge will be maintaining reliable security analysis as software complexity and regulatory obligations continue to increase.
Sources: Finite State announcement; SecurityWeek.