New Italian unicorn Exein rides the physical AI wave

Italian IoT-security startup Exein raised $270 million at a $1.7 billion valuation to build a security layer for physical AI and edge devices.

Rome-based Exein raised a $270 million round led by Headline at a $1.7 billion valuation, becoming Italy's new unicorn, with plans for M&A and US/APAC expansion. The company claims over 2 billion connected devices secured across aerospace, industrial automation, automotive, energy, healthcare, and semiconductors using its Photon kernel-level runtime protection. Exein is training a foundational model for physical AI security on machine telemetry, targeted for Q1 2027, and reports 400% year-on-year growth. The EU Cyber Resilience Act, whose reporting obligations began last week, is expected to further boost demand.