• Unbound raises $4M in seed funding to help enterprises securely manage and optimize generative AI usage.
• AI Gateway platform intercepts prompt, prevents data leaks, and routes tasks to cost-effective models cutting AI costs by up to 70%.
• $1M investment in India to expand Bengaluru operations and meet rising demand for secure, affordable AI infrastructure.

While generative AI tools are swamping workplaces, businesses are racing to square innovation with control. Workers are utilizing AI copilots for code, content, and campaigns covertly often without IT supervision causing critical issues around leaks, governance, and increasing costs.

In steps Unbound, a company launched by ex-executives from Adobe, Palo Alto Networks, and Imperva. The company has raised $4 million in seed capital, led by Race Capital and joined by Y Combinator, Wayfinder Ventures, Massive Tech Ventures, and prominent angels such as Ram Shriram (Google) and Eli Brown (Guilded).

Unbound's flagship product is an AI Gateway that allows IT teams to monitor, secure, and optimize enterprise applications of generative AI. It intercepts requests to tools like Cursor and Roo, checks for sensitive data, enforces policies, and intelligently routes requests whether to internal, open-source, or lower-cost models.

It was born in the early days of GPT-3.5 adoption when the founders witnessed sensitive information such as passwords and patient records accidentally being spilled into third-party AI tools. Old school security tools weren't going to cut it. Unbound provides a middle way: real-time redaction, intelligent routing, and granular control without destroying productivity.

To date, Unbound has blocked 7,000+ data breaches and assisted customers in reducing AI expenses by as much as 70%. "Blanket bans are so last century," declared CTO Vignesh Subbiah. "Unbound adds surgical security to each AI request."

CEO Rajaram Srinivasan further added: "Businesses demand visibility, flexibility, and assurance that data is protected without bogging down innovation."

Supporting the vision, Race Capital's Edith Yeung added: "AI may reach $4.8 trillion in enterprise value by 2033 if it's well-governed. Unbound is creating the infrastructure layer that makes AI safe, observable, and affordable."

In the future, Unbound is spending more than $1 million in India to expand its Bengaluru team. "India is evidence you can do more with less like sending a Mars mission at a cost lower than a Hollywood movie," joked Srinivasan. "We're witnessing the same with AI performance without the bill."
Unbound is setting itself up as the enterprise AI control layer flexible, secure, and future-ready.