![Okta’s AI Security Strategy: Reducing Agentic AI Risk | [Year] Update](https://www.computerweekly.com/visuals/German/article/AI-job-competition-adobe.jpg "Okta’s AI Security Strategy: Reducing Agentic AI Risk | [Year] Update")
Okta‘s Strong Q3 signals a Successful Strategic Shift & Bets Big on Agentic AI Security
Okta,a leading identity and access management (IAM) specialist,has delivered a robust third quarter,demonstrating a clear turnaround and positioning itself for significant growth,particularly in the emerging field of agentic AI security.Revenue climbed 12% to $742 million (£562m), reversing a prior operating loss and achieving a GAAP net income of $43 million – a ample increase from $16 million year-over-year. This positive momentum is fueled by a healthy subscription backlog exceeding $4 billion, with $2.3 billion expected to be recognized within the next 12 months.
These results aren’t just numbers; they reflect a strategic recalibration that appears to be paying dividends. Let’s break down what’s driving Okta’s success and why its focus on agentic AI security is a smart move.
A Focused go-to-Market Strategy Drives Growth
Earlier this year, Okta recognized a challenge: its rapid product innovation was overwhelming its sales organization. The solution? A strategic shift towards specialization.
President and COO Eric kelleher explained the change to Computer Weekly: Okta now focuses on two distinct buyer personas:
* enterprise Buyers: primarily CIOs and CISOs, focused on broad organizational security.
* Developer Buyers: Requiring flexible, scalable identity solutions for request growth.
This specialization extends to the platforms themselves:
* Okta platform: Tailored for the needs of CIOs and CISOs.
* Auth0 Platform: Designed specifically for developers.
This focused approach is already yielding results, with Q3 performance exceeding expectations and building on improvements seen in Q1 2026 and Q2. Okta is now having more productive conversations with both target audiences.
The Rising Demand for Unified Identity Security
Customers are increasingly seeking a consolidated identity security solution. Many organizations have accumulated a patchwork of point solutions, creating complexity and security gaps.
Okta positions itself as the “single pane of glass” for managing all identity use cases, offering a centralized administrative layer to enhance security across the entire business. This is particularly appealing as organizations grapple with the complexities of modern, distributed environments.
Agentic AI Security: The Next Frontier
Okta CEO Todd mckinnon believes identity security and agentic AI security are inextricably linked. this isn’t just marketing rhetoric; it’s a recognition of a basic shift in the threat landscape.
As organizations deploy AI agents, a new challenge emerges: securing their identities. Nonetheless of whether an “AI bubble” materializes, the need to secure these agents will remain constant.
Kelleher emphasizes this point: “People are going to have agents deployed… and the existence of the agents is what creates the need for a platform to secure their identities.” Okta is proactively addressing this need, positioning itself as a leader in this critical emerging market.
Navigating the AI Landscape: Beyond the hype
While concerns about an AI bubble persist – the OECD highlights potential equity market corrections fueled by AI investment hopes – Okta remains optimistic.
the company acknowledges that the AI space will see winners and losers. However, the core need for securing AI agents is independent of market fluctuations. This strategic focus provides a degree of insulation from broader AI market volatility.
Okta’s Q3 performance demonstrates the effectiveness of its strategic shift. By focusing on specialized buyer personas, streamlining its platform offerings, and proactively addressing the emerging challenges of agentic AI security, Okta is well-positioned for continued growth and success in the evolving identity security landscape.
