Enterprise software firm Datadog recently offered to buy cloud cybersecurity startup Upwind Security for nearly $4 billion, the latest sign of white-hot interest in such firms, according to someone with direct knowledge of the talks.

Upwind, which hasn’t accepted the offer, is finalizing a $300 million funding round at a roughly $3.8 billion valuation, meaning the offer doesn’t carry much of a premium over the private valuation, said two people with knowledge of the situation. The startup sells software to keep tabs on applications, including so-called AI agents, that run in the cloud and to detect and automatically respond to potential evidence of hacks or breaches.

Microsoft on Wednesday asked shareholders to approve a $90.6 million pay package for CEO Satya Nadella, down slightly from his $96.4 million compensation last year, as falling revenue in its Xbox unit dragged down his target bonus even as all other parts of the business met or exceeded targets. ...

Soon after Anthropic announced its Mythos model in April and said it was exceptionally good at cybersecurity, security professionals said it was only a matter of time before hackers used similar models to supercharge their own attacks.

That time has come, according to an example we reported about today. And it looks like hackers don’t even need a Mythos-class model to automate powerful cyberattacks.

The creators of PHP, an open source programming language used by the majority of the world’s websites, on Wednesday urged web maintainers across the globe to install a new update after researchers using AI found a flaw that could put those websites at risk of being hacked.

The flaw is the latest ...