Nightfall Unveils Industry-First AI-Powered File Classifiers to Close the Blind Spot Legacy DLP Misses: IP Exfiltration

Semantic AI detection delivers 20+ prebuilt classifiers and custom prompt-based detectors to protect business-critical IP across SaaS, Shadow AI, and endpoints.

SAN FRANCISCO, Nov. 18, 2025 /PRNewswire/ -- Nightfall today announced the launch of AI File Classifier Detectors, the first solution to use large language models (LLMs) to classify and protect business-critical documents that traditional DLP tools cannot see.

Most high-value assets—including source code, financial reports, strategic roadmaps, patents and proprietary research—contain no traditional sensitive data identifiers. As a result, they are invisible to legacy pattern-matching tools. This blind spot exposes organizations to intellectual property theft, insider threats, and accidental leaks through modern collaboration platforms and Shadow AI tools.

Nightfall closes this gap with LLM-powered document intelligence that goes beyond pattern matching or simple semantics. Its classifiers understand document meaning, structure, and business context—the same cues humans use to recognize a contract, source code repository, or M&A plan. The result is accurate detection of unstructured IP without reliance on brittle rules or manual tagging.

The solution provides instant coverage for 22 common document types and allows teams to build custom detectors using plain language prompts and example files, eliminating the need for regex patterns or large training sets.

Additionally, users can define new business document types on the fly using a prompt-based file classifier. For example, a lender can upload a sanitized mortgage application or describe it as "a home loan form with borrower income, asset, and liability fields." Nightfall's AI learns the structure and context to automatically generate a tailored detector—no custom rules, training data, or engineering effort required.

"The most devastating data breaches aren't credit card numbers or social security digits—they're the theft of years of R&D, customer strategies, or source code that represents millions in competitive advantage," said Rohan Sathe, CEO and Co-founder of Nightfall. "Traditional DLP tools are blind to these assets because they're designed for structured data, not business intelligence. Our AI File Classifiers finally give security teams the ability to protect what actually matters most: the unstructured intellectual property that drives business value and competitive differentiation."

Unlike legacy DLP, Nightfall's classifiers are explainable and adaptable. Each detection includes confidence scoring and justification metadata, so teams understand why a file was flagged and can fine-tune policies to balance protection with productivity. With prebuilt protection for common document types and custom detectors for unique business assets, organizations gain both immediate value and long-term flexibility—all in a single platform that works across SaaS apps, endpoints, and communication channels.

Key Features

• 22 Prebuilt Sensitive Document Types: Instant protection for legal contracts, financial reports, proprietary company-owned source code, product roadmaps, HR documents, M&A materials, and other common business-critical file types.
• Prompt-Based File Classifiers: Define new document types in minutes using natural language descriptions or example files—no regex or training data required.
• LLM-powered document intelligence: AI-powered analysis that understands document meaning, structure, and business context rather than relying solely on keywords or metadata patterns.
• Complete exfiltration vector coverage across every major data egress point including:
  • Browser-based uploads to personal cloud storage, AI apps or any SaaS app
  • Endpoint vectors including Git/CLI commands, USB transfer, clipboard operations, print/screenshot capture, cloud file sync
  • Email exfiltration via Gmail, Exchange Online to personal domains and unauthorized external recipients

About Nightfall

Nightfall AI is the leading AI-native data loss prevention platform that protects sensitive data across SaaS apps, GenAI tools, email, and endpoints. The San Francisco-based company is backed by Bain Capital Ventures, Venrock, and WestBridge Capital. For more information, visit www.nightfall.ai.

SOURCE Nightfall AI