Telos Secures Landmark Federal Rollout for AI Compliance Platform Xacta.ai

Telos Corporation (NASDAQ:TLS) was one of the small-cap tech stocks hedge funds were buying in Q2.

On October 13, 2025, Telos Corporation announced that a U.S. federal agency will deploy its AI‑driven governance, risk and compliance platform, Xacta.ai, enterprise‑wide, marking the first full‑scale federal rollout of the solution.

The agency, already a Telos customer, will integrate the software across its operations to leverage intelligent workflows, real‑time insights, and automated compliance mapping. In pilot testing, Telos said Xacta.ai shortened compliance tasks from months to days and generated implementation statements in minutes rather than hours.

The system is designed to automate risk assessments, streamline authorization processes, and enhance security compliance at scale. The company described the deployment as part of its effort to modernize federal compliance operations through artificial intelligence and automated workflows.

Telos Corporation (NASDAQ:TLS) is headquartered in Ashburn, Virginia, and provides cybersecurity, cloud security and enterprise identity/defense solutions to government and regulated industries around the world.

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Disclosure: None.