Private Equity Companies Seeking Exposure to the Emerging Cybersecurity Business Sector
The Software-as-a-Service (SaaS) startup company will use the fresh capital to continue developing its platform and scale operations after doubling its business revenues in 2020. A surge in demand for cybersecurity products has resulted in Cymulate’s business customer base that now totals 300 large businesses and mid-market companies. Some of these customers include the Euronext stock exchange network and service providers NTT and Telit.
Eyal Wachsman, the startup’s CEO and co-founder, says Cymulate has not only developed a solution to improve the company’s security but has also developed an automated, artificial intelligence (AI) system to maximize the benefits from security investments that have already been made.
"Cymulate saw a 50% increase in the number of unique attacks in the wild in 2020, and as APT groups are becoming increasingly aggressive and disruptive, there is a real need for companies to run daily or weekly assessments of their security posture. A loss of customer trust due to the fallout of a major attack is extremely hard to regain," said Wachsman in a press release.
Cymulate did not disclose its post-money business valuation, but One Peak’s managing partner David Klein said he expects the startup company to reach a $1 billion business valuation within two years, given the rate at which it is growing. Cymulate has now secured $71 million to date.
“The increasing pace of global cyber security attacks has resulted in a crisis of trust in the security posture of enterprises and a realization that security testing needs to be continuous as opposed to periodic, particularly in the context of an ever-changing IT infrastructure and rapidly evolving threats," said Klein.
Products developed by the cybersecurity startup company allow businesses to run AI simulations on their systems to identify vulnerabilities and automatically offer a solution to fix those shortcomings.
While Cymulate’s solution is meant to improve the way its business customers use the security tools they already have, it was not developed to completely replace other security services, explains Eachsman.
Instead, Cymulate serves as a “black box” on the network because it merges with existing cybersecurity software and services. It then runs certain simulations and creates a map of the network, and points to potential threats. Furthermore, it eliminates those threats.
Cybercrime has been predicted to reach $6 trillion in damages this year. Therefore, companies and organizations are now investing more than ever to fight this threat. Moreover, the global research firm Gartner forecast that roughly $170 billion will be spent on information security by enterprises next year.
Startup Savant recently reported that the cybersecurity startup company Cyrebro raised $15 million in new funding to continue expanding its cloud-based technological safety operations platform.
Cybersecurity startup company Cymulate announced it closed a $45 million funding round led by One Peak Partners. The startup said it would use the new proceeds to continue making business investments in its platform and ramp up operations.
About the Author
Avi Ben Ezra is the CTO and Co-founder of SnatchBot and SnatchApp (Snatch Group Limited). He leads the Group’s long-term technology vision and is responsible for running all facets of the tech business which includes being the architect of the platforms and UI interfaces.