CTech by Calcalist’s Post

Made in Israel: Decoding Israel's cyber success amid 2023 challenges and predictions for 2024 YL Ventures' analysis exposes Israeli cyber's resilience, with total fundraising among Israeli cybersecurity startups last year amounting to $1.9 billion in 71 investment rounds, marking a 41% drop compared to 2022. However, the average Seed round rose to $9.8 million in 2023 and 21 Israeli cyber companies were acquired, compared to 16 in 2022 . . . Follow #madeinisrael  Follow #addvalue Follow ‫ADDVALUE Ltd - Business Development in Japan #isreal #cybersecurity #tech #businessdevelopment https://lnkd.in/d9XYkYRg

Is Israel's dominance on cybersecurity a double-edged sword? Let’s discuss. Israel's tech ecosystem is undeniably thriving, with a record-breaking first half of 2024 in terms of M&A and fundraising. However, the cybersecurity sector's outsized dominance raises concerns about potential long-term implications. While it’s undoubtedly a critical area, the disproportionate focus risks overshadowing other promising tech verticals. Cybersecurity represents a staggering 52% of private funding in H1 2024. This concentration of capital and talent, while understandable given the global cyber threat landscape, could stifle innovation in other areas. I believe we need a balanced ecosystem. Diversifying our tech portfolio is essential for long-term resilience and capturing new market opportunities. It's a complex challenge, but one that requires careful consideration from investors, entrepreneurs, and policymakers alike. How do you think we can foster growth in other tech sectors without neglecting cybersecurity? Read the full article here: https://lnkd.in/dKwfqhrm #IsraeliTech #Cybersecurity #Startups #VentureCapital #Diversification

The Information recently published an interesting article regarding the paradox involving cybersecurity startups (article linked below). We are seeing a surge in cyberattacks which have precipitated an unprecedented level of cybersecurity investment. However, at the same time, numerous cybersecurity startups are confronting depreciated valuations and diminishing funding rounds. What could possibly be the catalysts of this paradox? 1) A crowded marketplace: VC firms have infused a staggering $48 billion into this sector between 2021 and 2022, which has resulted in an overwhelming amount of options for consumers. Startups are finding it hard to differentiate themselves and grow in an over-saturated market. 2) Fierce compeition and dominance of larger organizations: given the congested state of the market, many startups - which typically offer only a handful of products - are struggling to compete against larger organizations that boast comprehensive software suites. Consequently, larger corporations capitalizing on cash-strapped startups have instigated a spike in mergers and acquisitions. How will these startup organizations adapt to ensure their survival as opposed to being acquired by larger corporations? What strategies will startups employ to carve a niche within this overcrowded, yet indispensable market?

The Information recently published an interesting article regarding the paradox involving cybersecurity startups (article linked below). We are seeing a surge in cyberattacks which have precipitated an unprecedented level of cybersecurity investment. However, at the same time, numerous cybersecurity startups are confronting depreciated valuations and diminishing funding rounds. What could possibly be the catalysts of this paradox? 1) A crowded marketplace: VC firms have infused a staggering $48 billion into this sector between 2021 and 2022, which has resulted in an overwhelming amount of options for consumers. Startups are finding it hard to differentiate themselves and grow in an over-saturated market. 2) Fierce compeition and dominance of larger organizations: given the congested state of the market, many startups - which typically offer only a handful of products - are struggling to compete against larger organizations that boast comprehensive software suites. Consequently, larger corporations capitalizing on cash-strapped startups have instigated a spike in mergers and acquisitions. How will these startup organizations adapt to ensure their survival as opposed to being acquired by larger corporations? What strategies will startups employ to carve a niche within this overcrowded, yet indispensable market?

Nobody beats the Wiz or Israel's cybersecurity startup ecosystem, which led the way to Israel's best capital raising quarter in years. Despite war and ongoing threats, investors came in with just under $3 billion in 110 total rounds. Most of that went into cybersecurity including the huge billion dollar round Wiz had. Even without that big round, the second quarter was the largest since the first quarter of 2022. There are obviously incredible challenges to overcome but it's clear the trend is a strong vote of confidence that the future will be much better and, hopefully, soon. The resilience will win through, on all levels. https://lnkd.in/escukrep

Since the War, Israeli Cyber Startups Attract Interest Israeli cyber startups raised $620 million in capital from investors. It accounts for 38% of the total funding in the tech sector. The data are provided by Cybertech Global and IVC, a global cybersecurity conference in Tel Aviv. In 2024, mergers and acquisitions in Israel’s cyber sector generated $985 million in 8 deals. In 2023, M&A amounts of Israeli cyber deals added up to $7.1 billion out of a total of $10 billion in the local tech industry. Since the Hamas-led massacre on October 7, Israel experienced 2.5 times more cyberattacks than in previous years. Israel’s cybersecurity industry includes 522 startups and firms: - 276 early-stage startups,  - 125 research and development stages,  - 96 growth-stage firms generating revenues of $10 million or more. “We expect to see more investments in Israeli cyber companies and new startups that address emerging threats,” Cybertech founder Amir Rapaport said. Source: https://lnkd.in/guBx9JWC

Most Promising #Israeli #Cyber #Startups to Watch in 2024 🚀🇮🇱 We are thrilled to spotlight five innovative Israeli cybersecurity companies that are making significant waves in the tech industry. As featured in CTech by Calcalist's annual list of the "Top 50 Most Promising Israeli Startups", these companies are leading the charge in cybersecurity. 1. Oasis Security Founders: Danny Brickman and Amit Zimerman Focus: Pioneering non-human identity management to secure passwords, keys, licenses, and tokens within organizations. 2. Astrix Security Founders: Alon Jackson and @Ido Gour Focus: Securing application connections with full transparency of internal and third-party apps. 3. Backslash Security Founders: Shahar Man and Yossi Pik Focus: Identifying critical security weaknesses during the development stage of applications. 4. Zenity Founders: Ben Kliger and Michael Bargury Focus: Providing secure and compliant development on low-code/no-code platforms. 5. OneLayer Founders: Dave Mor and Or Turgeman Focus: Securing private cellular networks, mapping devices from cellular protocols to IP-based systems. https://lnkd.in/d-cxGUqE #CyberSecurity #IsraeliStartups #OasisSecurity #AstrixSecurity #Backslash #Zenity #OneLayer #Innovation #CWSIsrael Raz Chorev 🇮🇱🇦🇺🎗️Yulia Lavie 🇮🇱🇦🇺 Jackline K.

Israeli startups dominate promising cyber companies list - CTech: Israeli startups dominate promising cyber companies list  CTech #CyberSecurity #InfoSec #SecurityInsights

🚀 Big News in Cybersecurity! 🚀 San Francisco-based cybersecurity startup Abnormal Security has closed a whopping $250 million Series D funding round, boosting its valuation to $5.1 billion. Chris Metinko recently wrote an article exploring this funding round; here is the rundown. Key Points: ▪ Funding Details: Led by Wellington Management, with previous investors Greylock Partners, Menlo Ventures, Insight Partners, and the Falcon Fund joining in. ▪Valuation Growth: The latest valuation marks a 28% increase from the $4 billion valuation in May 2022, during their $210 million Series C by @Insight Partners. ▪Total Funds Raised: Nearly $546 million to date. ▪Revenue Milestone: Abnormal Security’s annual revenue surpassed $200 million Industry Insights: The #cybersecurity sector is regaining momentum. Q2 2024 saw $4.4 billion in investments, a 63% jump from Q1's $2.7 billion across 173 deals. This marks the best quarter since Q1 2022 and a 144% increase from Q2 2023. Abnormal Security's impressive growth and substantial new funding highlight the rising importance and renewed investor confidence in cybersecurity solutions. Checkout Chris Metinko's Crunchbase article for more information on this Series D funding round: https://lnkd.in/gmzjfVay #Cybersecurity #StartupFunding #AI #MachineLearning #TechNews #Innovation #FundingTrends #StartupEcosystem #SiliconValley #SiliconValleyLaw #Garage2Global Brandee Diamond, Natasha Allen, Nicholas O'Keefe, André ThiollierEric Chow, Lyman Thai, Foley & Lardner LLP,  Brian Wheeler, Nathaniel Lacktman, Thomas (T.J.) Ferrante, Rachel B. Goodman 

Cybersecurity Funding Jumps 144% In Q2 🚀 In the Q2 of 2024, cybersecurity startups saw a significant surge in venture funding, with investments jumping 144% year-over-year to $4.4 billion across 153 deals. ✔️ This growth was driven by large funding rounds for mature companies like Wiz, which raised $1 billion. That round is still the biggest in cybersecurity this year. It’s the largest cyber round since Securonix raised more than $1 billion from Vista Equity Partners in February 2022. 📈 According to Crunchbase data, Wiz is currently in discussions to be acquired by Google for $23 billion, potentially marking the largest acquisition ever of a VC-backed company. Should the deal go through, it would significantly increase the attention and competition in the industry. 🤑 However, Wiz’s significant funding round wasn't the only notable one in Q2. Ten rounds reached $100 million or more. Data security startup Cyera secured a $300 million Series C led by Coatue, reaching a $1.4 billion valuation. 🚀 Dallas-based enterprise browser developer Island obtained a $175 million Series D, led by new investor Coatue and existing investor Sequoia Capital, bringing its valuation to $3 billion. 💪🏻 Other factors contributing to the rise include increased cyber threats, the impact of AI, and enterprises resuming cybersecurity spending. Umesh Padval, a Managing Director at Thomvest Ventures with expertise in cyber, cloud, and AI infrastructure, noted that rising cyber hacking incidents, the proliferation of threats due to AI, and enterprises resuming their purchases of cyber products after years of reduced spending have all fueled the increase in investor interest. For more details, read the full article here: https://lnkd.in/eesEc3dY #cybersecurityjobs #cybersecuritynews #cybersecuritystartups