Privacy and Security Companies got $10B funding in 2019

Venture fundings in 2010 in Privacy and Security Companies started with $1.7B. This sector witnessed a sharp spike in investment, and the year 2019 ended with a staggering $10B. This fivefold expansion in investments indicates growing interest and development.

Protecting data and privacy in this virtual world is getting tougher every moment. No wonder, privacy and security startups like KnowBe4, Rubrik, and 1Password will gain both attention and investment from the seed and other series investors.

The Crunchbase Daily recently reported a nearly $10B investment in the form of seed angels, early and late-stage funding in 2019. They have used only the reported data up to 28 January 2020.

The seed and early-stage deals went to Cloud Security, DRM, E-Signature, Homeland Security, and Cyber Securities. Despite a drop in the number of deals in 2019, more investment than 2018 indicates the investors are concerned about quality, not the quantity of the deals.

Florida based security awareness training platform KnowBe4 is leading with a $300 million Series C fundings. This platform effectively manages social engineering problems. The next funding candidate in 2019 is Rubrik. This California based Data Protection company received $261 million from Series E funding.

Large economies like the US, China, UK, and Canada are leading the investments in the market. However, over the last five years, Israel made second place in the investor’s list. Political unrest in the Middle-East region is one of the leading causes behind this shift.

Companies like CrowdStrike, Fastly, and Cloudflare became venture-backed ipos and went public in 2019. This trend represents the public interest in investment in the privacy and security companies.

Deal wise Bessemer Venture Partners, Accell, Battery Ventures, and LightSpeed Venture Partners are leading the investments. These four multi-stage investment companies are holding the one-fourth of successful market deals.

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