Industrial cybersecurity company Claroty announced that it has secured $140 million in a Series D funding round, an investment seen as establishing the company as a leader in the industrial cybersecurity market while the world grapples with a surge in cyberattacks against critical infrastructure in recent months. The company plans to use the funding to accelerate its expansion into new regions and verticals, as well as to continue to develop its product portfolio. The company has now raised $235 million from investors.
There has been a clear shift since 2020 in the frequency and impact of cyberattacks against organizations that underpin the world's critical infrastructure and supply chains. According to Cybersecurity Ventures, global ransomware damage costs are predicted to reach $265 billion by 2031, up from $20 billion in 2021. As cyberattacks on industrial infrastructure show no signs of slowing, the new investment in Claroty is seen as positioning the company at the forefront of the market for strengthening industrial cyber defenses in the future.
Yaniv Vardi, CEO of Claroty, said "Our mission is to drive visibility, continuity, and resiliency in the industrial economy by delivering the most comprehensive solutions that secure all connected devices within the four walls of an industrial site, including all operational technology (OT), Internet of Things (IoT), and industrial IoT (IIoT) assets. With this new investment from the most prestigious firms in the world, we have the financial runway to execute on our proven product strategy in a hyper-growth market, with a world-class leadership team and a strong ecosystem of partners to take us there."
Claroty has customers in thousands of locations including industrial and infrastructure facilities on all seven continents. Recently, the company cooperated with Pfizer to secure its COVID-19 vaccine supply chain in its race to meet unprecedented global demand. Claroty, which expects 133% year-on-year growth in new revenue from the first half of 2020 until the first half of 2021, recruited 80 new workers worldwide since the start of 2021, and plans to increase its number of workers by 50% by the end of the year. In addition, the company released Claroty Edge, a new patent-pending addition to the Claroty platform and the first zero-infrastructure industrial cybersecurity solution.
Claroty says it will use the latest funding to meet growing global demand for the Claroty platform's visibility, threat detection, risk and vulnerability management, and secure remote access capabilities by expanding into new verticals and regions, increasing its number of workers, bolstering its commitment to securing IoT devices, and further empowering customers' journey to the cloud.