Commitment to combating the ever morphing security threats across industry, not least fuelled by the high profile attacks on the likes of Sony Pictures and Home Depot, is gathering serious pace. Cyber security start-ups raised more than $1bn for the first time in a single quarter - up from $540m for the first three months of last year and almost double the same period of 2014, according to data from private company research firm PrivCo. Four years ago, total annual funding was less than $1bn.
Venture capital firms including Andreessen Horowitz and Kleiner Perkins, as well as VC arms of banks and technology companies, are pouring money into the sector as they anticipate rapid growth in cyber security budgets.
Sam Hamadeh, chief executive of PrivCo, said the record levels of funding were spurred by ramped up corporate spending and predictions that smartphone security was becoming a serious problem for companies whose employees deal in sensitive data from their mobiles.
“Within cyber security, venture capitalists were most interested in mobile security, which was the most active subsector of the quarter for new venture fundings,” he said. “Cyber attacks against enterprises have spread from the server and the desktop to the worrisome soft target of mobile phones, where not only files but stored passwords, emails, text messages, even actual phone calls could be spied upon with malware.”
Capitalising on this combination of increased demand and market interest will be the likes of some of the larger cyber security start-ups such as Rapid7 and Veracode. Elsewhere, since the quarter ended, Illumio, a start-up focused on securing data centres, has raised more than $100m in a round led by Blackrock, the world’s largest fund manager. Another to watch is Tanium, which has developed software enabling IT managers to roll out updates in seconds. It raised $52m to make it one of Andreessen Horowitz’s largest ever investments after a $90m investment from the same firm last year.
Richard Wheeler Associates has been working in this field for more than a couple of decades. Leading IT security companies such as Clearswift, McAfee, Oracle-Secerno have recruited business critical engineers and specialist cyber security professionals through RWA campaigns. In short, internet security remains a key element of RWA’s package of interconnected target sectors and is at the very heart of what we do - day in day out!
Simon Reed, former Engineering Director, McAfee: "Richard Wheeler Associates are by far the most professional and focused Selection consultancy I have ever dealt with. I trust RWA to find the best talent in the market place for my unique needs.”