Nothing can stop the bubbling Israeli cyber scene, as yet another cyber startup collects a 9-digit paycheck. Deep Instinct secures $100 million in Series D funding; led by BlackRock, with participation from Untitled Investments, The Tudor Group, Anne Wojcicki, and existing investors, including Millennium, Unbound, and Coatue Management, among others. The company’s valuation remains unknown, but the round did double its cash in hand, now with $200 million. Deep Instinct CEO tells Geektime that the company is headed for IPO.
Has this company mapped the “DNA of cyber”?
Deep Instinct’s artificial neural network detects, predicts, prevents, and responds to all malicious activity crossing different attack vectors, while deploying adaptive security against the most advanced cyber attacks. The company’s platform engulfs servers, end devices, mobile devices, and others under its security protocol, as well as providing similar solutions for online traffic.
While chatting with Geektime, CEO and co-founder Guy Caspi explained why the company decided to focus on neural networks; claiming that the method analyzes 100% of the data, and doesn’t require hundreds of analysts supporting it. “The data being left in its raw stage at input has allowed us to map the DNA of cyber, so we’re not needed during the dozens of daily software updates, nor for cloud testing; we are indifferent to the infrastructure and prevent the most threats in the world.”
Caspi further added that Deep Instinct’s software component stops threats in less than 10-milliseconds, “allowing us to be the Pfizer of the cybersecurity world, unlike other existing solutions that are only activated after infection.” It seems as if the company is ready “ to put its money where its mouth is,” as Caspi explains that the company offers cyber insurance of up to $3 million if infected with ransomware (contrast to the $1M offered by other companies) and $1 million if performance was impacted.
This last year was quite exceptional for Deep Instinct, which reported tripling its customer base, increasing its headcount to 250, as well as launching operations in Japan and Europe. Caspi said that the company currently has a few “major” customers in Japan, Germany, England, Ireland, and France, as well as reporting millions in revenue. According to him, the big players slowed down during this last year, which opened up more opportunities for Deep Instinct.
Where’s the company headed? Additional funding rounds? IPO? SPAC?
Caspi: “We looked at the SPAC path but decided to go the IPO way. I guess it may take two or three years. Going public would launch Deep Instinct’s valuation north of $10 billion.”