Claroty secures "largest investment ever" in industrial cybersecurity

Industrial cybersecurity company Claroty has announced it has secured $140 million in a Series D financial round, and claims it marks the largest investment ever made within the industrial cybersecurity sector as the world grapples with an uptick in cyber attacks on critical infrastructure in recent months.

The funding round is co-led by Bessemer Venture Partners’ Century II fund and 40 North, with additional investors including LG, Team 8, Rockwell Automation, Siemens and Schneider Electric. The round brings the company’s total funding to $235 million.

The new funding will be used to accelerate the company’s expansion into new verticals and regions, as well as to further enhance its best-in-class product portfolio.

“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,” said Yaniv Vardi, CEO of Claroty. “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.”

There has been a clear and distinct shift since 2020 in the frequency and impact of cyber attacks against organisations that underpin the world’s critical infrastructure and supply chains. According to Cybersecurity Ventures, global ransomware damage costs are predicted to exceed $265 billion by 2031, up from $20 billion in 2021.

Claroty will use the funds to meet rapidly accelerating 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, growing global headcount, bolstering its commitment to securing IoT devices and further empowering customers’ journey to the cloud.

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