Arctic Wolf Valued at $1.3 Billion After $200 Million Funding Round
Security operations company Arctic Wolf on Thursday announced the closing of a $200 million Series E funding round that values it at $1.3 billion.
Founded in 2012, the SOC-as-a-service company has raised a total of $348 million to date and is the first cloud-native managed detection and response (MDR) vendor to reach unicorn status.
Arctic Wolf’s cloud-native platform is meant for enterprises that do not have an in-house security operations center (SOC) and works by supplying each customer with a concierge security team that can deliver risk management and threat detection and response.
The company says it will use the new funds to accelerate the launch of new products and expand to new markets, as well as to strengthen its position in the MDR and security operations markets.
Significant growth in revenue and customer base also resulted in the Sunnyvale, California-based company expanding its employee base. Following the new funding round, Arctic Wolf plans to move headquarters to Eden Prairie, Minnesota, where it already has over 200 employees.
The company plans to use the new funding to make investments in the new headquarters by the end of 2021, including constructing a third SOC and adding more than 150 new jobs.
Arctic Wolf claims to have seen, in the past year, 106% growth in subscription revenue, 180% growth in enterprise customers, 301% growth in customers using multiple solutions, 282% growth in channel partners, and 270% growth in processed security events.
“Every year, businesses continue to make significant new investments in cybersecurity tools, yet we still see breaches in the headlines. The rapid growth of Arctic Wolf is being driven by organizations realizing that they don’t have a tools problem, but an operational one, and that they can’t solve their security operations challenges on their own,” Brian NeSmith, CEO and co-founder of Arctic Wolf, said.
The new funding round was led by Viking Global Investors, but also received participation from DTCP and existing investors.