Investors Bet Big on Cloud Security Startups Ermetic, Dazz
Venture capital investors are continuing to bet big on cloud security technologies with two early-stage startups announcing a combined $130 million in funding for products to help businesses secure cloud deployments.
The latest to cash in on the funding frenzy are Ermetic and Dazz, two Israeli startups building products to automate and remediate cloud security tasks.
Ermetic, which emerged from stealth less than two years ago, closed a $70 million Series B round led by growth-mode financing firm Qumra Capital. Ermetic has raised a total of $100 million since launching in 2019 to help solve problems in the identity and data protection categories.
Ermetic sells technology to protect cloud infrastructures (IaaS/PaaS) from access-related risks and misconfigurations by maintaining continuous visibility into identities, their entitlements and data usage. The company’s product combines is also used to enforce least privilege access at scale even in complex, multi-cloud cloud environments.
In addition to Qumra Capital, Ermetic’s backers include Forgepoint Capital, Accel, Glilot Capital Partners, Norwest Venture Partners and Target Global.
Ermetic said the cash infusion will be used to expand and scale operations in the U.S., Europe, the Middle East and Africa, and Asia Pacific, and to build out its engineering team. Since its last $17 million funding round, Ermatic says it has quadrupled in size to more than 100 employees and expanded its customer base eight-fold.
Earlier this week, Israeli startup Dazz announced a whopping $60 million investment from some of the world’s most prominent venture capital firms to work on technology to remediate security problems in the cloud.
Dazz describes itself as a cloud security remediation platform to automate remediation processes. The company said its tools can help organizations keep engineers on track, and secure cloud and dev environments.
Dazz is founded by a team of Ex-Microsoft security engineers along with security leaders from Armis, Adallom and Claroty.
The company plans to use the money to expand its engineering team and build a go-to-market organization in the United States with offices in Palo Alto and New York.
Venture capital firms participating in the Dazz $60 million round include Insight Partners, Greylock, Index Ventures, and Cyberstarts.