Cybersecurity is (or should be) a major concern for everyone that owns an internet-connected device. Computers and smartphones have come a long way in terms of security. However, newer devices—especially Internet of Things (IoT) gadgets—often have vulnerable security.
Since everything is connected to the internet, a single IoT device with flawed security can put everything on a network at risk.
That’s why companies are investing hundreds of millions of dollars to find new ways of securing IoT gadgets. An Israeli startup called Vdoo startup called Vdoo startup called Vdoois developing an AI-based service to find and fix security flaws in IoT devices, TechCrunch reports. Now, the startup has raised $25 million in fresh funding for its forward-thinking approach to cybersecurity.
Today’s world is filled with tech at every corner. Billions of devices are connected to the internet and more are being added each year. While that’s great for both consumers and the tech industry, it also means that hackers have infinite ways to subvert a network’s security protocols.
Vdoo previously raised $32 million back in April. Until now, the company has been focused on rolling its AI-based solution out to large organizations like healthcare systems and industrial facilities. With its new funding, the startup plans to start addressing the vulnerabilities that exist in smaller, consumer-focused devices.
TechCrunch notes that Vdoo seeks to identify and fix problems like zero-day vulnerabilities, common vulnerabilities and exposures (CVEs), configuration and hardening issues, and standard incompliances.
The startup’s latest funding round comes from two investors. One is Israel’s Qumra Capital and the other is Verizon Ventures. The latter’s interest is noteworthy considering the massive web of devices that operate on Verizon’s network.
Vdoo’s CEO, Netanel Davidi, says, “They [companies like Verizon] sell connected devices to enterprises and home users that are not made by them, yet the carriers are responsible for the security… so the solution is to bake that into devices.”
It’s worth noting that Verizon’s partnership with Vdoo is strategic in nature.
To date, the startup has raised $70 million. Although it hasn’t yet revealed its valuation, Davidi claims that it has more than doubled this year, TechCrunch reports. This is impressive considering that PitchBook estimated the company’s valuation to be nearly $100 million in 2019.
It’s rather interesting why Vdoo has chosen to raise additional funds right now. The COVID-19 pandemic certainly has something to do with it. In response to lockdown orders and social distancing regulations, consumers have been buying devices like crazy.
They have also been relying on their home networks more than ever, TechCrunch notes. These two factors create a perfect storm considering the cybersecurity vulnerabilities of many connected gadgets.
For Vdoo, this is a perfect opportunity to capitalize. Boaz Dinte, managing partner of Qumra Capital, agrees with that sentiment. In a statement, he said, “Vdoo’s unique device-centric, deep technology automated approach has already brought immediate value to vendors in a very short period of time. We believe the market opportunity is huge, and with newly infused growth capital, Vdoo is well-positioned to become the leading global player for securing connected devices.”
As the world continues to adopt IoT devices, Vdoo is worth keeping an eye on. It could have a major impact on how both manufacturers and consumers think about cybersecurity.