Cybersecurity Firm Claroty Raises $60M To Secure Industrial Networks

June 11, 2018 | Cybersecurity firm Claroty, which provides advanced solutions to secure critical infrastructure systems, announced that it raised $60 million in a fresh funding round led by Temasek, a national wealth fund owned by the government of Singapore. The round also included Rockwell Automation, Aster Capital (sponsored by Schneider Electric), Next47 (a Siemens-backed global venture firm), Envision Ventures, and Turkish-based Tekfen Ventures. Previous investors, including Bessemer Venture Partners, Innovation Endeavors, ICV, and Team8, a cybersecurity think tank and accelerator where Claroty got its start, also participated.

Claroty was founded in 2014 and exited stealth mode in late 2016.

Headquartered in New York, Claroty has customers with production installations across six continents in nine market segments, including electric utilities, oil and gas, chemical, water, manufacturing, food and beverage, mining, and real estate (building management systems, data centers, warehouses), the company said in a statement.

Industrial networks have become collateral damage in ransomware attacks like WannaCry and NotPetya costing companies billions in losses in 2017, the company noted. Claroty provides a comprehensive cybersecurity platform which “combines secure remote access with continuous monitoring for threats and vulnerabilities – enabling industrial control system operators to protect these important networks.”

Claroty Co-founder and CEO Amir Zilberstein said in the statement: “Our unparalleled investor syndicate, which includes some of the most important industrial companies in the world, is a ringing endorsement of Claroty’s technology and the progress our team has made. Our mission is to protect the most critical networks on the planet and our comprehensive platform provides our customers with the capabilities they need to accomplish this vitally important task.”

“A perimeter defense to cybersecurity in today’s connected world is not enough,” said Hervé Coureil, Chief Digital Officer at Schneider Electric. “An end-to-end approach, with solutions that provide deep visibility into operational technology and industrial control systems, is critical for the security of heavy processing environments.

Frank Kulaszewicz, SVP, Architecture & Software at Rockwell Automation said” “Claroty has been a partner since 2016 and their advanced technology is a key element of our real-time threat detection and monitoring service. Our investment in Claroty is a logical extension of our ongoing strategic partnership.”

T.J. Rylander, a partner at Next47, said: “The recent increase in scale, scope, and frequency of cyberattacks on critical infrastructure has led to an uptick in demand for new solutions from companies around the world. Claroty has the team, technology, and market traction to deliver the kind of lasting impact that we are looking for at Next47.”

Claroty said it will use the investment proceeds to “grow its brand globally, extend its sales and customer support footprint, and continue its rapid pace of product innovation.”