Perimeter 81 Raises $100M At $1B Valuation

Israeli network security company Perimeter 81, announced the completion of a $100 million Series C funding round this week, bringing its valuation to $1 billion and making it Israel’s latest unicorn.

The round was led by multistage global investment firm B Capital, alongside investors Insight Partners, Toba Capital, ION Crossover Ventures, Entrée Capital, and Spring Ventures.

Perimeter 81 will use this latest financing to further accelerate the company’s rapid growth by expanding hiring for multiple positions across its sales, marketing, and R&D teams at its headquarters in Tel Aviv as well as its offices in New York City and Los Angeles. The company has more than doubled its annual recurring revenue (ARR) year over year. 

Founded in 2013, Perimeter 81 drastically simplifies network security for modern hybrid workforces with a platform that enforces a zero trust architecture, an approach that became a federal strategy earlier this year in the US, following President Biden’s executive order on improving the nation’s cybersecurity.

Its Security Service Edge (SSE) platform enables businesses to secure remote access, network traffic, and endpoint devices with ease using its cutting-edge and cloud-delivered Zero Trust Network Access, Firewall as a Service, and Secure Web Gateway (SWG) offerings. The company also provides a multi-tenant solution that complicates hardware management while yielding high recurring revenue growth for channel partners, managed service providers (MSPs), as well as managed security service providers (MSSPs).

Network security services like these are currently in high demand due to the 13 percent rise in ransomware this year alone with external attacks presently accounting for 73 percent of overall breaches, according to a 2022 Data Breach Investigations Report from Verizon.   

“The rise of remote work, cloud adoption, fiber, and 5G has created a fundamental shift in the network security landscape, leading companies to replace their on-premises network and security appliances with a secure corporate network over the internet,” said Amit Bareket co-founder and CEO of Perimeter 81. “B Capital and other investors embrace our vision to deliver holistic security that is purpose-built for a cloud-first, distributed workforce and share our belief that a secure corporate network over the internet transcends the traditional office environment and is the way of the future.”

“In working with our thousands of customers, we’ve found that ease of use and simplicity are paramount in successful security adoption,” said co-founder and CGO, Sagi Gidali. “We are committed to helping companies secure all of their networks and users in an agile, cost-effective, and scalable way. With this new investment, we will continue to develop simpler, highly innovative network security solutions and further disrupt this industry.”