Israeli-Founded Open Source Security Firm Snyk Nabs $70M Investment

Israeli-founded cybersecurity company Snyk, which provides security solutions for vulnerabilities in open source libraries, announced the closure of a $70 million investment round on Tuesday led by US VC firm Accel and existing investors GV and Boldstart Ventures.

Founded in 2015 by Guy Podjarny, Assaf Hefetz, and Danny Grander, Snyk helps companies and developers find vulnerabilities in their open-source code and stay secure. Major clients include Google, Microsoft, Salesforce, and Adobe.

This most recent investment follows Snyk’s $22 million funding in September 2018 also led by Accel, and brings the total funds raised to date to $102 million.

Snyk said in a statement that the additional $70 million “puts the company in a strong position to accelerate its go-to-market strategy, continue to drive massive growth in product adoption and usage, and continue its expansion into new global markets.”

Snyk said its global user community has expanded to over 300,000 developers worldwide, with a customer base that grew by some 200 percent in 2019.

“Increasingly, enterprises around the world understand that the combination of DevOps adoption and growing security awareness are driving the security industry to urgently adapt in order to keep up,” said Podjarny, co-founder and president at Snyk. “Snyk was founded on the belief that developers will embrace security given the right solution. Four years later, we’ve seen that vision become reality, with hundreds of thousands of developers using our solutions to secure their containers and applications. We are excited to use this investment to further build out the products, resources, and community to expand this market leadership to even more development teams and enterprise organizations.”

“Today, every business, from manufacturing to retail and finance, is becoming a software business,” said Peter McKay, Snyk’s CEO. “There is an immediate and fast-growing need for software security solutions that scale at the same pace as software development. This investment helps us continue to bring Snyk’s product-led and developer-focused solutions to more companies across the globe, helping them stay secure as they embrace digital innovation – without slowing down.”

Accel’s Matt Weigand said the VC firm believes that “Snyk is bringing a truly unique, developer-first approach to security in the enterprise. The strength of Snyk’s customer base, rapidly growing free user community, leadership team and innovative product development prove the company is ready for this next exciting phase of growth and execution.”