12 Must-Watch Security Startups for 2013
Despite security concerns, businesses are growing more confident in adopting cloud-based services, and in addition are investing more in corporate mobile devices while also allowing employees to use their own in bring-your-own-device mode at work. So it's not surprising that recent security startups are zeroing in on things such as encrypting data held in the cloud or how to safeguard corporate data on BYOD devices. Venture-capital firms are eagerly funding these startups -- noticeable among them is Andreessen Horowitz, plowing $9.5 million into mobile-security startup Bluebox in June and $30 million into CipherCloud just last month.
Tue, January 08, 2013
Fun fact: Shevlin is also co-founder and COO of another startup, Security Starfish, the company founded last year with eBay's former Chief Information Security Officer Dave Cullinane for discreetly sharing real-time cyberthreat information among IT security professionals.
Headquarters: San FranciscoA Founded: 2012A
Funding: The company in June grabbed $9.5 million in Series A funding from Andreessen Horowitz, as well as Andreas Bechtolsheim, co-founder of Sun Microsystems, with other investors that include SV Angel; Ram Shriram, board member at Google; and Brian Cohen, former CEO of SPI Dynamics.A
Leadership: Caleb Sima, CEO, along with co-founder & COO Adam Ely, are industry veterans. Sima was CTO for HP's Application Security center, which he joined after HP acquired SPI Dynamics, a company he co-founded. Ely was chief information security officer at the Heroku business unit at Saleforce.com.
Why we're watching it: Still secretive about exactly what it's doing, Bluebox is known to be building products designed to protect corporate data on mobile devices, especially employee-owned ones that are brought to work, and the company is expected to introduce its offerings shortly.
Investors can't refrain from hyping what's to come. "Enterprise security on mobile is an unsolved problem, and frankly, is in need of innovation," said Bechtolsheim last month. "Bluebox is developing a solution that will change the way enterprises think of how to successfully and seamlessly protect their data." That remains to be seen -- stay tuned for the next episode of the Bluebox product rollout.
Fun fact: The name "Bluebox" harks back to the term used by phone hackers back in the 1960s and 1970s to describe the kind of unauthorized homemade devices they came up with to route calls over long-distance networks -- and it's just vintage and nostalgic.
Headquarters: San Jose, Calif.A Founded: 2010A Funding: $30 million from Andreessen Horowitz, along with other funding from Index Ventures, T-MobileA Leadership: Pravin Kothari, chair, CEO, and founder
Why we're watching it: The firm is tackling the issue of securing data in cloud environments through its encryption and tokenization gateway technology which today can be used with Gmail, Salesforce and Amazon, among other services. The company says its customers include two large banks. CipherCloud's gateway-based approach could find wide appeal if, as many expect, enterprises this year will show more confidence in putting sensitive data subject to regulatory controls into cloud-based services where data that's accessed frequently for business purposes would need to be encrypted.
Fun fact: Kothari is an industry veteran who also started ArcSight, later sold to HP for more than $1 billion.