Cybersecurity companies raised $9.5 billion in 2024 across 304 funding rounds, marking a notable 9% increase from the previous year, despite a decrease in the total number of funding events. A new report from Pinpoint Search Group reveals that while the number of rounds fell by 16%, the amount raised per round grew, highlighting a continued investor interest in the sector.
Wiz was the standout, securing $1 billion in its funding round, the largest single investment of the year. Early-stage companies accounted for the majority of rounds, representing 59% of the total, but late-stage funding, which made up 16% of rounds, contributed more than half of the raised funds.
The first quarter alone saw $2.3 billion raised in 77 rounds, with notable investments in Cyera ($300 million) and Axonius ($200 million). In the second quarter, the total rose to $3.3 billion from 98 rounds, driven by Wiz’s major $1 billion round. Later in the year, the third quarter raised $2.15 billion, with companies like Kiteworks and Abnormal Security attracting significant investments.
The final quarter of 2024 saw a slight decline to $1.7 billion raised in 56 rounds, with key rounds from Cyera and Armis.
The report underscores the growing demand for cybersecurity solutions as businesses face increasingly complex and costly cyber threats, signaling that investor confidence remains high in the industry’s potential for growth.
Excerpts from Cybersecurity Funding Article By Ionut Arghire on Securityweek
