ZingBox Bolsters IoT Security Offering With $22M In Funding
Looking to scale thanks to growing demand, IoT security startup ZingBox announced the completion of a giant Series B funding round to the tune of $22 million.
What may be more impressive is who’s backing the three-year-old company: that $22 million was led by Dell Technologies Capital and Triventures. The funding will be used to increase headcount and accelerate product capabilities over the next year, the company said.
The ZingBox technology, named Guardian, uses machine learning to discover, assess risk, baseline normal behavior, detect anomalous activities and provide real-time remediation across an organization’s IoT footprint and is focused on each individual device’s “personality.” The software analyzes communication to and from each device, watching for deviations in behavior and provides alerts for anything suspicious.
The funding comes after a high watermark for the company, which was named a “Cool Vendor” in Gartner’s May 2017 Cool Vendors in IoT Security report. Dell and Triventures join Stanford Start-X, GSR Ventures, Envision Ventures, and Oriza Ventures as investors in ZingBox’s solution and brand.
ZingBox isn’t alone in the IoT security market, of course. As previously reported by Enterprise Mobility Exchange, this space is expected to see an incredible boom in growth over the next half decade, with a 34.4% CAGR between now and 2022, and a market value climbing from $6.6 billion to $29 billion during that time period.
The reason behind that growth comes down to increasing ransomware attacks on IoT systems, securing the “ubiquitous environment,” and an increasing need for data-centric security. Much of that growth is expected to take place in the North America region.
Forecasts predict there will be anywhere between 20 and 50 billion connected devices globally by 2020. Gartner predicts that by 2020, more than a quarter of attacks in the enterprise will involve Internet of Things, while IoT security budgets won’t account for more than percent of the total IT spend.
“Dell Technologies Capital invests in innovative founders and companies that can utilize our technical resources and unique go-to-market channels to bring their breakthrough technology to customers around the globe,” said Raman Khanna, managing director of Dell Technologies Capital, in a statement. “As more and more hospitals, retailers and business deploy IoT solutions, security is top of mind and ZingBox’s machine-learning approach to IoT security helps them address this fundamental challenge.”