Analytics
9/10/2013
06:05 AM
Tim Wilson
Tim Wilson
Quick Hits
50%
50%

CrowdStrike Gets $30M In New Round Of Funding

CrowdStrike investors believe industry is ready for a human-focused approach to security problem

Security vendor CrowdStrike received an infusion of $30 million in funding Monday, and investors say they are putting their dollars behind companies that are rethinking the security problem.

In a press release, CrowdStrike announced that it had raised an additional $30 million in Series B financing, led by high-tech venture capital firm Accel Partners and Warburg Pincus.

CrowdStrike, which has gained wide attention through its focus on identifying adversaries, rather than just the malware they distribute, was not hunting for funding, but the investors made an offer that was too good to pass up, says George Kurtz, president, CEO, and co-founder of the company.

"Accel and Warburg both see an opportunity to redefine the way we think about security," Kurtz says.

Venture firms and other investors say they are looking for companies with a new approach to security because the threat continues to escalate despite rising enterprise investment in existing technology. Kurtz says he receives an average of "five emails a week" from venture funding firms interested in putting their money behind CrowdStrike's approach.

"There are many new startups out there, but only a few actually have a chance to be both independent and category-leading," says Sameer Gandhi, a partner at Accel Partners and now a member of CrowdStrike's board of directors. Accel has invested in a number of security startups, including a $50 million round of financing for Tenable Network Security, maker of the popular Nessus security scanner, in 2012.

Venture firms are attracted to CrowdStrike's story, which focuses on finding and stopping humans, rather than just malware. As part of its offerings, the company delivers data on the source of the attack and is collecting detailed information on malware authors and distributors across the globe.

"There is a perception that malware attacks are growing at a fantastic rate, but if you focus on the adversary, it's a very different picture," Kurtz says. "What we're really seeing is a set of humans trying to beat a set of automated systems, and they're winning. Humans will always be a little ahead of computers -- just look at how IBM's best supercomputer couldn't beat Russia's human champion at chess."

That's the kind of new thinking that attracts investors, Gandhi says. "We have to recognize that the nature of the threat isn't going to get any better," he says. "We look for companies that have a very different approach. It's part of the evolution of technology -- the threat goes beyond the current security infrastructure, and that eventually leads to a new generation of technology. We're always looking for that next generation."

Have a comment on this story? Please click "Add a Comment" below. If you'd like to contact Dark Reading's editors directly, send us a message. Tim Wilson is Editor in Chief and co-founder of Dark Reading.com, UBM Tech's online community for information security professionals. He is responsible for managing the site, assigning and editing content, and writing breaking news stories. Wilson has been recognized as one ... View Full Bio

Comment  | 
Print  | 
More Insights
Register for Dark Reading Newsletters
White Papers
Cartoon
Current Issue
Dark Reading December Tech Digest
Experts weigh in on the pros and cons of end-user security training.
Flash Poll
Threat Intel Today
Threat Intel Today
The 397 respondents to our new survey buy into using intel to stay ahead of attackers: 85% say threat intelligence plays some role in their IT security strategies, and many of them subscribe to two or more third-party feeds; 10% leverage five or more.
Video
Slideshows
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2014-5395
Published: 2014-11-21
Multiple cross-site request forgery (CSRF) vulnerabilities in Huawei HiLink E3276 and E3236 TCPU before V200R002B470D13SP00C00 and WebUI before V100R007B100D03SP01C03, E5180s-22 before 21.270.21.00.00, and E586Bs-2 before 21.322.10.00.889 allow remote attackers to hijack the authentication of users ...

CVE-2014-7137
Published: 2014-11-21
Multiple SQL injection vulnerabilities in Dolibarr ERP/CRM before 3.6.1 allow remote authenticated users to execute arbitrary SQL commands via the (1) contactid parameter in an addcontact action, (2) ligne parameter in a swapstatut action, or (3) project_ref parameter to projet/tasks/contact.php; (4...

CVE-2014-7871
Published: 2014-11-21
SQL injection vulnerability in Open-Xchange (OX) AppSuite before 7.4.2-rev36 and 7.6.x before 7.6.0-rev23 allows remote authenticated users to execute arbitrary SQL commands via a crafted jslob API call.

CVE-2014-8090
Published: 2014-11-21
The REXML parser in Ruby 1.9.x before 1.9.3 patchlevel 551, 2.0.x before 2.0.0 patchlevel 598, and 2.1.x before 2.1.5 allows remote attackers to cause a denial of service (CPU and memory consumption) a crafted XML document containing an empty string in an entity that is used in a large number of nes...

CVE-2014-8469
Published: 2014-11-21
Cross-site scripting (XSS) vulnerability in Guests/Boots in AdminCP in Moxi9 PHPFox before 4 Beta allows remote attackers to inject arbitrary web script or HTML via the User-Agent header.

Best of the Web
Dark Reading Radio
Archived Dark Reading Radio
Now that the holiday season is about to begin both online and in stores, will this be yet another season of nonstop gifting to cybercriminals?