Unusual securityThe AI-powered cybersecurity startup is reportedly valued at $5 billion in a new funding round, a significant increase from its previous valuation.
what happenedThe startup, which uses AI to protect users from cyberthreats via email and apps, is on the verge of securing a $5 billion valuation in its latest funding round, Business Insider reported, citing two sources familiar with the deal.
The funding round is Insight PartnersParticipation: Greylock Partners, Menlo Venturesand Syndicate Group.
The company’s valuation is a significant increase from the $4 billion it was valued at in a previous funding round in 2022, also led by Greylock Partners. The startup has raised a total of $374 million in venture funding, including $210 million in its most recent Series C round in 2022.
Abnormal Security was founded in 2018 by CEO. Evan Reiser Previously led the product management and machine learning teams. twitter(Currently X) Advertising department and Sanjay JeyakumarThe company is seeing increased demand for its products as cyber threats become more sophisticated and increasingly use AI to carry out attacks that mimic human behaviour.
The company has expanded its product line, including the launch of AI Security Mailbox and the expansion of its account takeover prevention product line beyond email, to enhance security across a range of cloud infrastructure applications.
The company has reported annual recurring revenue of more than $100 million in 2023, the same year that Reiser hinted at plans to go public.
Abnormal Security did not immediately respond to Benzinga’s request for comment.
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Why is this important?Significant investments are being made in the AI space by companies such as: Microsoft Support startups that strengthen the adoption of AI. For example, Touchcast Co., Ltd. It recently raised $100 million to improve the efficiency of AI queries and reduce the cost and energy requirements of models like: OpenAI GPT-4.
Similarly, French AI startups Mistral AI is set to close the deal at a $6 billion valuation, highlighting the competitive landscape and investor enthusiasm in the AI space. Founded by ex-Google and Meta researchers, Mistral AI aims to challenge Silicon Valley’s dominance.
moreover, Lambda LabsOf partners NVIDIA Corporationis in talks to raise $800 million to expand its AI infrastructure, a move that highlights the surging demand for computing power that is essential for advances in AI. Elon Muskof xAI It has raised $6 billion, making it one of the most valuable AI startups in the world.
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This story was written and edited with Benzinga Neuro. Kaustubh Bagalkote
