The expansion seeks to focus on Indian and Southeast Asian markets in order to meet the increasing demand for cybersecurity solutions.
Cybersecurity startup CloudSEK have raised USD 1.97 million to expand their footprint across Indian and Southeast Asian markets. The pre-series A funding that was led by Exfinity Venture partners and StartupXseed seeks to develop CloudSEK’s products X-Vigil and Cloudmon to track network and application related security issues.
In the wake of rising data breaches, CloudSEK believe that protecting IT environments has become increasingly difficult. They say that as a result of this, most enterprises in the Southeast Asian market are spending 10% of their IT budgets on cybersecurity services.
By raising USD 1.97 million in pre-series A, CloudSEK say that they will be focusing on the Indian and Southeast Asian market where the number of attacks has been reported as little more than 500,000. They say that with this funding, CloudSEK will be developing their SaaS-based risk management platform X-Vigil along with Cloudmon, to track network and application related issues.
Partners and investors believe that losses due to cyber crimes are estimated to be more than USD 600 billion in these markets, which is why concentrating on them at this moment made sense. Ravi Thakur, Partner at StartupXseed Ventures, praises CloudSEK by explaining that the startup has struck a right chord with the market by providing scalability and solving complex problems.
According to CloudSEK the cybersecurity market has real players in the form of Fortinet, FireEye, Symantec, Lucideus, AppsPicket, and others. They further added that this market is thriving in countries like India which is why enterprises like Lucideus have raised USD 5 million, Sequretek have raised USD 3.7 million and Network Intelligence raised USD 4.87 million.
CloudSEK say that India, at present, has an estimate of 200 such cybersecurity startups with a vast majority of them working in the banking and financial services sector. It will be interesting to see how enterprises in the Indian and Southeast Asian market will react to this development, following the launch of Fortinet’s IoT security solution FortiNAC.