PALO ALTO — Armis, a provider of enterprise security for a broad range of Internet-connected devices, has raised $65 million in Series C funding, bringing the company’s total funding to $112 million. The round was led by Sequoia Capital, with participation from Insight Venture Partners and Intermountain Ventures joining. Bain Capital Ventures, Red Dot Capital Partners, and Tenaya Capital also participated as return investors. Carl Eschenbach, partner at Sequoia, joined the board of directors.
Armis operates a security platform to address the new threat landscape of unmanaged and IoT devices. Armis sensing technology can discover and analyze all managed, unmanaged, and IoT devices—from traditional devices like laptops and smartphones to new unmanaged smart devices like smart TVs, webcams, printers, HVAC systems, industrial robots, medical devices and more. Armis discovers devices on and off the network, continuously analyzes endpoint behavior to identify risks and attacks, and protects critical information and systems by identifying suspicious or malicious devices and quarantining them.
The connected enterprise represents an expanding attack surface, with recent reports on ransomware attacks impacting multinational corporations, often through insecure, unmanaged devices. According to Gartner, IoT endpoints will grow to 25 billion units by 2021, with the highest growth in the cross-industry category. These unmanaged and un-agentable devices have no inherent security, and cannot be protected by legacy security solutions.
“IoT security has come of age, with CIOs and CISOs across industries prioritizing it as they realize the significant risk these connected devices pose,” said Yevgeny Dibrov, CEO and co-founder of Armis. “Our platform is purpose-built to address these new insecure endpoints, what we call ‘un-agentable’ devices. But beyond the technology, it’s how we partner closely with our customers to secure this new attack landscape.”
The company will use the Series C funds to accelerate investments in sales, marketing and engineering, as it looks to expand the only effective cross-industry solution built to address the security exposures of Enterprise IoT devices.
Carl Eschenbach, partner at Sequoia, said: “Armis offers companies unprecedented visibility across managed and unmanaged devices during a time when the number of IoT devices is exploding. As every industry and market segment faces the issue of identifying and securing these devices, Armis is providing the best solution with their easy to install, agent-less platform. This, along with their incredible team and company culture, is why we’ve partnered with the company since the Series A in Israel and are thrilled to be part of this next phase of growth.”
“The IoT security marketplace is growing at an incredible rate,” said Jeff Horing, Managing Director at Insight Venture Partners. “Armis executed extremely well early on, and has built the platform and approach we believe in to address $30 billion dollar market.”