Venture Capital

Sysdig Secures $350 Million Series G

SAN FRANCISCO — Cloud security firm Sysdig, Inc. has raised a $350 million Series G funding round at a valuation of $2.5 billion – bringing total funding to $744 million and more than doubling the company’s valuation in eight months. The financing was led by Permira’s growth fund. Guggenheim Investments joined this round, along with existing investors Accel, Bain Capital Ventures, DFJ Growth, Glynn Capital, Goldman Sachs, Insight Partners, Next47, Premji Invest & Associates, and Third Point Ventures.

Sysdig helps organizations to secure the cloud by providing real-time threat detection to eliminate security blind spots and one-click remediation to close the loop. With the Sysdig platform, teams detect and respond to runtime threats, and continuously manage configurations, permissions, vulnerabilities and compliance for containers, Kubernetes, and cloud services. Sysdig partners with major cloud providers, including Amazon Web Services, Google Cloud Platform, Microsoft Azure, IBM Cloud, Red Hat, and SUSE Rancher.

This funding will be used to accelerate Sysdig’s global expansion in Europe, the Middle East, Asia-Pacific, and South America, double its headcount in 2022, expand its partner program and invest in a unified multi-cloud security experience across runtime, configurations, permissions, and vulnerabilities.

The company’s platform is built on an open source foundation, including Falco and open source Sysdig, standards for container and cloud threat detection and incident response. Open source drives transparency and more effective solutions through a community of contributors who crowdsource security policies, report issues, contribute features, and fix bugs. Since contributing Falco to the Cloud Native Computing Foundation, Falco has been downloaded over 37 million times, with a 335% increase since becoming an incubating project in the CNCF in January 2020.

Suresh Vasudevan, CEO of Sysdig said: “We’ve seen massive investor interest in Sysdig as the cloud security market is experiencing hyper growth. Cloud adoption has accelerated into the mainstream, and as a result, demand for Sysdig and Falco have skyrocketed. Cloud security teams quickly realize the importance of runtime threat detection for containers and cloud, and Sysdig is the clear choice.”

Alex Melamud, Principal at Permira said: “The generational shift to cloud and containers requires security that is able to detect and respond to threats in real time. The question is no longer if companies will adopt cloud security solutions, but which solution to choose – and Sysdig has emerged as the clear unified container and cloud security leader. As a rapidly growing industry leader at scale, Sysdig perfectly aligns with our investment approach, and we look forward to leveraging our global platform, and software and security expertise to help them achieve their growth objectives.”