SAN JOSE – Lacework, which operates a cloud security platform, has raised a $525 million growth round with a valuation of $1 billion. Led by Sutter Hill and Altimeter Capital, and joined by D1 Capital Partners, Coatue, Dragoneer Investment Group, Liberty Global Ventures, Snowflake Ventures and Tiger Global Management, the round reflects Lacework’s accelerated adoption among digital businesses building on Amazon Web Services (AWS), Microsoft Azure, Google Cloud Platform (GCP) and Kubernetes.
Lacework is used by cloud-based businesses such as Brightcove, Lendingtree, Veeva, and Pure Storage. The investment round will be used to accelerate the strategies that helped drive Lacework’s 300%+ revenue growth in 2020, expand its go-to-market and partner ecosystem operations, and grow its engineering and R&D teams across the US and Europe.
Dan Hubbard, Lacework CEO, said: “Building on cloud is the biggest shift the IT industry has ever witnessed. Constant cloud changes require a new approach to security that is critical for our customers for adapting and scaling as fast as cloud innovation. This round will allow us to extend our product differentiation leadership which is critical in a transformative market driven by both fast moving builders and sophisticated attackers.”
Mike Speiser, Managing Director, Sutter Hill Ventures, said: “We invest in companies that leverage and drive fundamental technological shifts in massive markets. Lacework is a better approach to security built on Snowflake’s powerful data platform to deliver radically better security to our enterprise customers. And, like Snowflake, at a similar point in its evolution, Lacework is growing revenue at over 300% per year making Lacework one of Sutter Hill Ventures’ most important and promising portfolio companies.”
Lacework was founded in 2015.