LoginRadius, a customer identity and access management (cIAM) vendor, scored $17 million in its Series A round led by ForgePoint Capital and Microsoft’s venture fund, M12. Real Ventures, BDC Capital, and Yaletown Venture Partners also participated. This brings its total to 18.5 million.
And Siemplify, a security orchestration, automation and response (SOAR) provider, raised $14 million in Series B funding bringing its total amount to $28 million. Jump Capital led the round and was joined by existing investors G20 Ventures and 83North.
Based in Vancouver, British Columbia, LoginRadius launched in 2012. The company says it has experienced triple-digit annual growth for the past two years. It now has global offices in Vancouver, London, San Francisco, Sydney, and Jaipur, and it plans to more than double its workforce in the next 12 months.
The company claims more than 3,000 businesses use its identity platform. Customers include Weather Network, Vogue, Canadian Broadcasting Corp. (CBC), Viacom, Avatar, and Kind Snacks. It handles 7.5 billion API calls per month and has been deployed on new and legacy applications across channels including web, mobile, IoT, point of sale, and kiosks.
LoginRadius’ competitors include identity management vendors Auth0, ForgeRock, and Ping.
“Our key value proposition: pure cloud, out-of-the-box, and security-focused customer identity platform,” said Rakesh Soni, cofounder and CEO. He added that his company’s product wasn’t initially built for enterprise IAM and then adapted to cIAM. “Unlike our competitors, we have always been focused on customer identity management, which is a very different solution than enterprise IAM.”
Customer Identity Management
Soni said this is important because enterprise IAM deals in thousands of users but cIAM deals in millions of users. “For example, having a customer like Viacom, with over 50 million users, requires us to address things like performance (150,000 logins per second), availability (100 percent uptime), and scalability (support 100 million users),” he explained.
In connection with the funding, ForgePoint Capital and M12 will join LoginRadius’ board of directors. “Forward-thinking companies are looking for secure, cloud-based identity solutions that can serve a global customer base and handle complex scenarios,” said Nagraj Kashyap, corporate vice president at Microsoft and global head of M12, in a statement. “We’re excited to invest in LoginRadius because they are delivering on their promise to simplify customer identity management.”
The startup will use the cash to build a partner ecosystem of resellers, system integrators, and strategic partners. “We will leverage Microsoft’s partner ecosystem to build key partnerships,” Soni said, adding that target partners include identity, security, and IT consulting and servicing firms as well as software-as-a-service (SaaS) vendors that require identity management.
Founded in 2015 by Israeli Defense Forces security operations experts, Siemplify is headquartered in New York with offices in Tel Aviv. The company plans to use the funding to invest in sales and marketing and further develop its security platform.
“This funding further validates our approach and will allow us to help even more customers around the globe to streamline and simplify their security operations,” said Amos Stern, co-founder and CEO of Siemplify in a statement.
SOAR allows security operations center (SOC) teams to manage disparate tools such as security information and event management (SIEM), endpoint protection, and threat intelligence through a single platform.
Gartner forecasts by year-end 2020, 15 percent of organizations with a security team larger than five people will leverage SOAR tools for orchestration and automation reasons, up from less than 1 percent today.
Siemplify says it’s seen a 532 percent year-over-year increase in customer bookings and 350 percent growth in its customer base in the first half of 2018. Recent wins include a global MSSP, a multi-billion-dollar consumer packaged goods company, and a Forbes global 500 telecommunications company.