Colorado’s ThreatX, a web application security startup, today announced it has raised $10 million in funding to expand its operations and open a new U.S. office.
The capital comes at a crucial time for the Lousiville-based company, as a new study from Gartner predicts that more than 30% of public-facing web applications and APIs will be protected by services like ThreatX by 2023. That is nearly double the current percentage of companies being protected.
“We are bullish about our next phase of growth, made possible through the support of new and existing investors. This funding is a testament to ThreatX’s consistent track record of innovation and dedication to our customers,” said Gene Fay, CEO of ThreatX, in a statement.
The round was led by .406 Ventures and joined by existing investors Access Venture Partners and Grotech Ventures.
The company’s platform blocks threats from web applications to ensure that infrastructure is protected, and businesses continue to run. ThreatX also provides insights to help companies reduce vulnerabilities and prevent future attacks. Customers include P.F. Chang’s, Denver Health and Lenovo, among others.
Fay, a longtime cybersecurity executive was brought on as the company’s new CEO in April 2020, replacing co-founder Bret Settle. Prior to joining ThreatX, Fay served as chief operating officer at White Ops and as GM and VP of sales and technical services at Resilient Systems.
With this funding on board, the company said it hopes to increase its revenue by 150% this year and grow its team in Colorado, and in a new Boston office. To boost its business, ThreatX will focus most on growing its engineering, security operations, sales, marketing and finance teams.
Currently, the company has 35 employees, and a spokesperson said ThreatX will grow to 50 staff members this year and more than 100 in 2022.
“Web applications and APIs are under constant assault by highly sophisticated threat actors and techniques,” Greg Dracon, partner at .406 Ventures, said in a statement. “Any downtime or data loss experienced as a result of an attack can be crippling to a company’s bottom line and reputation. ThreatX has redefined a market originally built to address simple and predictable threats.”
As part of the round, Dracon will join the ThreatX board of directors.
