Web traffic security solution and services provider Kasada today announced a $10 million round that will fuel U.S. growth and new product development, according to a spokesperson. Kasada claims to beat back cyberthreats with technologies that run continuously — and silently — in the background.
Protecting companies against cyberthreats — from login attacks to data scraping across web, mobile, and API channels — is a constant battle. Over 80% of surveyed organizations were aﬀected by a successful cyberattack in 2019, according to CyberEdge Group, and U.S. ransomware attacks cost an estimated $7.5 billion that year.
Kasada’s detection and mitigation product is designed to protect enterprise web applications. It shields against denial-of-service attacks that overload servers and lock out customers, content scraping that extracts elements from HTML and APIs, and account takeovers that use stolen IDs to access accounts and commit fraud. From a dashboard, admins can see the components of traffic and stop malicious bots before they reach a site or web app, and they can integrate Kasada with an existing content delivery network or domain name system to scale it up to thousands of requests per second.
Kasada is architected as a cluster of reverse proxies that filter traffic to a customer’s origin server. The product inspects incoming clients for signs of automation using a low-friction process that’s transparent to human users, with sensors looking for attributes that are strong indicators of automation. The client sensors generate an array of data collected from the client interrogation process, after which backend telemetry processing determines whether the client is human.
Clients must solve an asymmetric cryptographic challenge as a proof of work for successful form and AJAX data submissions, and its difficulty increases exponentially for suspected malicious requests. Meanwhile, Kasada’s research and real-time request analysis reveal patterns in bot behavior using algorithms to match requests with a rapidly expanding database of known bad bots.
Kasada occupies a global cybersecurity market that’s anticipated to be worth $120 billion by 2024 — Israeli startups alone raised $6.32 billion between 2013 and 2019. Tel Aviv- and Boston-based Cybereason raised $200 million in August 2019 for its enterprise endpoint protection platform, shortly after SentinelOne nabbed $120 million. CrowdStrike, an AI-powered cybersecurity platform specializing in endpoint protection and threat intelligence, also recently raised $200 million. In June 2018, AI-powered cybersecurity startup Cylance snagged $120 million to expand its platform globally. And Automox raised $30 million earlier this year to protect enterprise endpoints.
Kasada says its U.S. expansion remains on track and notes that the company’s revenue grew 200% in Q1 2020, in spite of pandemic-related challenges. Ten Eleven Ventures led this week’s series B, with participation from existing investors Main Sequence Ventures and Westpac’s venture capital arm, Reinventure. The round brings Kasada’s total raised to over $25 million, following a $7 million series A in November 2019. As part of the round, Ten Eleven’s Alex Doll will join Kasada’s board of directors.