Dear Cyberbit employees, customers, partners and friends.
Today, I am very happy to announce our $30M investment from Claridge Israel.
This is another significant milestone in our short, yet incredibly intense journey. We’ve validated our strategy, established leadership in multiple markets, and are now proceeding to our next phase where we will leverage this investment to accelerate our growth and scale our operation to meet the unprecedented demand for our Cyber Range simulation platform, and continue to carve out our standing as a key player in the cybersecurity space.
We founded Cyberbit in 2015 as a spinoff of Elbit Systems, leveraging unique cybersecurity technologies and operational concepts that were created for the stringent needs of the Israeli Government. We decided to start Cyberbit after we realized that these technologies can solve global cybersecurity pain points that were neglected by the industry: the cyber skill shortage, the lack of effective training, the convergence of IT and OT networks, and the overwhelming workloads of SOC teams. All these were key drivers for some of the major cyberattacks of the last decade.
Today, our cyber range platform leads the cybersecurity training and simulation market, helping organizations all over the world improve security team performance and their network’s resilience. I am proud to see our Range also support the community, by helping governments and universities close the employment gap and certify new cybersecurity experts. We’ve partnered with dozens of organizations to open cyber ranges all over the world and I am happy to see the demand growing continuously.
We are unique in being the only cybersecurity company with comprehensive, market-proven cybersecurity technologies in both the IT security and the OT (ICS) security domains. This comes at a time when IT/OT attacks are more frequent than ever, creating a growing need to manage security across the consolidated IT/OT/IoT attack surface. This trend positions us as the only vendor who can truly provide a tightly integrated solution for detection, orchestration, automation, and response, across IT OT and IoT systems. We see an increasing demand for this capability over the last year and I expect this to be a key growth driver for the coming years.
We made a successful bet on the MSSP market, predicting that the new reality will drive more companies to outsource their security functions. We took an “MSSP First” approach, in which all products are optimized for MSSPs from their initial design phase and defined the MSSP as a key target market. Today, over 30 percent of our customers are MSSPs. The MSSP market has grown to over $9B and is projected to grow much further, and we will be there to help our MSSP customers succeed.
I am tremendously excited to have Claridge Israel join Cyberbit as an investor. Claridge is a unique growth fund, with strong roots in North America, as a partnership between Claridge Inc., the Stephen R. Bronfman Family Office, and CDPQ, a major North American fund with over $230B in assets. This is Claridge’s second investment in cybersecurity within several months, after an investment in Algosec in January 2018.
I am happy to welcome Oded Tal, Managing Partner of Claridge Israel, to our board. Oded Tal and Rami Hadar, Claridge Israel Managing Director, both have extensive experience in growing and scaling technology companies and I am sure that their experience, insights and industry connections will be invaluable to us as we move forward. I also want to take this opportunity and thank Elbit Systems and especially Bezalel Machlis, their CEO, which have been, and still are, full partners to our vision and have invested, as well as believed, that we can make it happen and become a major global cybersecurity force.
Going forward we will leverage this substantial funding from Claridge, first and foremost to meet the growing demand for our Cyber Range, maintain and expand our leadership in this market, and enrich the product, particularly with new and specialized training programs for specific verticals and roles in the organization.
We will significantly expand sales and marketing, primarily in North America, our key strategic market, as well as globally. And we will continue investing in our MSSP strategy to support our growing MSSP customer base.
I’d like to thank our customers for choosing Cyberbit. I don’t take this for granted and your success is on the top of our minds every day. Going forward we will provide you with even more tools for success. We will continue to scale and improve customer support globally and will continue enhancing our products to address your present and future needs and keep them simple to deploy and to operate.
I am privileged to be working with one of the most talented teams I’ve ever worked with. We would not have reached this milestone, definitely not this fast, if it were not for your efforts, teamwork, creativeness and “can do” attitude. I am confident that with this team, our loyal customers, and the support of our valued investors, we will succeed in the next part of our journey where we will continue to build a global leading cybersecurity organization for the long term.