Following a brief hiatus in 2022, ransomware proved to be a problematic year in 2023. Data from bitcoin tracing company Chainalysis shows that as of July 2023, victims had paid ransomware gangs over $400 million in total. As of 2023, a staggering 72% of firms had experienced ransomware attacks, according to Statista.
Therefore, it is not entirely surprising that anti-ransomware systems are still considered an intelligent investment, even in light of the decline in venture capital cybersecurity investments. Over the next five years, the market for ransomware prevention software might expand by 15%, according to Mordor Intelligence.
One vendor, Halcyon, undoubtedly benefits from this, having received $44 million in a Series A round in April last year. The business has closed a $40 million smaller Series B tranche, bringing its total funding to $84 million.
Though Halcyon didn’t need to seek money again right after, co-founder and CEO Jon Miller recognized the benefit of connecting with new VCs, especially Bain Capital Ventures, who led the Series B.
In an email conversation with TechCrunch, Miller stated, “This latest round will help acquire and retain crucial engineering talent to expand our product lines, enhance and build out our service offerings, and bolster our sales and marketing efforts to help gain traction in a crowded industry.” “To put it briefly, the money will accelerate growth in every area.”
Miller and Ryan Smith co-founded Halcyon a few years ago after working for the companies Optiv (Accuvant) and Blackberry (Cylance), which they eventually acquired.
Miller asserts that Halcyon can thwart ransomware assaults and, in some situations, even unlock infected devices, in part by utilizing trained AI models.
Miller stated, “The Halcyon platform is designed to keep businesses running even in the case of a widespread ransomware incident.” “Detection and prevention logic changes are usually carried out manually on a monthly or even quarterly basis. This approach is too slow and sporadic to keep up with attackers in a dynamic and constantly changing threat environment. In a few minutes, Halcyon provides an autonomous solution that continually corrects itself against a false negative result.
Miller talks a big game, for sure. However, Halcyon has clients to prove it. According to Miller, in addition to “state-level” school districts, the business now claims over 100 “enterprise-level” companies as clients.
However, what about the rivalry? After all, many suppliers, both established companies and startups, provide anti-ransomware products. Miller’s response? Not so, mainly because he thinks Halcyon’s emphasis on prevention and repair makes it unique.
Miller said that Halcyon was the only business wholly dedicated to combating ransomware and had layers for resistance and prevention. “Halcyon was built from the ground up to defeat ransomware, and the company’s singular focus on this problem makes them significantly more effective at combating it, unlike most industry incumbents that are simply repurposing anti-malware solutions.”
If Halcyon’s luck holds, the business will hire twice as many people by the end of 2024—from 75 to 75.
