420 Israel-Based Cybersecurity Startups Raised Over $800 Million in 2017, Report Says
Investments in Israeli cybersecurity startups were up 28% in 2017, according to a new report
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Since 2011 the number of cybersecurity companies operating in Israel nearly tripled—from 148 to 420. 70 new cybersecurity startups were founded in Israel in 2017, compared to 84 in 2016. Nearly a third of all new companies founded focus on connected devices, IoT and control systems, the most dominant domains among local cybersecurity firms with a total of 72 active firms.
Consolidation in the cybersecurity market has often been cited as the future of the industry in the past two years. Changes in the cyber threat landscape combine with changes in user behavior, pushing global companies to seek fewer companies who offer a larger, more complete range of products.“There are too many companies with similar solutions to the same problems, each only offering a slight improvement,” said Israeli-born technology entrepreneur and venture capitalist Yuval Shachar earlier this month in an interview with the “30 Minutes or Less” podcast by Microsoft Accelerator TLV. There is a limit to how many solutions companies will be willing to invest in, he added.