Modernizing Authentication — What It Takes to Transform Secure Access
The company announced on July 11 that it had raised $36 million in a Series E round of funding headed by Advance Venture Partners. Other participants include Cisco, Fortinet, Intel and VMware, along with Epic Ventures, Sway Ventures, Vanedge Capital and Trident Capital.
Over the years, HyTrust has made a name for itself by producing products that help businesses secure their virtualized environments. Today, the company is focused on protecting critical workloads, whether they run on physical services, public clouds, private clouds, or of course, virtual machines.
HyTrust plans to use the funds to sales and marketing efforts and continue development on its security products. Some of the money is earmarked for its acquisition of DataGravity, also announced on July 11. Financial terms were not disclosed, but HyTrust said that it expects that DataGravity employees will join the company.
DataGravity is a cybersecurity company that focuses on virtualization technologies. Earlier this year, the company launched DataGravity for Virtualization, a collection of products that enables small and midsized businesses to apply behavior-based data security to their virtual environments.
HyTrust's co-founder and president, Eric Chiu, said the buy "will accelerate the expansion of HyTrust’s platform capabilities and capitalize on the high-growth cloud security market," in prepared remarks. "DataGravity's data discovery and classification capabilities support HyTrust's mission to deliver a security policy framework that provides customers with full visibility, insight and enforcement of policy across workloads. We couldn't be more excited."
It's not the first time HyTrust has snapped up a fellow cybersecurity vendor.
In 2013, the company acquired HighCloud Security, a provider of encryption and key management software tailored to cloud environments, for an undisclosed amount. HighCloud's technology became the basis of HyTrust DataControl, a cloud and virtualization encryption product.
July is shaping up to be a banner month for cybersecurity funding and deal making.
Earlier this week, Darktrace, a cybersecurity company that uses artificial intelligence (AI) to detect stealthy threats, announced it had raised $75 million. In June, Jask announced it had attracted $12 million in investments for its AI-enabled security analytics.
Last week, Symantec announced it was acquiring web threat isolation startup Fireglass, and just yesterday, the company announced it was acquiring Skycure to help its enterprise customers protect their BYOD environments.