Enterprise-grade data protection company Spin Technology announced that it raised $16 million through its Series A funding round on Tuesday, August 9th. This infusion of fresh capital will go towards the expansion of the company’s software as a service (SaaS) product line, as well as the growth of its engineering, marketing, and sales divisions.
Blueprint Equity led the funding mentioned above round and saw participation from Blu Venture Investors and Santa Barbara Venture Partners.
As of press time, Spin is said to have raised around $18 million in venture capital, and these funds have mostly gone into its initiatives in the field of cybersecurity.
Spin’s successful founding round is seen as proof that investor interest in the cybersecurity industry remains strong. Indeed, venture capitalist-driven funding for the sector hit a record high of $11.5 billion last year and went up further at the end of the first half of this year, settling at $12.5 billion as of June 30, 2022.
Substantial Investments for SaaS Expansion
Industry watchers have essentially referred to Spin as an antivirus solution deployed as a SaaS app – and they aren’t wrong. Spin uses a proprietary algorithm paired with an extensive database of potentially disruptive browser extensions and malicious apps to scan through SaaS apps deployed through a network.
According to Dmitri Dontov, Spin’s chief executive officer, his company’s platform detects ransomware across several platforms like Google Workspace and Microsoft Office 365. It also performs automated risk assessments and scheduled backups, enabling users to create policies to ensure only those with the proper authorization can access the back end.
This is a timely thing as the demand for cybersecurity solutions has risen considerably over the past several years. For one, ENISA, the cybersecurity agency of the European Union, issued a warning to both the public and private sectors that conventional cybersecurity measures no longer work against increasingly sophisticated cyberattacks.
Ransomware attacks are one key area for concern, with around 2.9 million such attacks hitting users throughout most of 2021. Likewise, attacks on supply chain systems have grown fourfold over the past two years, and companies like SolarWinds and Kaseye were hit particularly hard.
According to Blueprint Equity’s Sheldon Lewis, Spin’s proprietary solutions have been particularly effective as these are easy to use and also provide ample security and backup options for SaaS apps used by enterprise-level clients. It is also more cost-efficient, as it effectively protects against ransomware without the massive cost of external data storage.