Duo Security, a Google-backed, cloud-based access security provider announced Tuesday, it has raised $30 million in its latest round of venture funding and launch of new services. The amount was raised through Series C funding and will be expanding its operations to London.
The Ann Arbor tech startup raised the fund with the big support from Silicon Valley-based Redpoint Ventures apart from additional backing by previous investors Benchmark, Google Ventures, Radar Partners and True Ventures. The company offers two-factor authentication, which means a person has to prove his identity in two different ways to login to mail or banking or other password protected apps, website and technology. This would enable the prevent frauds and security breaches that have tormented plaguing individuals, banking institutions and other businesses. The amount of money raised shows that investors are quite confident in the demand for such a product.
“Duo Security is providing a much sought out solution at a time when organizations are bleeding billions of dollars a year in losses from breaches and identity theft, despite huge spending on their complex legacy security systems, said Allen Beasley, a partner at Redpoint Ventures. On the whole, the startup has raised about $48 million in funding which will then be used to accelerate engineering and international expansion, said the company in a statement.
“This round of funding validates the work we are doing with Duo Platform and will help us continue to reinvent easy and effective solutions in an industry overloaded with expensive, broken systems,” said Dug Song, the CEO and co-founder. Duo Security’s client list is already long which includes Zillow, Etsy, Nasa, Facebook, Paramount Pictures, Toyota, Twitter, Yelp, Trip Advisor and others.
Apart from raising the fund, the company also announced on Tuesday the launch of its Duo Platform, that extends the security technology to any device, including smart phones. This is offered at $6 per month and will enterprises a more holistic view of their network. In comparison, Duo offers company-wide deployment of its two-factor authentication services for $3 per user per month.
With the platform, IT team members would be able to find their company’s own policies for risk control, gain insight into security threats that are access-related and be able to look into security profile of end-user devices. Duo Security comes out as a hot cake for tech startups as the CEO Song himself has worked with organizations that focuses on security. Several cyberattacks on businesses in 2014 were around stolen login credentials, providing access to the database of Target, Home Depot and others. So it is no wonder, businesses will look for security solutions and shields.
On the company’s website, Song said “Duo Security will continue company growth and expansion, while innovating in the security industry.” He also said new sales and marketing department in San Mateo, California and stepping into London would serve as a means to serve the overseas market better.