Round co-led by Sapphire and Costanoa Ventures to accelerate product leadership and market growth
DENVER, May 12, 2022 /PRNewswire/ — StackHawk, the company that integrates application security testing into software delivery, has secured $20.7 million with capital co-managed by Sapphire and Costanoa Ventures, with participation from Foundry Group and other high-value investors. With this funding, StackHawk will invest in product development to maintain its leadership position in the application and API security testing market for developers. This latest funding brings StackHawk’s total funding to $35.3 million.
Every modern software development organization has moved from quarterly releases to daily or hourly releases, incorporating continuous integration and continuous delivery (CI/CD). In the modern world of FinTech, HealthTech, cloud analytics and AI platforms, customers entrust their most critical data to software providers. Periodic manual security testing by an external team is just too risky. For this reason, modern software development organizations are extending CI/CD to encompass continuous application and API security testing. This way, security can “shift to the left”, which means vulnerabilities can be detected while the developer is actively working on the code.
Forrester reports that web application and API exploits are the most common form of external attack affect organizations today. To better protect against these threats, 43% of the world security decision makers are looking to implement dynamic application security testing during software development, which represents a huge opportunity for StackHawk.
“Security has never been more important than it is today. Organizations of all sizes in all industries know they have gaps in their approach to security, and they recognize the need for what we do before we even talk to them,” said Joni Klippert, co-founder and CEO. “As a leader in advanced dynamic security testing, market call for our solution has driven the funding round. We will use the new capital to continue investing in our product, grow our leadership team and significantly increase funding marketing, sales and partnerships. Our recently announced Snyk integration, which is already driving value with joint customers, is a great example of this.”
“There is a serious gap for modern tools that help teams deliver secure apps efficiently. In the same way that CI/CD revolutionized the way developers deliver great apps, StackHawk ensures that security testing is an extension of the process, building security into the code for developer-quality discussion,” said David Hartwig, a partner at Sapphire Ventures and a member of the StackHawk board of directors. “Sapphire is thrilled to have seen the value in providing developers with application and API security testing early on, leading the StackHawk A-series. We are proud to reaffirm our commitment to StackHawk with this round because we believe Joni, the team and the product are poised to thrive in this high growth market.”
“StackHawk’s track record in delivery is what made us want to co-lead this cycle. The leadership team’s mix of security and DevOps expertise has created a tool that every developer will need. “, said Greg Sands, founder and managing partner of Costanoa Ventures. “From our experience investing in high-growth software companies, we know that security is no longer an option. Finding modern security tools is a priority for today’s engineering leaders. today, especially for those working in highly regulated industries with stringent regulations and compliance standards for data protection.”
StackHawk integrates application security testing with software delivery. The StackHawk platform makes it easy for engineers to find and fix application security bugs at any stage of software development. With a strong founding team that has deep experience in security and DevOps, and some of the best venture capitalists in the industry, StackHawk puts application security testing in the hands of engineers. Learn more and sign up for a free trial at www.stackhawk.com.
Sapphire is a technology-focused global venture capital firm with over $10.2 billion in AUM and team members across Austin, London, New York, Palo Alto and San Francisco. For more than two decades, Sapphire has partnered with visionary management teams and venture capital funds to help scale important companies. Since its inception, Sapphire has invested in over 170 companies worldwide, resulting in over 30 IPOs and 45 acquisitions. The company’s investment strategies – Sapphire Ventures, Sapphire Partners and Sapphire Sport – are focused on scaling companies and venture capital funds, elevating them to class leaders. Sapphire’s portfolio growth team of experienced operators offers a strategic blend of value-added services, tools and resources designed to support portfolio company leaders as they grow. To learn more about Saphir, visit: https://sapphireventures.com.
About Costanoa Ventures
Founded in 2012, Costanoa Ventures backs tenacious, thoughtful founders who are changing the way business is done. Costanoa invests early, from the company’s inception, with a focus on applications and infrastructure in data, development, fintech and Web3. Costanoa is a long-term partner for entrepreneurs who want practical help in the early stages of their business. For more information, please visit www.costanoavc.com.
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