Silicon Valley VC Firm Hit by Ransomware Attack

Ransomware Attack Targets Advanced Technology Ventures

Advanced Technology Ventures (ATV), a Silicon Valley-based venture capital firm managing over $1.8 billion in assets, experienced a significant ransomware attack in July.

Data Breach Details

The attack resulted in the theft of personal information belonging to the company’s private investors, also known as limited partners (LPs). ATV discovered the incident on July 9th when its servers, containing sensitive financial data, were encrypted by ransomware.

Further investigation by July 26th revealed that data had been exfiltrated from the servers prior to encryption. This is a common tactic employed by ransomware groups, known as “double extortion,” where they threaten to publicly release stolen data unless a ransom is paid for decryption.

Information Compromised

ATV believes the compromised data included the names, email addresses, phone numbers, and Social Security numbers of individual investors within its funds. Approximately 300 individuals were affected, with one resident of Maine among those impacted, as reported on the Maine attorney general’s data breach notification portal.

Investor Privacy Concerns

Venture capital firms typically maintain a degree of confidentiality regarding their LPs. While some investor names may be publicly disclosed, many prefer to remain private.

This preference stems from a desire for secrecy and maintaining a competitive edge. Firms may wish to avoid revealing their backing to competitors, and investors may not want their investment allocations to become public knowledge. The attack potentially exposed critical information regarding the inner workings of venture capital funding.

Law Enforcement Involvement

ATV has notified the FBI regarding the security breach. However, an FBI spokesperson declined to provide any comment when contacted. Mike Carusi, ATV’s managing director, did not respond to inquiries from TechCrunch on Monday.

Company Background

Founded in 1979, ATV is headquartered in Menlo Park, California, with an additional office in Boston. The firm primarily invests in technology, communications, software, services, and healthcare technology sectors.

ATV has a history of early-stage investments in numerous successful startups from the past decade. These include Fandango, Host Analytics (now Planfun), and Apptegic (now Evergage).

More recent investments by the firm include Tripwire, acquired by Belden for $710 million; Cedexis, acquired by Cisco in 2018; and Actifo, which was sold to Google in 2020.

Reporting contributed by Natasha Mascarenhas. Secure communication channels are available via Signal and WhatsApp at +1 646-755-8849. Confidential files and documents can also be submitted to TechCrunch using SecureDrop.