Truefort Secures $30M Series B Funding for Zero Trust Security

TrueFort Secures $30 Million in Series B Funding for Zero Trust Application Security

In the face of an increasingly complex security environment, organizations often find comprehensive protection a significant challenge. TrueFort, a security startup specializing in zero trust solutions for enterprise applications, has announced the successful completion of a $30 million Series B funding round.

Investment Details and Board Addition

Shasta Ventures spearheaded the current investment, with contributions from Canaan and Ericsson Ventures, alongside existing investors including Evolution Equity Partners, Lytical Ventures, and Emerald Development Managers. As part of the agreement, Nitin Chopra, Managing Director at Shasta Ventures, will join TrueFort’s board of directors. This latest funding elevates the total capital raised by the company to nearly $48 million.

How TrueFort's Technology Works

According to CEO and co-founder Sameer Malhotra, TrueFort’s approach centers on analyzing individual applications to establish a baseline of typical operational behavior. Any deviation from this established norm is then flagged as a potential security concern. This is accomplished through the aggregation of data from partners such as CrowdStrike, as well as from various points within the application and underlying infrastructure.

“We assist clients in constructing a comprehensive understanding of application activity and defining normal parameters,” Malhotra explained. “Subsequently, we aid them in establishing a baseline and monitoring operations in real-time, implementing responsive controls to maintain application integrity throughout their lifecycle.”

The Growing Adoption of Zero Trust

The zero trust security model operates on the principle of never trusting any user or device by default, requiring verification before granting access to systems. Malhotra notes a growing acceptance of this concept among customers. The company experienced substantial year-over-year revenue growth of 650% in 2020, and continues to see a 120% increase in revenue so far this year.

“Demand is increasing, particularly as zero trust becomes a more widely understood term within the security sector,” he stated. “The key lies in gaining visibility, achieving comprehension, and then narrowing down acceptable interactions and processes.” He emphasizes that a thorough understanding of applications and their functionality is paramount.

Expansion and Diversity Initiatives

Currently employing 60 individuals, TrueFort aims to expand its workforce to between 85 and 90 employees by year-end. Malhotra highlights the company’s commitment to building a diverse team at all levels.

“We prioritize diversity throughout our entire management structure, from the board down to individual roles. We actively seek candidates from diverse backgrounds, including women, LGBTQ+ individuals, and people of color. Dedicated programs are in place to collaborate with universities to recruit talent from a wider pool. We also partner with specialized recruiters and focus on broadening our search to ensure a truly diverse organization.”

Company History and Future Plans

Founded in 2015 by Malhotra and Nazario Parsacala, both veterans with over two decades of experience in the financial services industry – Goldman Sachs and JP Morgan respectively – the company spent two years developing its program. A first beta version was launched in 2017, followed by the general availability of the product the subsequent year.

Currently, customers can deploy the solution either on-premises or within their preferred cloud environment. However, a SaaS solution is under development and is expected to be released in the coming months.