Vega Secures $120M to Revolutionize Enterprise Cyber Threat Detection
▼ Summary
– Legacy security tools like Splunk require centralizing all data before threat detection, a slow and costly process that struggles with modern, distributed cloud data volumes.
– Vega Security proposes a new model, running security analysis where data already lives, in cloud services and existing storage systems, to enable faster, scalable threat detection.
– The AI cybersecurity startup raised a $120 million Series B, led by Accel, nearly doubling its valuation to $700 million to fund product development and global expansion.
– Vega’s CEO argues the traditional SIEM model is expensive and failing in complex cloud environments, often increasing exposure to threats instead of reducing it.
– Despite being only two years old, Vega has secured major enterprise clients by offering a “plug and play” solution that delivers immediate value without requiring lengthy data migrations or operational changes.
Today’s enterprises face a monumental challenge: their security tools can’t keep pace with the data they generate. Traditional systems demand that all information be funneled into a single, centralized repository before analysis can even begin. This method is not only slow and prohibitively expensive, but it is fundamentally breaking down in modern cloud ecosystems where data is vast, distributed, and constantly growing. A new company, Vega Security, is tackling this problem head-on with a fresh $120 million in Series B funding to advance its radically different vision for threat detection.
The investment round was spearheaded by Accel, with contributions from Cyberstarts, Redpoint, and CRV. This capital infusion nearly doubles Vega’s valuation to $700 million, bringing its total funding to $185 million. The startup plans to channel these resources into enhancing its AI-powered security operations platform, expanding its sales and marketing teams, and accelerating its global footprint.
Vega’s core innovation lies in its distributed approach. Instead of forcing data to move, the company’s technology runs security analytics right where the data already resides, within cloud services, data lakes, and existing storage systems. Co-founder and CEO Shay Sandler argues that the legacy model of Security Information and Event Management (SIEM) is collapsing under modern pressures. He describes it as “crazy expensive” and a growing liability that can increase an organization’s exposure to threats in complex cloud environments.
“We have defined a new operating model that lets organizations unlock the full potential of their enterprise data for incident readiness, without the usual complexity, cost, or drama,” Sandler explained. The goal is to deliver advanced, AI-driven detection and response capabilities at scale, wherever the data lives.
Sandler’s background adds weight to this ambitious claim. Like many cybersecurity entrepreneurs from Israel, he served in a military cybersecurity unit before becoming a founding employee at Granulate, a company later acquired by Intel for $650 million. After a stint at Intel, he set out to make a significant impact in the cybersecurity industry. This pedigree was a key factor for Accel partner Andrei Brasoveanu, who also sees a critical flaw in the current market dominated by players like Splunk.
Brasoveanu points out that established SIEM providers have struggled to scale effectively, particularly with the explosive data growth fueled by artificial intelligence. “Splunk and every contender since has always centralized the data, but by doing that you essentially hold the customer hostage,” he stated, referencing the recent acquisition of Splunk by Cisco. The centralized model creates massive logistical and financial burdens.
However, displacing entrenched solutions is notoriously difficult, even when a better alternative exists. Enterprises are often reluctant to endure the disruption of a major platform switch. Sandler says Vega’s guiding principle, or “North Star,” was to eliminate this friction. The aim was to build a solution that is not only more cost-effective and superior at finding threats but is also simple enough for the world’s largest and most complex organizations to adopt within minutes.
This strategy appears to be gaining traction. Despite being only two years old and having a team of around 100, Vega has already secured multi-million dollar contracts with major banks, healthcare providers, and Fortune 500 companies, including data-intensive firms like Instacart.
Sandler believes this early success with blue-chip clients speaks to the acute pain in the market. “The only reason they would partner with a two-year-old startup is because the problem is so severe,” he noted. Other solutions often require enterprises to completely overhaul their operations or endure years of costly data migration projects. In contrast, Vega promises a plug-and-play model that delivers immediate value for detection and response, offering a compelling alternative in a strained security landscape.
(Source: TechCrunch)
