Guardio Raises $80M in Funding From ION Crossover Partners
▼ Summary
– AI tools have made it easier for malicious actors to create scam and phishing sites, leading to new security concerns.
– Guardio is developing a tool to detect malicious code in websites and applications built with AI coding tools.
– The company has secured a partnership with Lovable to scan and remove potentially harmful websites from its platform.
– Guardio raised $80 million in funding, tripling its valuation since its previous round in 2021.
– The startup is expanding its consumer security features, including visibility into public data sharing and multi-factor authentication status.
The digital landscape faces a growing challenge as AI-powered coding tools introduce new security vulnerabilities, enabling malicious actors to rapidly construct fraudulent websites and phishing infrastructure. Guardio, a cybersecurity firm, is addressing this emerging threat by developing specialized technology to detect harmful code generated by these automated systems. Their approach builds upon existing expertise in browser extensions and applications designed to identify malicious online content.
A significant partnership with Lovable demonstrates real-world application, where Guardio now scans all websites created on that platform to eliminate potential security risks. This collaboration followed reports identifying substantial security gaps in several Lovable-built sites. Michael Vainshtein, Guardio’s Chief Technology Officer, observed that “security often becomes an afterthought in the race for innovation and market capture,” noting that few AI tool providers currently collaborate with cybersecurity companies to ensure their generated content remains secure.
To accelerate its expansion, Guardio has secured $80 million in new funding from institutional investors led by ION Crossover Partners. Previous supporters including Union Tech Ventures, Vintage Investment Partners, and Emerge also participated in this financing round. Founded in 2018 by Vainshtein, CEO Amos Peled, and Chief Architect Daniel Sirota, the company hasn’t revealed its precise valuation but confirmed it has tripled since Tiger Global led a $47 million investment in 2021. Despite this growth, Guardio doesn’t yet consider itself a unicorn-status company.
Originally launching as a browser extension monitoring malicious sites and data breaches, Guardio has substantially expanded its offerings. The platform now incorporates phishing protection alongside mobile applications providing identity management, spam filtering, and comprehensive scam protection. The company reports serving 500,000 paying subscribers and achieving $100 million in annual recurring revenue this year.
New visibility features represent another strategic development, enabling users to identify publicly shared documents containing sensitive information while receiving notifications for accounts lacking multi-factor authentication. These capabilities draw inspiration from enterprise-level Data Loss Prevention and SaaS Security Posture Management solutions. Vainshtein explained that modern consumers manage numerous services with fragmented data across multiple security settings, making “every consumer an enterprise in itself.” While not expecting users to become security experts, Guardio aims to provide the same account visibility typically available to corporate entities.
Future integration plans include connecting Guardio’s tool with Outlook and Facebook to reveal additional security risks associated with these accounts. Peled indicated that certain visibility features will become available through their free subscription tier next year.
Gilad Shany, Founder and Partner at ION Crossover Partners, noted his firm had tracked Guardio’s progress for several years. Despite the company not actively seeking funding, ION initiated discussions last year. Shany highlighted that “Guardio operates at the intersection of cybersecurity and consumer markets,” praising the team’s ability to lead product innovation while understanding how to scale direct-to-consumer business operations. The investment firm has previously supported successful companies in both sectors, but considers Guardio its first investment combining these two markets.
(Source: TechCrunch)
