Cyberstarts - The Founders Powered VC
Cyberstarts - The Founders Powered VC is a company.
Financial History
Leadership Team
Key people at Cyberstarts - The Founders Powered VC.
Cyberstarts - The Founders Powered VC is a company.
Key people at Cyberstarts - The Founders Powered VC.
Cyberstarts is a Tel Aviv- and Mikhmoret, Israel-based venture capital firm founded in 2018, exclusively focused on early-stage cybersecurity startups.[1][2][3][4] Its mission is to partner with exceptional founders from day one—"Sunrise" methodology—to build transformational cybersecurity companies, backed by cyber industry luminaries like Shlomo Kramer (Check Point, Cato Networks), Nir Zuk (Palo Alto Networks), and Udi Mokady (CyberArk).[1][3][4] The investment philosophy is founder-centric and conviction-driven: investing pre-product, pre-team, leveraging a CISO network for idea validation, and providing hands-on support through product-market fit, scaling, and follow-ons via opportunity funds.[1][2][3]
Cyberstarts targets seed-stage investments across cloud security, data protection, enterprise infrastructure, digital assets, and AI-native security.[1][2] With over $1.4 billion raised across seven funds by 2025—including a $380M Opportunity Fund II and $300M Employee Liquidity Fund—its portfolio (e.g., Wiz at $32B pending Google acquisition, Fireblocks at $8B, Cyera at $6B, Island at $5B) represents over 50% of global private cybersecurity market cap, delivering 170% annual returns on its first fund.[2][3][4] This has cemented its influence, nurturing nearly half the sector's private valuation while enabling global scaling.[2][3]
Cyberstarts was founded in 2018 by Gili Raanan, a serial cybersecurity entrepreneur, in Mikhmoret, Israel, amid rising demand for innovative security solutions.[1][2][3][4] Raanan drew from his operator experience to create an entrepreneur-backed firm, rallying LPs from cybersecurity icons like Shlomo Kramer, Marius Nacht (Check Point), Nir Zuk, Udi Mokady (CyberArk), Nir Polak (Exabeam), and Michael Shaulov (Fireblocks).[1][3] The team's evolution includes General Partners Lior Simon, Emily Heath, Hila Zigman, Adam Aarons, and Dor Knafo, blending investment expertise with deep sector operations.[4][6]
The firm's focus sharpened on "day one" partnerships, starting with Fireblocks in 2018 and expanding to 24-28 investments like Wiz (2019), Island (2020), and Cyera (2021).[1][2][3][4] Pivotal moments include closing a $200M Opportunity Fund in 2022 (total AUM $374M then) and explosive 2025 fundraising exceeding $700M, fueling follow-ons amid portfolio unicorns.[2] This trajectory humanizes Cyberstarts as a founder-first platform born from industry grit.
(Note: The "Sunrise" CISO program has faced ethical scrutiny over compensation, though it persists as a core tool.[3])
Cyberstarts rides the cybersecurity megatrend, fueled by AI-driven threats, cloud proliferation, and geopolitical risks, where private market cap has ballooned.[2][3][4] Timing is ideal post-2018, as enterprise security spend surges amid breaches; its Israel HQ taps the "Startup Nation's" cyber talent density (e.g., Check Point alumni).[1][2] Market forces like regulatory pressures (e.g., data protection) and digital asset booms favor its focus on cloud, AI-native, and infra security.[2]
It influences the ecosystem by concentrating half the private cyber value in its portfolio, setting benchmarks for founder-led innovation and rapid scaling—Wiz's trajectory exemplifies how Cyberstarts accelerates unicorns, reshaping VC norms toward pre-seed conviction bets.[2][3][4]
Cyberstarts is poised to dominate as cybersecurity evolves with AI agents, quantum threats, and zero-trust architectures, leveraging $1.4B+ AUM for aggressive follow-ons.[2] Expect expanded funds (e.g., post-2025's 7 funds) targeting AI security and global expansion, with its network attracting top founders amid M&A waves like Wiz-Google.[2][4] Influence may grow via talent platforms and liquidity tools, evolving from seed specialist to full-lifecycle cyber powerhouse—unlocking "vulnerability into greatness" for the next guardrails of tech.[4] This day-one ethos positions it as the go-to for enduring cyber giants.
Key people at Cyberstarts - The Founders Powered VC.