Startup success reflects sector’s rapid growth

Bugcrowd Kasada Trend

Australia is home to some of the world’s fastest growing cyber security providers, many of whom have raised significant amounts of investment while expanding their operations globally.

Bugcrowd is a crowdsourced security as a service provider, offering penetration testing, bug bounty programs and vulnerability disclosure to customers across a wide range of industries. 

The company was founded in Australia in 2012, but moved their headquarters to San Francisco for better access to venture capital, shorter time-to-market and improved network effects. 

Bugcrowd has raised over US$80 million in funding and investors include Paladin Capital Group, Blackbird Ventures, Rally Ventures, Costanoa Ventures, SalesForce Ventures, Triangle Peak Partners and First State Super. The company employs over 300 staff across their Australian, US and UK offices. 

Founded in 2015, Secure Code Warrior enables developers to build secure code rather than having to review or retrofit security during or after development. The company also provides gamified developer training and can auto correct code security errors as code is being written. 

SCW has raised over US$48 million in funding and investors include Paladin Capital, AirTree, Goldman Sachs, ForgePoint Capital and CISCO Investments. The company employs over 150 staff across their Australian, US, UK, Belgium and Iceland offices. 

Kasada safeguards consumers and businesses from malicious online bots. Their solution protects businesses from automated attacks, botnets and targeted fraud – across web, mobile and API channels. Besides boosting online security, the company increases traffic visibility and improves customer experience.

Kasada is one of Australia’s fastest growing cyber security startups, reporting 500% revenue growth in 2019. Founded in 2015, Kasada has raised over US$20 million and investors include CSIRO’s Main Sequence Ventures, Westpac’s VC fund Reinventure Group, In-Q-Tel, TenEleven Ventures, Our Innovation Fund and former Australian Prime Minister Malcolm Turnbull. 

Kasada is expanding its global footprint servicing customers in the ASX 100, Forbes Global 2000 and mid-sized enterprises in the US and UK. 

Cloud One – Conformity works with organisations around the world to implement and maintain best-in-class infrastructure security, compliance and optimisation on the public cloud. Their solution helps businesses who rely on AWS, Azure and Google Cloud to ensure their information and data remains secure. 

Cloud One – Conformity provides an example of a successful exit. Founded in 2016, it was acquired in 2019 for US$70 million by global security vendor Trend Micro. Cloud One – Conformity now has offices in Australia, US, UK and Canada.

This case study is featured in Australia’s Cyber Security Sector Competitiveness Plan 2020, which can be viewed here and downloaded here.