Horizon3.ai Eyes $100M Funding Round to Combat AI-Powered Cyberattacks

Horizon3.ai, a cybersecurity startup specializing in autonomous penetration testing tools, is reportedly in the process of raising $100 million in a new funding round. According to an SEC filing, the company has already secured at least $73 million.

Sources familiar with the deal indicate that NEA (formerly New Enterprise Associates) is leading the round. The valuation of Horizon3.ai is believed to be upward of $750 million, although it remains unconfirmed whether this is a pre- or post-money valuation. One source suggests that the full $100 million will be secured, noting that Horizon3.ai is currently generating approximately $30 million in annual recurring revenue. Neither Horizon3.ai nor NEA have commented on the matter.

This investment marks NEA’s second significant cybersecurity startup investment in recent weeks, following Veza’s $108 million funding round, which valued the company at $800 million, as reported by CNBC in April.

Horizon3.ai previously raised $40 million in a Series C round in August 2023. The round was led by Craft Ventures, with participation from SignalFire, bringing the company’s total fundraising to $78.5 million. The funds were intended to expand R&D, channel presence, and engineering teams, according to CEO Snehal Antani.

Founded in 2019, Horizon3.ai’s team consists of former U.S. Special Operations cyber operators, entrepreneurs, and cybersecurity experts. Prior to founding Horizon3.ai, Antani served as CTO at Splunk and held leadership positions within the U.S. Military’s Joint Special Operations Command.

With the rise of AI across the tech landscape, AI-powered automated cyberattacks are also increasing. Horizon3.ai aims to defend against these threats with its autonomous threat detection tools. The San Francisco-based company recently received FedRAMP High authorization, allowing it to sell its services to federal agencies. Furthermore, in February, the company reported 101% year-on-year revenue growth and exceeded 150% of its Q4 pipeline targets.