A Polish behavioral biometrics startup has brought in $6.7 million in Series A funding. Nethone plans to use the funding to fuel its go-to-market strategy, and to continue to improve a solution that is already able to stop more than 95.3 percent of account takeover attacks.
Atmos Ventures and ARIA are leading the Series A funding round, though Innovation Nest, Plug and Play Ventures, and Firlej Kastory are also contributing alongside several other angel investors. Nethone noted that cybersecurity became a higher priority during the pandemic, since businesses still needed to protect their assets in a remote work environment. That demand allowed the company to double its client base in the past 12 months, and that growth eventually served as the impetus for the current round of funding.
Nethone was founded in 2016. The company offers a passive behavioral authentication solution that analyzes factors like keystrokes, accelerometer readings, and touchscreen activity to generate a unique profile of each user. It can then step in whenever someone’s behavior deviates from that patter. In that regard, the company believes that its technology is particularly well suited to financial applications, and can allow institutions to keep pace with fraudsters who are using increasingly sophisticated criminal tools.
“Our [Know Your User] profiling technology gives real-time insights about what is really happening with the device,” said Nethone CPO Aleksander Kijek. “There are currently over 5,000 attributes that we are extracting passively in the background about every single user thanks to years of targeted research and engineering.”
Nethone’s solution can run on web browsers and mobile devices. The company also claimed that it only analyzes “low-level” attributes that do not infringe on user privacy.
The news speaks to the growing interest in behavioral biometrics technology amongst investors. BioCatch brought in a whopping $145 million in Series C funding in April of 2020, while NS8 claimed $123 million a few months later. GIA has predicted that the behavioral biometrics market will be worth $3.9 billion in 2027.
July 16, 2021 – by Eric Weiss