Israeli AI Data Security Startup, Cyera, Set for $400m Raise in Blackstone-Led Deal

Quadri Adejumo
By
Quadri Adejumo
Senior Journalist and Analyst
Quadri Adejumo is a senior journalist and analyst at Techparley, where he leads coverage on innovation, startups, artificial intelligence, digital transformation, and policy developments shaping Africa’s...
- Senior Journalist and Analyst
5 Min Read

Israeli-founded data security startup, Cyera, is raising $400 million in a new funding round led by New York-based alternative asset manager Blackstone, a deal that would value the company at approximately $9 billion, according to a source familiar with the matter.

The funding comes just six months after Cyera closed a $540 million round in June that doubled its valuation to $6 billion. Prior to that, the company raised $300 million in November 2024 at a $3 billion valuation, marking one of the fastest valuation escalations in the global cybersecurity sector.

Founded in 2021, Cyera has raised close to $1.7 billion from a roster of prominent global and local investors, including Accel, Coatue, Cyberstarts, Georgian, Lightspeed and Sequoia.

The pace and scale of its fundraising highlight the premium investors are placing on data security solutions as enterprises race to adopt artificial intelligence.

What You Should Know 

Cyera was founded by chief executive Yotam Segev and chief technology officer Tamar Bar-Ilan, who met during their service in the Israeli military. Both founders previously built and ran the cloud security division of Unit 8200, the Israel Defense Force’s elite intelligence and cyber unit.

Drawing on their military experience, Segev and Bar-Ilan set out to tackle what they saw as a growing problem for organisations migrating to the cloud: fragmented visibility over where sensitive data resides and how it is used.

Cyera’s AI-powered platform provides companies with a unified view of their data across cloud infrastructure, Software-as-a-Service applications, databases and internal systems. The company says its technology helps eliminate blind spots, reduce alert fatigue and safeguard critical information as businesses increasingly deploy AI tools across their operations.

The urgency of such solutions has intensified as cyberattacks grow more sophisticated. Threat actors are now using AI to bypass traditional defences, exploit misconfigurations and identify vulnerabilities in complex data environments, raising the stakes for enterprises and governments alike.

Investor Confidence in Israel’s Cyber Ecosystem

Cyera’s latest reported raise comes against the backdrop of renewed strength in Israel’s cybersecurity sector.

Despite ongoing geopolitical instability and a prolonged multifront conflict involving Hamas in Gaza and Iran-backed Hezbollah in Lebanon, Israel’s cyber industry attracted $4.4 billion in investment in 2025, up from $4 billion the previous year.

Since late 2023, a wave of Israeli-founded cybersecurity companies has been acquired by global technology giants and local players seeking to keep pace with escalating security demands.

Most notably, Google earlier this year acquired Israeli-founded cybersecurity firm Wiz for $32 billion, the largest acquisition ever involving an Israeli-founded company.

Poised for the next phase of growth

If completed, Cyera’s latest funding round would cement its position among the world’s most valuable private cybersecurity companies.

The involvement of Blackstone also signals growing interest from large alternative asset managers in later-stage cyber and data infrastructure plays, particularly those aligned with the AI boom.

As organisations grapple with securing ever-expanding volumes of sensitive data, Cyera’s rapid rise suggests that data security, rather than perimeter defence alone is becoming a central pillar of enterprise cybersecurity strategies worldwide.

Talking Points

It is striking how rapidly Cyera has scaled in a crowded cybersecurity market, with its reported $400 million raise and $9 billion valuation reflecting strong investor conviction in data security as a core pillar of the AI era.

At Techparley, we see Cyera’s momentum as part of a broader shift in cybersecurity priorities, where protecting data itself is becoming as important as securing networks and endpoints.

The speed at which Cyera’s valuation has grown also highlights how urgent the problem has become for enterprises, especially as AI tools increase the volume, accessibility, and risk profile of sensitive data.

However, rapid growth brings its own pressures. Sustaining trust at scale will depend on how well Cyera continues to simplify deployment, reduce security noise, and integrate seamlessly into existing enterprise systems.

If Cyera can maintain product clarity while scaling globally, it has the potential to become a defining platform for data security in the AI-driven enterprise landscape.

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Senior Journalist and Analyst
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Quadri Adejumo is a senior journalist and analyst at Techparley, where he leads coverage on innovation, startups, artificial intelligence, digital transformation, and policy developments shaping Africa’s tech ecosystem and beyond. With years of experience in investigative reporting, feature writing, critical insights, and editorial leadership, Quadri breaks down complex issues into clear, compelling narratives that resonate with diverse audiences, making him a trusted voice in the industry.
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