In 2014—a year in which cyberthieves stole customer information from at least four Fortune 500 companies—venture capitalists invested a record amount in privately held companies in the cybersecurity industry.
Venture-backed companies in the U.S. that provide cybersecurity technology or services raised $1.77 billion from investors last year, topping the previous high of $1.62 billion set in 2000 during the dot-com boom, according to industry tracker Dow Jones VentureSource. Globally, venture-backed cybersecurity companies raised $1.9 billion last year, also a record.
Image: David DeWalt, CEO of FireEye, whose 2013 IPO was the biggest among U.S.-based, venture-backed cybersecurity companies in recent years. PHOTO: ANDREW HARRER/BLOOMBERG NEWS
