Cloud security start-up Skyhigh Networks raises $40 million in funding

Skyhigh Networks, a cloud security start-up, has raised $40 million in funding from and other venture capitalists as companies worry that employee use of cloud services could put company data at risk, reports the Financial Times.

© Wonderlane (CC BY 2.0) Cropped

© Wonderlane (CC BY 2.0) Cropped

Venture capital companies Greylock Partners and Sequoia Capital led the fundraising found, which will help the two-year old company to expand overseas.

Sales have grown fivefold in the past year as Skyhigh’s 200 customers, including banks and insurance firms, look to secure employees who use cloud technology such as Google Drive and Dropbox in their home and at work.

Rajiv Gupta, Skyhigh founder and chief executive, told Business Reporter: “It’s more than just a back up. There is a big difference between the number of cloud applications that are used versus what the IT department are aware of.”

He estimated that the number of unknown applications is between 10 and 30 times what the company knows is being used.

“Our home and work lives are becoming very intertwined, and we don’t even think about it. We need to understand what employees are trying to do with cloud, and try and get ahead of it.”

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