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Skyhigh Nabs $40M More for Cloud Security

Sarah Thomas

Cloud security startup Skyhigh Networks has raised $40 million in series C funding, a year after its $20 million series B round, demonstrating just how important security is to the cloud.

The latest round of funding came from investors including Greylock Partners , Sequoia Capital , and cloud giant Salesforce.com Inc. The startup says it will use its cash, now topping $66.5 million, to expand existing offerings, ramp up marketing, hire more employees, and develop new products.

Skyhigh Networks was formed in 2012 with the goal of helping companies keep track of their employees' use of cloud services, analyze the risks, and secure their clouds. It has already racked up 200 customers, including service providers like DirecTV Group Inc. (NYSE: DTV), vendors like Cisco Systems Inc. (Nasdaq: CSCO), and data center operators like Equinix Inc. (Nasdaq: EQIX).

Why this matters
The use of cloud computing has exploded in recent years, but the biggest obstacle to its take-up has been concern about its security, especially as the number of apps moving up to the cloud proliferates. As operators look to secure their networks, as well as offer their own security services, partners such as Skyhigh Networks and others become critical.

Heavy Reading analyst Patrick Donegan reiterated the importance of security at last week's Big Telecom Event (BTE), noting that operators need to talk more about what they are doing to secure their networks and services. Securing their own use of the cloud, as well as the cloud services they offer, is a big part of what they can do behind the scenes to protect their customers and make them aware of their efforts.

"The bulk of media and research attention on security tends to focus on the device because security researchers can get access to devices," Donegan explained, adding that security -- and coverage of it -- should come from the network instead. "Operators are not communicating how much they already do for subscribers from a security perspective."

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— Sarah Reedy, Senior Editor, Light Reading

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User Rank: Light Beer
8/15/2014 | 11:48:03 AM
I am really in
I am really interested in the Cloud Security. <a href="http://essaywritinghere.com/">http://essaywritinghere.com/</a> I think it is vital for all users of such technology. Thanks for information.
User Rank: Light Beer
6/23/2014 | 12:45:51 PM
Must improve the security system
The SkyHigh network becoming more and more popular. When it was established in 2012 they had few customers bbut , in the year of 2014 thay have 40 million custmer. But it is really important to protect their security system I have essay service review regarding this issue. You may read this.
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