In a time when cloud security incidents are on the rise, startups are developing innovative tools to manage and secure cloud-stored data at scale. One such company is Alcion, a provider of backup and security services to enterprises with primarily cloud-based workloads. The company closed a successful $21 million Series A funding round, led by Veeam, the IT company owned by Insight Partners.
Key Takeaway
Alcion, a provider of backup and security services for cloud-based workloads, has raised $21 million in Series A funding. Led by Veeam, the investment supports Alcion’s growth strategy and demonstrates confidence in its unique approach to managing and securing cloud-stored data. The company plans to use the funding to expand its go-to-market efforts and strengthen its team.
A Solution for Cloud Data Management Challenges
Alcion’s platform, referred to as “backup-as-a-service,” offers a comprehensive range of disaster recovery, anti-ransomware, anti-malware, and compliance tools for businesses utilizing Microsoft 365. The platform is designed to address the data management challenges faced by companies storing data in the cloud, including protection against ransomware and malware threats, and ensuring compliance with regulations.
Investment as a Vote of Confidence
The investment from Veeam, a potential competitor in the data backup and restoration space, has been viewed as a substantial vote of confidence in Alcion’s growth strategy. Alcion CEO Niraj Tolia described the investment as an endorsement of the company’s product-led and community-driven approach, as well as its advanced AI-driven architecture, built to tackle modern workloads and threat environments.
Unique Features and Differentiation
Alcion focuses on managing and securing data stored in third-party software-as-a-service (SaaS) apps across Microsoft 365, including popular apps like Microsoft Teams. The platform leverages AI models to detect ransomware at both the file and user levels, allowing Alcion to identify targeted attacks more effectively than services relying on static rules.
Additionally, Alcion not only backs up data and provides alerts for potential malware, but also offers proactive measures to help administrators ensure data remains protected. The platform provides recommendations based on past data activity and a “compliance score” that evaluates various security configurations and the completeness of data backups.
Expanding Market and Future Plans
The enterprise data management market is expected to grow significantly, presenting promising opportunities for companies like Alcion. The recent funding round, which brings the total raised by Alcion to $29 million, will be used to expand the company’s go-to-market efforts, as well as strengthen its product and engineering teams. Alcion plans to increase its headcount from 21 to 30 people or more by the end of the year.
