Bugcrowd, a startup that connects organizations with a network of over 500,000 hackers to identify bugs and vulnerabilities, has secured a significant investment of $102 million. The funding round was led by General Catalyst, with participation from previous investors Rally Ventures and Costanoa Ventures.
Key Takeaway
Bugcrowd secures a substantial
02 million investment to expand its bug bounty platform, addressing the increasing demand for identifying and addressing security vulnerabilities in organizations’ technology infrastructure.
Expanding Operations and Enhancing Platform Functionality
The company plans to utilize the funding to expand its operations within the U.S. and beyond, potentially considering mergers and acquisitions. Bugcrowd also aims to enhance its platform by introducing additional features. In addition to bug bounty programs, Bugcrowd offers services such as penetration testing, attack surface management, and hacker training to enhance their skill sets.
The Two-Sided Security Marketplace
Bugcrowd operates as a two-sided security marketplace, where skilled coders, including freelance hackers, apply to join the platform. The company then matches these coders with clients’ bounty programs based on their specific skills. Bugcrowd’s clients range from technology companies to enterprises and organizations reliant on technology for their operations.
Addressing Growing Security Needs
The increasing reliance on technology by organizations has led to a higher demand for identifying and addressing security vulnerabilities. Bugcrowd’s approach aligns with the growing trend of utilizing human hackers alongside AI-powered security tools to identify and remediate gaps in a comprehensive manner.
Significant Growth and Future Prospects
Bugcrowd has experienced rapid growth, with CEO Dave Gerry stating that the company is approaching $100 million in annual revenues and has been growing at over 40% annually. The company, originally founded in Australia, is now headquartered in San Francisco and has over 1,000 customers, with an addition of 200 clients in the past year.
