Elisity Acquisition, Valuation, Funding & Investors
Elisity was acquired by IonQ for $1.3B in October 2026.
Cumulative funding Elisity raised
$79M
across 3 funding rounds
Key investors in Elisity
Atlantic Bridge
AllegisCyber
Two Bear Capital
Insight Partners
Hyperlink Ventures
About Elisity
Elisity is a Seattle-headquartered cybersecurity firm offering identity-based microsegmentation for zero-trust access control. The company's AI-driven platform secures enterprise data and assets across cloud, on-premises, and hybrid environments, addressing challenges from remote workforces and perimeter blurring. Elisity's solutions enforce granular policies at the workload level, integrated with existing identity providers for simplified deployment in large organizations.
Founded
2018
HQ
San Jose, CAWebsite
Status
Acquired
Customer focus
B2B
Revenue model
Subscription
Valuation
$1.3B (acquired Oct 2026)
Elisity Acquisition
Elisity was acquired by IonQ for $1.3B on 12 October 2026.
Before the acquisition Elisity had raised $79M across 3 funding rounds.
IonQ, the Nasdaq-listed quantum computing company, agreed on 12 October 2026 to acquire Elisity, Inc., a San Jose-based Zero Trust security company, in an all-stock transaction valued at up to USD 1.3 billion. The price includes up to USD 150 million of earn-out opportunity subject to the performance of the Elisity business. The number of IonQ shares to be issued will be set at closing from the 20-day volume weighted average price of IonQ stock, bounded between USD 33.07 and USD 49.61 per share. IonQ said Elisity will give it expanded channels to bring its post-quantum cryptography, quantum key distribution and quantum computing offerings to enterprise and government networks, and described the microsegmentation market as worth more than USD 10 billion. IonQ chairman and chief executive Niccolo de Masi compared the deal to the earlier SkyWater Technology acquisition. Elisity was founded in 2018 and sells identity-based microsegmentation that contains lateral movement across users, devices, workloads and AI agents, with a focus on healthcare, manufacturing and industrial networks. It has more than 100 customer deployments, says it has doubled revenue and customers year over year with no churn among deployed customers, and had raised about USD 72 million, including a USD 37 million Series B led by Insight Partners in 2024.
| Acquirer | Date | Type | Price |
|---|---|---|---|
| 12 Oct 2026 | Strategic M&A | $1.3B |
Sources: investors.ionq.com, elisity.com, startupfortune.com
Elisity Funding History
Elisity has raised a total of $79M across 3 funding rounds.
Elisity's first fundraising round was a $8M seed round in August 2020. The most recent completed round was a $45M Series B in April 2024.
Elisity funding rounds
| Date | Stage | Investors | Raised | Deal Summary |
|---|---|---|---|---|
| Apr 2024 | Series B | Insight Partners (lead); Two Bear Capital; Hyperlink Ventures; AllegisCyber; Atlantic Bridge | $45M | Elisity, based in San Jose, California, is a pioneer in identity-based microsegmentation, providing a platform that enables enterprises to deliver least-privilege access from the cloud to any asset, enforcing policy and nano-segmentation at the edge using cognitive trust based on identity, location, permissions, and behavior. The company revolutionizes network security with dynamic, context-aware policies that adapt to modern cyber threats, particularly in IT, OT, IoT, and hybrid environments, and has partnered with healthcare organizations to address cyber threats and regulatory requirements for patient data and medical devices. On April 30, 2024, Elisity raised $37 million in a Series B funding round led by Insight Partners, with participation from existing investors AllegisCyber Capital and Two Bear Capital, who co-led the prior Series A, and seed investor Atlantic Bridge. This round brought the company's total funding to over $72 million, which will be used to extend the platform's AI capabilities to better leverage device identity data for anticipating cyber threats and enhancing control in diverse environments. Insight Partners' Managing Director Stephen Ward, a former CISO, joined the board, citing Elisity's scalable approach to microsegmentation after customer diligence. CEO James Winebrenner highlighted Elisity's identity-based approach and AI investments as key to redefining network security with real-time, adaptable policies, abstracting segmentation from network operations to reduce friction in zero trust implementations. The funding supports expansion of go-to-market strategies, sales, marketing, and R&D for AI-driven policy automation. |
| Jun 2021 | Series A | AllegisCyber (lead); Two Bear Capital (lead); Atlantic Bridge | $26M | Elisity, Inc., based in San Jose, California, develops Cognitive Trust, an AI-powered platform for identity and behavior-based enterprise cybersecurity that dynamically learns behavior, assesses risk, and adapts access policies for devices, people, data, and applications across IT, OT, IoT, and hybrid cloud environments. The platform enables zero trust security at the edge, addressing challenges from remote work, multi-cloud reliance, and IT/OT convergence by providing granular microsegmentation and protection close to assets. On June 15, 2021, Elisity closed a $26 million Series A funding round co-led by Two Bear Capital and AllegisCyber Capital, with participation from prior seed investor Atlantic Bridge. This brought total funding to $33.5 million following a $7.5 million seed round in August 2020. The funds were intended to scale operations, expand the engineering, sales, and marketing teams, and meet growing enterprise demand for the cloud-delivered platform. Elisity positions itself as a pioneer in behavioral intelligence for cybersecurity, competing with solutions like those from Vectra AI and differentiating through its focus on cognitive trust and implicit trust models beyond traditional SASE or point products. Investors highlighted its revolutionary approach to zero trust in behavioral context amid expanding attack surfaces. In a later April 30, 2024 Series B round, Elisity raised $37 million led by Insight Partners, with participation from Series A leads AllegisCyber and Two Bear Capital plus Atlantic Bridge, bringing total funding over $72 million to enhance AI capabilities in identity-based microsegmentation for preempting cyber threats. |
| Aug 2020 | Seed | Atlantic Bridge (lead) | $8M | Elisity emerged from stealth in 2020 with $7.5 million in seed funding from Atlantic Bridge. The company provides identity and behavior-based enterprise cybersecurity platforms, focusing on Cognitive Trust and microsegmentation. This seed round aligns with the query's approximate date of November 8, 2020, though exact date not specified in sources. Elisity later raised additional rounds, including a $26 million Series A co-led by Two Bear Capital and AllegisCyber Capital with Atlantic Bridge participation, bringing total funding to $33.5 million by 2021. A $37 million Series B followed in April 2024 led by Insight Partners, increasing total funding over $72 million. |
Who has invested in Elisity?
5 investors have backed Elisity across its funding rounds, including Atlantic Bridge, AllegisCyber, Two Bear Capital, Insight Partners and Hyperlink Ventures.
Lead investors include Insight Partners, AllegisCyber, Two Bear Capital and Atlantic Bridge.
Elisity Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
 Dublin | 3 | Lead | Aug 2020 | |
| Kalispell, MT | 2 | Lead | Jun 2021 | |
| San Francisco, CA | 2 | Lead | Jun 2021 | |
This data is available for Pro users. Sign up to see all 5 Elisity investors. Start Free Trial | ||||
Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
Sign up to see data on 350K+ funding rounds and disclosed revenue and EBITDA valuation multiples, from seed, through growth stage, to pre-IPO.
Start Free TrialElisity Competitors
Elisity competitors include listed companies like PCITECH and Haizhi, and private ones like Avathon, Salt Security, Vectra AI and Veriff.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| San Francisco, CA | Private | - | - | $1.4B | - | |
| San Francisco, CA | Private | - | - | $1.4B | - | |
| San Jose, CA | Private | - | - | $1.2B | - | |
 Tallinn | Private | $100M | - | $1.5B | 15.0x | |
 China | Publicly listed | $1.5B | $53M | $1.4B | 0.9x | |
| China | Publicly listed | $93M | ($30M) | $1.7B | 12.1x |
Elisity Public Comps
Elisity is no longer listed, but its public comps include Fractal Analytics, Red Violet, NSFOCUS, Radware, Wenge AI, Eastcompeace Tech, PCITECH, DPtech, Riskified and CloudWalk.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $345M | $50M | 3.5x | 3.2x | 24.6x | 19.7x | |||
| $90M | $24M | 13.4x | 11.8x | 51.0x | 31.8x | |||
| $380M | $37M | 3.6x | 3.3x | 36.4x | 35.8x | |||
| $302M | $20M | 3.5x | 3.2x | 53.4x | 22.1x | |||
| $61M | ($20M) | 20.5x | - | (61.6x) | - | |||
| $197M | $26M | 4.7x | - | 35.8x | - | |||
| $1.5B | $53M | 0.9x | 0.9x | 24.4x | - | |||
| $182M | $25M | 5.7x | 5.3x | 41.9x | - | |||
This data is available for Pro users. Sign up to see all Elisity competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Elisity
| When was Elisity founded? | Elisity was founded in 2018. |
| Where is Elisity headquartered? | Elisity is headquartered in San Jose, CA, United States. |
| Is Elisity publicly listed? | No, Elisity was acquired by IonQ in October 2026. |
| Who acquired Elisity? | Elisity was acquired by IonQ in October 2026. |
| How much was Elisity acquired for? | Elisity was acquired for $1.3B in October 2026. |
| How much funding has Elisity raised? | Elisity has raised $79M across 3 funding rounds. |
| What was Elisity's last funding round? | Elisity's last funding round was a $45M Series B in April 2024, led by Insight Partners. |
| Who are Elisity's investors? | Elisity's investors include Atlantic Bridge, Two Bear Capital, AllegisCyber, Hyperlink Ventures and Insight Partners. |
| Which companies are comparable to Elisity? | Companies comparable to Elisity include Avathon, Salt Security, Vectra AI, Veriff, PCITECH and Haizhi. |
See companies similar to Elisity
Start Your
Free Trial Today
Try Multiples for free for 3 days. Got questions or need a demo? Schedule a call with us below.