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- Material Security
Material Security Valuation, Funding & Investors
Material Security is valued at $1.1B as of May 2022.
Last Material Security valuation
$1.1B
Series C · May 2022
Last Material Security funding round
$100M
Series C · May 2022
Cumulative funding Material Security raised
$162M
across 3 funding rounds
Key investors in Material Security
Andreessen Horowitz
Friends & Family Capital
Founders Fund
Abstract
South Park Commons
Operator Partners
About Material Security
Material Security is a San Francisco-headquartered email security provider offering data-driven software to safeguard organizational data across cloud platforms like Google Workspace and Microsoft 365. The platform detects threats, enforces policies, and enables data recovery without disrupting workflows. Founded in 2018, it protects enterprises including Fortune 500 companies by analyzing email content and attachments in real-time.
Founded
2017
HQ
Website
Status
Privately held
Customer focus
B2B
Revenue model
Subscription
Valuation
$1.1B (May 2022)
Material Security Valuation
Material Security is currently valued at $1.1B, based on its Series C in May 2022.
The $100M round was led by Founders Fund, with participation from Jaws Ventures, Andreessen Horowitz, La Famiglia and South Park Commons.
Material Security valuation by funding round
| Date | Stage | Valuation |
|---|---|---|
| May 2022 | Series C | $1.1B |
Material Security Funding History
Material Security has raised a total of $162M across 3 funding rounds.
Material Security's first fundraising round was a $22M Series A in June 2020. The most recent completed round was a $100M Series C in May 2022.
Material Security funding rounds
| Date | Stage | Investors | Raised | Valuation | Deal Summary |
|---|---|---|---|---|---|
| May 2022 | Series C | Founders Fund (lead); Jaws Ventures; Andreessen Horowitz; La Famiglia; South Park Commons | $100M | $1.1B | Material Security is an email security startup founded by former Dropbox technologists, pioneering zero-trust techniques to protect email content at rest using patented technology compatible with Google Workspace and Office 365. The company launched its product suite during the global pandemic and achieved rapid adoption by major customers including Roblox, Lyft, Chubb, Compass, Brex, Mars, Databricks, and DoorDash. It provides features like phishing herd immunity, email footprint visibility, risk factor surfacing, and one-click remediation without affecting MX records. On May 12, 2022, Material Security announced a $100 million Series C funding round led by Founders Fund with participation from Andreessen Horowitz, Elad Gil, and other individual tech investors including Jaws Ventures and La Famiglia, reaching unicorn status at a $1.1 billion valuation. This brought total funding to approximately $165-166 million, following prior rounds of $22 million Series A in June 2020 led by Andreessen Horowitz and $40 million Series B in May 2021 led by Elad Gil. Proceeds will fund international expansion, product extensions into new areas like government and other SaaS applications (e.g., Dropbox, Google Drive, Slack), scaling sales and marketing teams, and hiring to double headcount from under 50 employees. The company targets large enterprises (50,000-100,000 employees) and fast-growing midmarket firms, emphasizing infrastructure for security analytics and investigations. |
| May 2021 | Series B | Friends & Family Capital; Varsha Rao; Andrew Vigneault; Andreessen Horowitz; Abstract; 515 Ventures; Operator Partners | $40M | - | Material Security is a cybersecurity company founded in 2017 that provides data-driven email security solutions, including leak prevention, account takeover protection, phishing defense, real-time search, and risk analytics, designed to protect organizations even after compromises under a zero-trust model. The company launched its full product suite in 2020 and experienced rapid growth, quadrupling its customer base and achieving 472% business growth that year, adding clients like Roblox, Databricks, Collective Health, Iterable, Fox, Mars, Chubb, Lyft, DoorDash, and Compass. On May 26, 2021, Material Security raised $40 million in a Series B funding round led by Elad Gil, with participation from Andreessen Horowitz and individual investors including tech executives and security experts, bringing total funding to $62 million at that point. Funds were allocated to expand operations to new geographies and accelerate R&D. Later, in a Series C round (circa 2022), the company raised $100 million at a $1.1 billion valuation led by Founders Fund, with Andreessen Horowitz and Elad Gil participating, reaching unicorn status and total funding of $162 million. Prior rounds included a $22-35 million Series A in 2018-2020 led by Andreessen Horowitz or Bessemer Venture Partners and seed funding around $12 million. The company, headquartered in Redwood City, California, with under 50 employees post-Series B, focused on scaling engineering, sales, marketing, and support while extending its AI-driven platform beyond email to SaaS apps like Dropbox, Google Drive, and Slack. |
| Jun 2020 | Series A | Andreessen Horowitz (lead); Friends & Family Capital; Andy Bechtolsheim; Avichal Garg; Drew Houston; Hanover Technology Investment Management | $22M | - | Material Security is a cybersecurity company founded in 2017 and headquartered in Boston (or Redwood City per some sources), specializing in AI-driven email security to protect against phishing, malware, credential compromise, account takeover, and data leaks through continuous monitoring and policy enforcement. The company has raised between $155M and $166M across multiple rounds, with key investors including Andreessen Horowitz, Bessemer Venture Partners, Founders Fund, First Round Capital, and others. The company focuses on scaling enterprise deployments, AI enhancements, global expansion, and go-to-market operations post-funding. Investors like a16z emphasize cybersecurity and enterprise software. |
Who has invested in Material Security?
15 investors have backed Material Security across its funding rounds, including Andreessen Horowitz, Friends & Family Capital, Founders Fund, Abstract, South Park Commons and Operator Partners.
Lead investors include Founders Fund and Andreessen Horowitz.
Material Security Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 3 | Lead | Jun 2020 | ||
| 2 | Participant | Jun 2020 | ||
| 1 | Participant | May 2022 | ||
| 1 | Participant | May 2021 | ||
| 1 | Participant | May 2021 | ||
| 1 | Participant | Jun 2020 | ||
| 1 | Participant | Jun 2020 | ||
| 1 | Participant | May 2022 | ||
| 1 | Participant | Jun 2020 | ||
| 1 | Participant | Jun 2020 | ||
| 1 | Lead | May 2022 | ||
| 1 | Participant | May 2021 | ||
| 1 | Participant | May 2021 | ||
This data is available for Pro users. Sign up to see all 15 Material Security investors. Start Free Trial | ||||
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Start Free TrialMaterial Security Competitors
Material Security competitors include listed companies like Red Violet and NSFOCUS, and private ones like Beyond Identity, eSentire, Guardio and Obsidian Security.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Private | - | - | $1.1B | - | ||
| Private | $100M | - | $1.1B | 11.0x | ||
| Private | $150M | - | $1.1B | 7.3x | ||
| Private | - | - | $1.1B | - | ||
| Publicly listed | $90M | $24M | $1.2B | 11.7x | ||
| Publicly listed | $379M | $37M | $955M | 2.4x |
Material Security Public Comps
Material Security is still privately-owned, but its public comps include Eastcompeace Tech, Red Violet, NSFOCUS, Radware, BeiJing Certificate, Yubico, Rapid7, Riskified, DPtech and Asiainfo Security.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $197M | $26M | 4.8x | - | 36.4x | - | |||
| $90M | $24M | 13.2x | 11.7x | 50.0x | 31.7x | |||
| $379M | $37M | 2.6x | 2.4x | 26.1x | 25.6x | |||
| $302M | $20M | 3.6x | 3.4x | 56.1x | 23.2x | |||
| $125M | ($12M) | 6.7x | - | (70.9x) | - | |||
| $226M | $19M | 3.3x | 3.2x | 39.7x | 25.6x | |||
| $860M | $63M | 1.3x | 1.3x | 17.4x | 6.8x | |||
| $345M | ($31M) | 1.8x | 1.6x | (20.3x) | 19.0x | |||
This data is available for Pro users. Sign up to see all Material Security competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Material Security
| When was Material Security founded? | Material Security was founded in 2017. |
| Where is Material Security headquartered? | Material Security is headquartered in San Francisco, CA, United States. |
| Is Material Security publicly listed? | No, Material Security is a private, VC-backed company. |
| What is Material Security's valuation? | Material Security was last valued at $1.1B in its Series C in May 2022. |
| How much funding has Material Security raised? | Material Security has raised $162M across 3 funding rounds. |
| What was Material Security's last funding round? | Material Security's last funding round was a $100M Series C in May 2022, led by Founders Fund. |
| Who are Material Security's investors? | Material Security's investors include Andreessen Horowitz, Friends & Family Capital, Jaws Ventures, Varsha Rao, Andrew Vigneault, Andy Bechtolsheim, Avichal Garg, La Famiglia, Drew Houston, Hanover Technology Investment Management and 5 others. |
| Which companies are comparable to Material Security? | Companies comparable to Material Security include Beyond Identity, eSentire, Guardio, Obsidian Security, Red Violet and NSFOCUS. |
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