Karamba Security, the Israel-based startup and a supplier of cyber security for self-driving and connected cars, claimed this week that it lifted $12 Million, drawing first-time asset in Israel from Paladin Capital, the Washington-based cyber-focused tech firm.
The recent investment brings total fundraising of Karamba Security to $17 Million, with current investors Detroit-based Fontinalis Partners and YL Ventures of California managing the round, pursued by GlenRock Israel. Additional fresh investors are Sumitomo Corp.’s Presidio Ventures, Liberty Mutual Strategic Ventures, and security management supplier Asgent.
In 2015, the global cyber security market for automobiles was anticipated by Mordor Intelligence to rise from $17 Million to $1.1 Billion by the end of 2020.
Karamba Security claimed that its software guard cars on the basis of their factory settings, jamming the attempts of hacking as they move away from these settings and sooner than they penetrate the car.
Paladin, with $1 Billion in 4 funds, claimed this was its initial investment in industry of automotive security.
“We see this idea of Karamba Security attempting to avoid attacks as significant growth on what continues today to sense attacks,” Kenneth Minihan, Managing Director, Paladin, said to media.
Minihan, a former Director of the U.S. National Security Agency and retired Lieutenant General of Air Force, stated that ransomware attacks such as those that happened last week will not be applicable to cars, which work in their personal network.
But attackers may “try to disturb feeds of data that are updating you with what is taking place around other automobiles,” he said.
Karamba Security claimed that its technology of network security, which is based on statistical modeling, is prone to severe attacks that could jeopardize lives if applied to automobiles. For instance, brakes could fail to work if a rightful command is incorrectly recognized as nasty and blocked.
For now, we wish all the luck for Karamba Security to raise maximum funds for the development of the innovative idea that they are working on. This will not only make the lives of people safe but will also avoid the cyber attacks.