IVCA Feature: 2021 VC & PE Trends … Cybersecurity in the Age of the Evolving Workplace

August 18, 2021

With a variety of workplace options still in place during the pandemic era, Venture Capital and Private Equity continue with deals, acquisitions and investments. The IVCA is doing a series on specific trends of 2021 for VC and PE. The following is a deeper dive into VC and PE concerns with cybersecurity … both within investment opportunities and in-firm practice as remote work becomes more common.
CRN.com, ‘10 Emerging Cybersecurity Trends To Watch In 2021’
A flurry of new threats, technologies and business models have emerged in the cybersecurity space as the world shifted to a remote work model in response to the COVID-19 pandemic. The lack of a network perimeter in this new world accelerated the adoption of SASE (secure access service edge), zero trust and XDR (extended detection and response) to ensure remote users and their data are protected.

READ HERE: https://www.crn.com/news/security/10-emerging-cybersecurity-trends-to-watch-in-2021 
Pitchbook.com, ‘Cybersecurity Startups Near Record Funding as Hacks Take Spotlight’
A new generation of cybersecurity startups is scaling up to serve companies in the remote-work era as a fresh wave of sophisticated attacks spreads security fears.
READ HERE: https://pitchbook.com/news/articles/cybersecurity-startups-near-record-funding-as-hacks-take-spotlight 
WSJ.com, ‘Investors Pile Into Israel’s Cybersecurity Startups’
Investors pouring cash into Israeli cybersecurity startups are minting billion-dollar companies and giving the country an outsize portion of world-wide growth in the sector.
READ HERE: https://www.wsj.com/articles/investors-pile-into-israels-cybersecurity-startups-11620639002 
Anchor.fm, Podcast: ‘Mike and Mike on Venture Capital in Cybersecurity’
Kyle McNulty interviews cutting edge founders in the cyber security space to understand their plights, glories, and revolutionary products.
LISTEN HERE (57 Minutes): https://anchor.fm/kyle-mcnulty/episodes/Bonus-Mike-and-Mike-on-Venture-Capital-in-Cybersecurity-etbbba

Forbes.com, ’Private Equity Pushes Deeper Into Cybersecurity As Ransomware Attacks Ramp Up’
A simple explanation for the trend is that private equity firms are following the money. As the risk of ransomware attacks and other threats becomes difficult to ignore, companies are increasing expenditures on cyber safety—which is great for the business of the other companies trying to ensure that safety.

READ HERE: https://www.forbes.com/sites/kevindowd/2021/06/06/private-equity-pushes-deeper-into-cybersecurity-as-ransomware-attacks-ramp-up/?sh=4af5f95a576b
Triadnet.com, ’Private Equity Cybersecurity: 5 Ways to Protect Your Firm’
We refer to private equity as an alternative investment class. This is the capital that isn’t publicly traded on the stock exchange. Since these assets are complex in nature, they carry a degree of risk.They need to be carefully monitored and protected because they’re vulnerable to cyberattacks.

READ HERE: https://triadanet.com/private-equity-firms-cyber-security/ 
Panorama-Consulting.com, ‘How Private Equity is Evolving in Response to the Increase in Cybersecurity Attacks’
For private equity firms, data breaches have far-reaching consequences. They negatively impact valuations, spook investors, create fundraising challenges, and damage a firm’s reputation. Unfortunately, private equity firms and their funds are prime targets for hackers.

READ HERE: https://www.panorama-consulting.com/private-equity-cybersecurity/ 
Podtail.com, ‘Managing Cybersecurity Risk in Private Equity’

With cyberattacks increasing dramatically in both frequency and sophistication over the past year, cybersecurity preparedness has become more important than ever for private equity investors, and expected by PE investors’ limited partners.

LISTEN HERE (37 Minutes): https://podtail.com/en/podcast/committed-capital/managing-cybersecurity-risk-in-private-equity-tran/