Mocana, a San Francisco-based provider of security software for devices, has raised $7 million in second-round funding. Southern Cross Venture Partners led the round, and was joined by return backer Shasta Ventures.
Mocana, a security software company that delivers comprehensive protection for devices, today closed $7 Million in venture financing. The infusion of funding, led by Southern Cross Venture Partners, will be used to expand the company’s product lines, build out its international presence and increase marketing activities. Mocana’s only previous institutional investor, Shasta Ventures also provided investment for this round, increasing their ownership position in the company and bringing Mocana’s total capital backing to $12.1M.
Attacks on PC platforms have steadily grown in sophistication and PC security technology has generally evolved along with the threats. But now there are more non-PC “things” connecting to the network every day, like PDAs, routers, DVRs, printers, iPods, and even cars or digital picture frames. Each one of these new devices represents a “soft target” for hackers and an easy way in to the rest of the network. This is because third- and fourth-generation attack techniques are being unleashed upon millions of non-PC devices armed with first-generation security, at best.
To address this, Mocana offers its Device Security Framework (DSF), a comprehensive approach to device security that secures communications to and from any device connected to the network, as well as the data and applications residing on those devices. This latest round of financing will be used to enhance and expand the 20 security components that currently make up Mocana’s DSF so that manufacturers and service providers can ensure that security is inherent in the device, to protect against existing and emerging threats.
“Hacking isn’t about rogue developers seeking glory by bringing down high-profile sites anymore. It’s now a thriving business-oriented endeavor that exploits the most information-rich sources on the network for monetary gain. Devices are in the crosshairs because they often store valuable user information, are not yet as secure as PCs, and provide a “soft target” � an easy gateway into the rest of your network,” said Larry Marshall, Managing Director with Southern Cross Venture Partners. “Mocana has developed a very innovative approach to device security that is an ideal solution for addressing these threats to business. We are thrilled to lead this investment and back Mocana’s strong management team and early leadership position with their defensible technology and large roster of high quality customers.”
In addition to new products, Mocana will use this funding to fuel marketing activities that will increase its presence in international markets, as well as expand into new markets domestically. To lead this activity, the company has appointed Kurt Stammberger, CISSP as its Vice President of Marketing. Mr. Stammberger has spent most of his career marketing and selling security technologies, having joined cryptography startup RSA Security in 1990 as its 7(th) employee. While at RSA, he was responsible for leading its marketing organization for eight years and played a key role in creating the brand that now protects virtually every electronic commerce transaction on the planet. He was also instrumental in launching VeriSign, following its spinoff from RSA. Prior to Mocana, Mr. Stammberger founded Coda Creative, an award-winning technology marketing firm that focused on security startups, and recently served as VP of Content & Services for consumer healthcare startup Vimo.com. A recognized industry leader, Mr. Stammberger founded and still serves on the judges’ panel of the annual RSA Conference and also serves as the Communications Director for the CSO Council, a security industry nonprofit.
Mocana’s Device Security Framework provides device manufacturers with protection against existing and emerging threats, as well as faster time to market for new products and reduced support costs that result from device malfunction due to malware. Mocana continues to add to its growing base of customers that include leading device manufacturers such as Dell, Nortel, Symbol and Honeywell. Further fueling its growth in the device space, Mocana finalized technology partnerships with leading embedded vendors Freescale and QNX as well.
“Device manufacturers are just beginning to understand that when a device is hijacked or rendered inoperational by hackers, they are left answering the tough questions of how and why it happened,” said Adrian Turner, CEO of Mocana. “Mocana is changing the way these manufacturers treat security and, in turn, is changing the value they bring to their customer and shareholders. We are pleased to partner with these investors to capitalize on the early market leadership position that we have built.”
About Southern Cross Venture Partners
Southern Cross Venture Partners was launched in 2006 by veteran venture capitalists who have managed and operated companies themselves. Southern Cross assists early-stage technology companies that demonstrate the potential for exceptional growth and market leadership to build significant businesses. The founding principle of Southern Cross is partnership � we are passionately committed to doing everything we can to help our portfolio companies succeed. Our team has a strong record of utilizing their start-up and management experience, industry knowledge, network of business/customer relationships and recruiting skills to assist in building significant shareholder value. For more information go to www.sxvp.com.
About Shasta Ventures
Shasta Ventures is a venture capital firm formed by three venture capital veterans from leading venture firms. Located in Menlo Park, CA, Shasta Ventures manages a $210 million venture capital fund to invest in early stage technology companies serving consumer and enterprise customers. The fund pursues investment opportunities within the infrastructure, software and technology-enabled service sectors. For more information on Shasta Ventures, please visit www.shastaventures.com.
Mocana securely enables Internet-scale applications and services for connected devices. Mocana’s industry-leading infrastructure software solutions ensure that wired and wireless devices, networks and services perform and scale with the utmost security � a necessary foundation for a networked society. Customers include Philips, Dell, Cisco, Nortel Networks, Harris, Honeywell, Symbol, Net.com and Radvision, among others. Mocana was founded in 2002, is privately-held, and headquartered in San Francisco, California. The company has been recognized with numerous awards including the Red Herring 100 and Frost & Sullivan’s Innovation of the Year. To request a free full source code and documentation evaluation of Mocana’s security solutions, visit www.mocana.com/evaluate.html