Claroty raised $150 million in Series F funding at a $3 billion valuation to expand its cyber-physical systems protection platform as cyberattacks targeting hospitals, manufacturing facilities, and critical infrastructure accelerate globally. Golub Growth led the round with up to $50 million additional participation from existing investors including SoftBank Vision Fund 2, Bessemer Venture Partners, Standard Industries, Delta-V Capital, and strategic backers Schneider Electric, Siemens, Rockwell Automation, LG, and Toshiba Digital Solutions.
The Israeli-American company's valuation increased 80 percent since its March 2024 Series E, reaching $3 billion despite modest growth compared to its previous $2.5 billion valuation in 2022 according to PitchBook data. CEO Yaniv Vardi told Israeli media the company generates annual revenue in the hundreds of millions of dollars and expects to reach profitability in the near term, positioning for a potential initial public offering as early as 2027 depending on market conditions.
Founded in 2014 at Team8 foundry by Amir Zilberstein, Galina Antova, and Benny Porat, Claroty specializes in protecting cyber-physical systems where digital networks connect with physical operations. The company serves sectors where cyberattacks carry catastrophic consequences including energy grids, water utilities, manufacturing plants, hospitals, and government facilities. Gartner research cited by Claroty notes that ransomware and cyberattacks increasingly affect physical assets such as oil pipelines and food processing facilities, raising national security and economic concerns.
The platform addresses unique security challenges in industrial environments where sensitive systems are often isolated from corporate networks. Traditional cybersecurity tools collect data by querying protected systems directly, but factory floor equipment coordinating production lines typically operates on air-gapped networks separated from standard IT infrastructure. Claroty's Project File Analysis feature collects telemetry from isolated systems using queries that mimic normal inbound traffic, reducing the risk of triggering bugs by avoiding unexpected inputs.
The software creates comprehensive inventories of connected devices spanning not only industrial hardware but also employee endpoints and medical equipment. It flags vulnerabilities including outdated firmware, unencrypted credentials stored in plaintext, and systems with exploitable security gaps. When hackers attempt to access vulnerable devices, Claroty detects malicious activity by identifying malware and systems connecting to unusual external servers, then consolidates incident data into single alerts accelerating administrator response times.
Claroty grew 300 percent over the past three years and now protects cyber-physical systems for 24 of the Fortune 100 companies across thousands of global sites. The company employs approximately 750 people with 350 based in Israel and the remainder in New York headquarters, Europe, Asia-Pacific, and Latin America. Total capital raised reaches approximately $700 million through equity and credit financing, with the latest round including a $30 to $40 million secondary component allowing employees to sell shares.
Recent product innovations include the CPS Library, an AI-powered asset catalog developed with Schneider Electric and Rockwell Automation that enhances visibility and accuracy in tracking asset specifications exposed to cyber risk. The company appointed former Ford Motor Company AI Chief Gil Gur Arie as Chief Product Officer to lead product development. Cloud and partnership expansion includes achieving AWS Manufacturing and Industrial Competency for OT Security and establishing strategic collaboration with Google Security Operations.
Government and defense sector traction accelerated with the appointment of retired U.S. Air Force Colonel Jen Sovada leading public sector efforts. Claroty launched integrations with Parsons' SealingTech, added FISMA support with STIG-hardened configuration management controls to its Continuous Threat Detection product, and partnered with Mission IT to enter the U.S. Intelligence Community market. These moves position Claroty to capture growing government spending on critical infrastructure protection.
Analyst recognition validates market leadership with Gartner naming Claroty a leader in the 2025 Magic Quadrant for CPS Protection Platforms and Forrester naming it a leader in The Forrester Wave: IoT Security Solutions Q3 2025. The Chinese government reportedly instructed domestic companies to avoid Claroty along with Check Point, CyberArk, Cato Networks, and Wiz, though Claroty doesn't operate in China and focuses on detecting Chinese, Russian, and North Korean hacking groups targeting Western infrastructure.
