Welcome to The Trident Radar. Good to have you back!
Big news out of Japan last week!
Let's dive in.
Israeli funding frenzy: Four Tel Aviv companies raise $81M combined, I promise to stop acting surprised now.
AI security: TENEX.AI's $27M Series A
OT security M&A tsunami: Mitsubishi Electric announces intent to acquire Nozomi Networks in massive industrial cyber play
Secrets management revolution: Hush Security's $11M seed shows static API keys are now dead, even though they already were.
Seedy plays: Seed deals continue to sit atop the pyramid
FUNDING SPOTLIGHT
Koi - $48M Mega-Round (Battery Ventures & Team8 leading Series A)
A double whammy! $48M in funding across two simultaneous rounds announced on the same day. They raised a $38M Series A led by Battery Ventures and Team8, plus a $10M seed from NFX and Picture Capital - all for their platform that secures the software supply chain from malicious VSCode extensions.
Why this matters: Founded in 2024, Koi is solving a blindspot that's about to explode. Their platform continuously analyzes extensions in the Visual Studio Code marketplace to detect malicious, risky, or vulnerable third-party extensions. With millions of developers using VSCode extensions daily, and supply chain attacks increasingly targeting developer tools, Koi is positioned at the intersection of two massive trends: developer security and supply chain protection.
TENEX.AI - $27M Series A (Crosspoint Capital Partners leading)
Sarasota-based TENEX.AI just closed a monster Series A for their AI-native cybersecurity platform. Founded at the end of 2024, they've scaled faster than most startups scale to product-market fit. They're building managed detection and response (MDR) with AI automation baked in from day one, not bolted on.
Why this matters: This isn't another "AI-enhanced" security tool. TENEX is building AI-first security operations where artificial intelligence handles incident response, threat detection, and security automation natively. With ex-Stairwell leadership and Andreessen Horowitz seed backing, they're positioning to own the AI-native SOC category before it fully emerges.
Hush Security - $11M Seed (Battery Ventures & YL Ventures leading)
Tel Aviv's Hush Security just emerged from stealth with an $11M seed to eliminate static secrets like API keys and credentials. Founded in 2024, they're replacing traditional vaults with just-in-time, policy-based access controls for machine identities.
Why this matters: Static API keys are the new passwords, everywhere, insecure, and constantly breached. Hush is attacking the root problem by making secrets dynamic and policy-driven. With Battery Ventures and YL Ventures leading, this is serious validation for the "secretless" approach to machine identity.
Red Access - $17M Series A (Norwest Venture Partners leading)
Tel Aviv's Red Access raised $17M for their agentless browsing security platform. They're securing hybrid workplace browsing without requiring agents, extensions, or network overhauls - protecting all employee browsing activities across any browser, device, or cloud service.
Why this matters: The hybrid workplace broke traditional network security assumptions. Red Access is building security that follows the user, not the network perimeter. Their agentless approach solves the deployment nightmare that kills most browser security solutions.
M&A INTELLIGENCE
Only one thing to speak about this week really:
Mitsubishi Electric to Acquire Nozomi Networks
So here is an interesting one…
Mitsubishi Electric is acquiring OT security leader Nozomi Networks in a deal expected to close Q4 2025. Mitsubishi previously participated in Nozomi's $100M Series E in March 2024, which gave us a pretty good idea they were setting this up
Big congratulations to the entire Nozomi team!
Read below for a bigger deep dive.
INSIDER INSIGHT
The Billion-Dollar OT Security Validation
OT security has been given a pretty big A-OK.
The numbers tell the story: At roughly $1B valuation, this deal values Nozomi at approximately 13x revenue/ARR - pretty much dead on what would be expected. This validates the entire OT security category and confirms that companies like Dragos are very fairly priced for a market that traditional industrial companies now see as essential.
Mitsubishi told us this was coming:
Data access has become huge with the AI boom. Attack surfaces have blown up and rather than building OT security internally, which would take way too long in this day and age, Mitsubishi did what they told us they were going to do in March 2024. They have dived into their pockets and now have what they need.
The consolidation wave starts now: Mitsubishi's move forces every major industrial vendor's hand. Schneider Electric, Siemens, Honeywell, and others can't afford to be the only major player without integrated OT security capabilities. Expect a bidding war for the remaining independent OT security companies over the next 18 months.
Market intelligence: This deal proves that OT security has crossed the chasm from "nice-to-have" to "business-critical infrastructure." Industrial buyers are now willing to pay software multiples for cybersecurity capabilities because the cost of not having them has become existential.
HOT JOBS
CEO - OT Cyber Vendor | New York
Critical infrastructure security company with frictionless secure access platform. Purpose-built for operational technology environments. $350K base.
Contact: [email protected]
VP of Sales - Identity Security | NYC
Identity security platform scaling rapidly. Seeking sales leadership with proven track record scaling enterprise teams. $450K OTE.
Contact: [email protected]
Founding Sales Lead - Credential Protection Platform | NYC/Remote
Bootstrapped to $400K+ ARR in 8 months. Building the first technical response to credential theft with "phish back" technology. $150K base.
Contact: [email protected]
Account Executive - Threat Intelligence Platform | NYC/Remote
Series A threat-led defense company. Maps adversary behavior to security stacks. $350K OTE.
Contact: [email protected]
Sales Director - Open Source Cybersecurity | USA Remote
Open-source threat intelligence management and breach simulation platform. Covering the full cyber risk management stack. $280K OTE.
Contact: [email protected]
Ready to make your next move? These roles won't stay open long.
BOTTOM LINE
For Security Vendors: The OT security wave is creating M&A opportunities with industrial buyers who have deep pockets and urgent needs. Position for acquisition, not just growth rounds.
For Enterprise Buyers: AI-native security platforms are ready for production deployment. The companies building AI-first (not AI-enhanced) are showing real operational advantages.
For Investors: Israeli cybersecurity companies continue to dominate deal flow and innovation. The Tel Aviv ecosystem is producing category-defining companies faster than any other geography.
NEXT WEEK'S PREDICTIONS
Shall we make this one easy?
More deals out of Israel!!
📥 INBOX INTEL
Have market intelligence to share? Our network sees deals before they're announced, hiring freezes before they're public, and technology shifts before they hit the headlines.
Send us your tips:
Funding rounds in stealth mode
Executive movements and reorganizations
Customer wins/losses that signal market shifts
Technology partnerships before they're announced
Hiring sprees or freezes at specific companies
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Editor: Ryan Keeley | London