SOCaaS Funding: Arctic Wolf Raises $200 Million, Valued at $1.3 Billion
Arctic Wolf, a security operations center-as-a-service (SOCaaS) and managed detection and response (MDR) provider, has raised $200 million in Series E funding led by hedge fund Viking Global Investors, the company disclosed today.
Arctic Wolf will use the funding to accelerate its channel partner engagements in such areas as MDR, Managed Risk and Managed Cloud Monitoring, Chief Revenue Officer Nick Schneider tells MSSP Alert. Partners can leverage one or all of the services, depending on their specific needs, he adds.
The funding brings Arctic Wolf’s valuation to $1.3 billion and makes the company the only MDR vendor with a valuation of more than $1 billion, the company asserts.
In addition, Arctic Wolf will move its global headquarters from Sunnyvale, California to Eden Prairie, Minnesota, the company stated. Arctic Wolf expects to complete its move to its new headquarters by the end of next year, as well as add over 150 new jobs and build its third SOC.
Arctic Wolf Doubles Its Annual Revenue
The Series E funding comes after Arctic Wolf doubled its annual revenue in its latest fiscal year. Arctic Wolf also recorded the following year-over-year performance milestones:
- 106 percent subscription revenue growth
- 180 percent enterprise customer segment growth
- 270 percent growth in the number of security events (now approaching 1 trillion per week) processed by the Arctic Wolf Platform
- 282 percent growth in the number of channel partners
- 301 percent growth in the number of customers using multiple solutions
Arctic Wolf uses a three-tiered approach to engage with channel partners, the company indicated. The business has a 100 percent channel partner strategy for its U.S. and Canadian channel partners and enables them to integrate its SOCaaS into their portfolios and offer MDR as a value-add solution or service.
Arctic Wolf: International Expansion Plan
Most of the business momentum involves North America. But the new funding will help Arctic Wolf to expand in EMEA (Europe, Middle East and Africa), APJ (Asia Pacific and Japan) and Latin America, Schneider says.
Additional reporting by Joe Panettieri.