Vega raises $120M Series B to rethink the way businesses view cyber threats

Today’s businesses generate a lot of security information, but basic tools like Splunk still require companies to store everything in one place before they can detect threats – a cheap and expensive solution that’s becoming more and more difficult in the cloud environment where volumes are exploding and data is everywhere.

The introduction of AI cybersecurity Vega protection they want to reverse that trend by managing security where data already exists, using cloud services, data lakes, and existing storage systems. And the two-year-old company just secured a $120 million Series B round for that vision, TechCrunch has learned.

Led by Accel and with participation from Cyberstarts, Redpoint, and CRV, this new round increases the value of Vega to $700 million, bringing its total investment to $185 million, money that the founder will use to improve the safety of AI generations, strengthen its team to market, and expand globally.

Shay Sandler, co-founder and CEO of Vega, told TechCrunch that the current model of SIEM (security information and event management) – the leading technology in this role for the past two decades – is not only “very expensive,” but also increasingly causing AI’s native security functions to fail. In critical cloud environments, he says, the current model often increases exposure to threat actors.

“Vega has defined a new way of working that enables organizations to better leverage their business data so that they can plan to respond, without all the hassle, the cost, the drama,” Sandler told TechCrunch. “We just want to enable them to be able to respond to the nature of AI wherever it is, at scale.”

Like many cybersecurity innovators, Sandler did his time in the Israeli cyber security force before becoming one of the founders of the Granulate project, which. Intel bought it for $650 million in 2022. After a year at Intel, Sandler decided to “do it big time in the cybersecurity world.”

This is partly what caught the attention of Andrei Brasoveanu, a partner at Accel. But it was also Vega’s ambitious approach to security management in a market already dominated by one player: Splunk.

Brasoveanu told TechCrunch that SIEM companies like Splunk, which Cisco was discovered in 2024 $28 billion, have been criticized in recent years because their solutions are difficult to scale. They fail to manage the insane rise of AI-driven data.

“Splunk and every competitor has always centralized data, but by doing that you keep customers,” Brasoveanu said.

However, sometimes it’s easier to hate the status quo than to do the work to change to a better one, a challenge anyone who has tried to break the bank understands. That’s why Sandler says Vega’s “North Star” has not only created a solution that is cost-effective and effective in identifying threats, but “so that it’s not a drama, as simple as possible for the largest, most complex businesses in the world to take a few minutes.”

Vega’s strategy seems to be working. The 100-person startup has already signed multi-million dollar deals with banks, healthcare companies, and Fortune 500 companies, including cloud-heavy companies like Instacart.

“The only reason they can do this with a two-year start is because the problem is very painful and other solutions on the market require an unrealistic expectation that the business will change the way they work or do two years of data migration,” said Sandler. “Vega enables them to just plug and play and get a predictable profit.”