PerimeterX, a provider of behavior-based threat protection technology for cloud, web and mobile, has secured $23 million in Series B funding led by Canaan Partners with participation from existing investors Vertex Ventures and Data Collective (DCVC).
Vertex Ventures is an international network of funds that counts Singapore’s state investor Temasek Holdings as a limited partner (LP).
The investment proceeds will fund the US expansion and further internationalisation of the company, as well as broaden its platform into new areas. PerimeterX claims its web-based Bot Defender product has the ability to analyse billions of events daily and block hundreds of millions of bot attacks every day.
The transaction will also see Joydeep Bhattacharrya, a partner at Canaan Partners, join the company’s board.
Increasingly, companies with an online presence face a growing number of sophisticated attacks by malicious bots. According to a media release, 2016 saw bot activity caused $2.6 billion of losses from account takeovers, $7.2 billion in advertising fraud and $950 million in electronic gift card fraud.
In her 2017 Internet Trends Report, Mary Meeker of Kleiner Perkins Caufield Byers noted that in 2016 bot-generated traffic surpassed human-generated traffic on the Internet.
Modern bots attempt to execute a variety of damaging acts such as account takeover, web scraping, carding, check out abuse and online fraud, while the latest generation of bots attempt to impersonate real users and real system behaviours.
As PerimeterX gathers more information about how people interact with a site, it builds more accurate models of what constitutes human versus bot behaviour, enhancing its ability to detect new forms of bot attacks.