Westgate Cyber Security secures significant investment from Berlin-based Next Big Thing to support scale-up plans
Marc Barry and David Notley of Westgate Cyber Security
A Welsh cybersecurity software firm has secured a £500,000 investment from a Berlin-based tech investment fund and company builder to help it scale its business.
Westgate Cyber Security is the company behind Enclave - a new patent-pending computer networking technology that helps organisations become more resilient against cyber-attacks.
The investment comes as millions of businesses worldwide grapple with the security challenges of a suddenly redeployed 'work-from-home force' in the wake of the Coronavirus pandemic.
In 2019, 32% of businesses identified breaches or attacks on their networks, according to the Government's Cyber Security Breach Survey. Enclave, a software-as-a-service (SaaS*) product, makes connectivity within businesses and their supply chains more straightforward to arrange and more secure by ensuring connecting systems are invisible to third parties.
Next Big Thing (NBT), founded in 2016, is a Berlin-based IoT and Blockchain company builder that provides a range of services for the development of IoT joint ventures. As a company builder, corporate innovation partner and operational VC, NBT acts as a hub of a growing ecosystem of companies, founders, technologists, entrepreneurs, investors and politicians. Its investment in Westgate Cyber Security will see NBT take a 25% stake in the business, working closely with the senior management team to grow the company's worldwide sales of the Enclave product.
Commenting on the deal, Westgate Cyber Security CEO David Notley, said:
"We are delighted to secure this investment from such a globally-respected innovation catalyst. In addition to the funding, which will allow us to scale market penetration and build further product functionality rapidly, we are looking forward to working with the talented team to help realise the potential of this game-changing technology.
"As a result of the current COVID-19 crisis, millions of businesses are using virtual private networks (or VPNs) to facilitate home working and keep their teams connected, but this is a security disaster waiting to happen. These connections typically rely on a 'connect then authenticate' process, which means that anyone can connect to those systems and try and 'break in'. Sadly, sometimes they succeed, and the financial and reputational impact of such cyberattacks can be significant.
"Businesses require new ideas and technologies to support new ways of working, and this is where our solution comes in. Enclave flips the traditional VPN paradigm, so that network connections become 'authenticate then connect'. The connection is entirely invisible to would-be attackers, and much more secure.
"We are proud to provide this technology to clients across the globe, including two major Dutch banks. Thanks to this deal, we will be able to target new markets and develop our client base across the globe. We will also be adding to our team in Cardiff, investing in new roles in business and technology development."
Harald Zapp, CEO and Founder of Next Big Thing, said:
"We are happy to welcome Westgate to our portfolio and look forward to working together to bring M2M network security to the next level. After investing in cybersecurity consultancy Deflect, we have achieved yet another milestone in IIoT security with Westgate. Together, we will promote the growth of Europe's digital landscape in international markets and successfully scale toward the Machine Economy."
Westgate has received support from AgorIP, which brings academics, clinicians and businesses together to pioneer research into cutting-edge technologies and drive commercial success. The AgorIP project is supported by Swansea University and the European Regional Development Fund through the Welsh Government.
Westgate Cyber Security has also beaten off stiff global competition to secure a place in the fourth cohort of LORCA (the London Office for Rapid Cyber Advancement). LORCA is a major accelerator programme bringing innovators, academics, government stakeholders and corporates together to address cybersecurity challenges and support the rapid deployment and growth of security businesses.
LORCA is a partnership between Plexal, Deloitte and the Centre for Secure Information Technologies (CSIT) at Queen's University Belfast and funded by Department for Digital, Culture, Media & Sport (DCMS).
David Notley continued:
"These are exciting times for us as a business. We are looking forward to working with Next Big Thing, Lorca and other partners to offer more companies the opportunity to protect their networks against the ever-growing threat of cyber attacks, and all the consequences such breaches can bring."
*SaaS is a software licencing and delivery model in which software is licenced on a subscription basis and is centrally hosted.