Cyber Security Startup Moan Technology Bags CNY 200 Million in Series A+
The new financing round will be spent on building a ‘next-generation enterprise security system.’
Moan Technology (默安科技) announced that it secured CNY 200 million worth of financing in Series A+, on December 11, with Ambrum Capital (琥珀资本) leading the round. This round of funding also saw the participation of Maintrend Capital (名川资本).
Nine months earlier, the Hangzhou-based company received an undisclosed amount in a Series A, this time led by Qianhai FOF (前海母基金). It is estimated that Moan Technology accumulated a total of CNY 250 million from the four financing rounds that it has held.
Established in 2016, Moan Technology is an emerging cybersecurity company based on a new IT architecture environment. Adhering to the concept of strategy, the company has launched ‘platform + tool + service’ full-process security development plan that can be classified into two categories, the development security and smart operation security.
Some of the services that are included in development security include Static Application Security Testing (SAST), a threat modeling and analysis system, and an interactive security monitoring system. On the other hand, examples of intelligent operation security systems are intelligent cloud platform security operation centers, cloud host security management system and intelligent asset risk detection systems.
Money raised from this round of financing will be used to build the ‘next-generation enterprise security system’ based on the two categories mentioned previously.
Currently, Moan Technology serves a wide array of industries, from finance, express logistics, automotive and energy, to high-end manufacturing. Many of its clients are industry giants such as China UnionPay, China Taiping Insurance and DJI, etc. Its business has extended to top-tier cities and provinces such as Beijing, Shanghai, Zhejiang, and Fujian.
The world has seen a total of thirteen cybersecurity startups emerge as unicorns in the last four years, of which three have their headquarters in China. Valued at USD 6.6 billion, Tanium tops the list, followed by Beijing-based Qi An Xin, with a valuation of USD 2.5 billion.
China’s cybersecurity industry has enjoyed a positive outlook overthe past few years. According to a report released by the China Academy of Information and Communication Technology (CAICT), revenues of the industry increases at a year-on-year rate of 23%, reaching CNY 63.1 billion (equivalent to USD 8.9 billion) in 2019. IDC predicts that China will continue to lead in the cybersecurity industry as the market size surges to 17.9 billion by 2023, with an estimated Compounded Annual Growth Rate (CAGR) of 25.1% in the five year period, much higher than the global average of just 9.44%.
In terms of spending, China ranks second in 2019, with a total amount of USD 7.35 billion. Hardware makes up the most substantial proportion with 62.8, while services and software lag far behind, with only 20.5% and 16.7%, respectively.
Global cybersecurity spending is expected to exceed USD 150 billion in 2023.