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Security Firm iVerify Raises $12 Million Amid Data Breach Epidemic

Security firm iVerify has raised $12 million for its endpoint detection and response (EDR) solution.

The funding round, announced Wednesday (June 26), was led by Shine Capital and comes amid a wave of recent data breaches.

“The mobile security industry has not kept up with the rise of the global and remote workforce or emerging mobile threats due to AI,” Alex Hartz, partner at Shine Capital, said in a news release.

iVerify is a significant step forward for the industry. Their unique mobile EDR is a comprehensive mobile security product built on a strong foundation of threat detection capabilities previously only accessible to advanced researchers.”

The release noted how the proliferation of data breaches caused by credential thefts, especially involving mobile devices containing corporate credentials.

“Traditional mobile security solutions haven’t kept pace and a new approach is needed,” the company said.

In the last 12 months, iVerify says it has released products for enterprise customers that combine threat detection and mobile forensics with automated response and remediation, as well as its Vulnerability Management capability for the “highly fractured Android market,” plus features to protect against smishing and access to company data by compromised devices.

(“Smishing” refers to a type of phishing attack that occurs via text or SMS message.)

The company’s funding round is happening at the tail end of a month that has seen several high-profile cyberattacks. These include the “significant volume of data” stolen from at least 165 customers of multi-cloud data warehousing platform Snowflake, as well as an attack on car dealership software provider CDK.

As noted here Wednesday, that company said it expects its systems to be down for the remainder of the month, which means thousands of dealerships will be unable to do credit checks, offer loans, complete sales contracts, all slowing the car-buying process.

“Fortunately, the situation isn’t hopeless,” PYMNTS wrote earlier this year in a report on the larger cybersecurity problem.

Businesses can guard against malware and other threats by embracing robust cybersecurity software, securing networks and devices, educating employees, using multifactor authentication, and setting clear communication protocols for verifying sensitive transactions.

“We’ve always had social engineering attacks, but with the advent of AI, it’s much easier to create a bot that will have a credible conversation with a victim and convince many victims at the same time to share their credentials, transfer money, and do other things that they wouldn’t normally do,” Maciej Pitucha, VP of product and data at Mangopay, told PYMNTS.

“Data is usually the answer. … Building a successful fraud prevention solution requires lots of data, lots of expertise,” Pitucha added.