Illusive Networks, an Isreali company developing deception-based cybersecurity technology, announced a new strategic investment by Microsoft Ventures this week. The company is a subsidiary of Team 8, another Israeli cybersecurity company which has been in Microsoft Ventures's portfolio since last June. The deception technology pioneered by Illusive Networks is currently being used to monitor attacks at banks, retail outlets and other critical infrastuctures.
While the Israeli startup did not disclose the amount of Microsoft Ventures' investment, the company shared that the earlier Series A and B rounds from New Enterprise Associates (NEA), Bessemer Venture Partners, Marker LLC, Citi Ventures, Cisco Investments and Eric Schmidt’s Innovation Endeavorstotal totaled over $30M. Mony Hassid, general manager and managing director at Microsoft Ventures, shared in the press release that the company has "the expertise to continue to evolve next-generation deception cybersecurity technology and protect enterprises against increasingly sophisticated advanced attacks.”
This investment is the latest sign of Microsoft's growing interest in the Isreali startup ecosystem. Earlier this week, Vice president of security Bharat Shah explained during the BlueHat IL event in Tel Aviv that the company would spend over $1 billion per year on cybersecurity research and development in the future.