Savvy Raises $30M to Fortify SaaS App Security Amidst Explosive Industry Growth

As businesses across the globe increasingly embrace software-as-a-service (SaaS) applications to streamline their operations, the sector's frighteningly rapid growth has raised security concerns. A report by Statista revealed that in 2022, organizations were utilizing an average of 130 SaaS apps, a significant rise from merely eight apps in 2015. This surge adds complexity to security management, creating a sensitive point of vulnerability for many enterprises, which innovative startup Savvy aims to address.

In reaction to this mounting security challenge, cybersecurity veteran Guy Guzner, who co-founded Fireglass, a cybersecurity firm purchased by Symantec in 2017 for an estimated $250 million, launched Savvy. In a recent significant development, the startup has generated $30 million in a fundraising round steered by Canaan and with contributions from Lightspeed and Cyberstarts.

Savvy, co-initiated by Guzner along with Yoav Horman, Eldar Kleiner and David Ben Zakai in 2021, seeks to diminish 'user-initiated' security incidents relating to SaaS applications. By using pop-ups to warn users of potential 'insecure' actions, the platform manages to mitigate potential security breaches effectively. Being a browser extension, Savvy vigilantly monitors for risky user activities on desktops or laptops that could compromise security, such as submitting sensitive information to an app like ChatGPT.

In addition, Savvy provides an option for security teams on the backend to construct workflows with automation playbooks that activate when a user performs specific actions. The platform offers tracking of 'improvements' over time, delivering insights and metrics on a breakdown basis to the function, team, and users and optionally conducting employee risk profiling.

Guzner asserts that this distinctive approach sets Savvy apart from other startups like Valence Security and Spin Technology, which similarly offer SaaS app protection platforms. He illustrated via email that when a user is just about to submit sensitive data, Savvy will send an alert about the possible risk. The aim is to bolster cybersecurity measures without hampering the user's productivity. As Guzner insightfully observes, if there are ways to bypass security and accelerate work completion, often the users will take advantage of it.

Some may perceive Savvy as intrusive, but such tools are becoming increasingly common despite any discomfort they might cause to employees. With 60% of firms with remote employees using staff monitoring software according to a study by the Harvard Business Review, it's clear that platforms like Savvy are here to stay.

Guzner countered any privacy concerns regarding Savvy by affirming that the startup makes conscientious efforts to limit the extent of sensitive data it collects and processes. Local data processing is favored predominantly over cloud-based storage, but metadata does get collected for monitoring and reporting purposes and is retained for 180 days as a standard.

While users might be uneasy about this metadata retention, Guzner subtly stresses that it is an implicit trade-off in the context of the rising business reliance on SaaS apps and their ensuing security challenges. He notes that security and business managers are increasingly grappling with the complexities introduced by app integration and the burgeoning demands for new apps, while still needing to ensure the security of already used apps.

The funds raised will be channeled towards expanding Savvy's go-to-market presence and its 50-member team in the United States, as well as boosting its customer support functions. According to Guzner, several Fortune 500 companies across technological, hospitality and consumer goods sectors are among the 15 clients of the startup, which has a total management of 100,000 users.

The cybersecurity startup funding has seen a decline of 58% to $2.7 billion over the recent past. However, Savvy, bankrolled by the recent capital infusion, seems to be in a relatively healthy financial state.

Reflecting on the challenges posed by the rapid proliferation of SaaS apps, Guzner remarks, We started selling our solution earlier this year while still in stealth mode and we’re seeing a growing demand from enterprise customers for our solution, so it made sense to raise funds now and scale the company.

This emphasis on securing SaaS applications echoes the focus of other platforms such as AppMaster, a promising no-code development platform. Platforms like AppMaster and Savvy, with the thoughtful integration of security measures, are primed to lead the advancements in the SaaS landscape.