Grand Junction, Colorado, April 4, 2024 /PRNewswire/ — Pinpoint search group, A major U.S. cybersecurity recruitment company 2024 Q1 Cybersecurity Funding Report. The report revealed that the number of deals increased compared to Q1 2023, but the total amount of funds raised decreased. While the year-on-year decline in funding may be a concern, increased interest in later rounds could signal good times ahead.
Pinpoint search group
In Q1 2024, Pinpoint Search Group's research team recorded 101 deals in the cybersecurity vendor space, totaling $2.3 billion across 77 funding rounds and 24 M&A events.
Q1 2024, Pinpoint Search Group Research Team Recorded a total of 101 transactions in the cybersecurity vendor space $2.3 billion Across 77 funding rounds, 24 minutes&A event. This represents an approximately 2.7% increase in deal volume from 75 deals in Q1 2023, and a 20% year-on-year decline in funding. $2.9 billion.
“While the year-on-year drop in funding does not seem to be a good thing, it is important to consider the nuances,” he said. Mark SassonFounder and Managing Partner of Pinpoint Search Group. “2023 posed significant challenges to the cybersecurity community and the broader technology environment. Rapidly rising interest rates made financing increasingly difficult, as shown in the graphs in our report. As such, Q1 2023 was the last positive quarter before venture capital funding began.'' ”
Should the cybersecurity industry start worrying?
Fortunately, declining cybersecurity funding doesn't paint the whole picture. Although not yet surpassing last year's numbers, the numbers for Q1 2024 signal a potentially optimistic outlook for cybersecurity companies going forward. for example, March 2024 Highlighting key milestones in cybersecurity funding, $1.4 billion Raised in 42 funding rounds. This was the first time Pinpoint researchers had observed an excess of monthly funding. 1 billion dollars Since then February 2023. This resurgence may suggest that despite early setbacks, the cybersecurity sector is regaining momentum and may be on the cusp of a stronger phase of growth.
Another bright spot is the notable resurgence of late rounds. Last year and in the first quarter of 2024, seed funding accounted for 42% of all funding in the cybersecurity space, but later-stage rounds saw a decline in deal volume and funding amount compared to most of 2023. We have made some progress in points. For example, in the first quarter of 2024, Pinpoint researchers tracked 14 late-stage funding rounds (Series C and above), while in 2023 there were an average of 11 such rounds. If late-stage VC-funded vendors maintain their ability to raise capital, 2024 will be a more fruitful year. For the sector and its professional community.
“Late round investments early in the year are a positive indicator for people in the cybersecurity space,” he said. The majority of jobs in our industry come from established companies that are the recipients of these late-stage funds. If this pattern continues, large-scale layoffs in 2023 may be avoided. ”
Read Pinpoint Search Group's full Q1 2024 report on cybersecurity funding here.
About Pinpoint Search Group
Pinpoint Search Group is a leading cybersecurity recruiting firm specializing in recruiting vice presidents, directors, and senior individuals. Pinpoint's collective experience recruiting hundreds of candidates across all areas of cybersecurity makes the company a trusted choice for communicating, qualifying, and placing professionals in today's most competitive technology fields. You can get sex.We also produce pinpoint Cybersecurity M&A and Vendor Funding Report We cover M&A and financing in the cybersecurity space monthly, quarterly, and annually.
Media contact:
christopher joseph (CJ) Arlotta
CJ Media Solutions, LLC for Pinpoint Search Group
C: 631-572-3019
[email protected]
SOURCE Pinpoint Search Group
