Analyzing Cyera’s Meteoric Rise: How a $12B Valuation Defies Operating Losses

Data Storage Security Company Cyera Secures $300 Million Round

Cyera, a data storage security company, is in the final stages of securing a funding round led by Evolution Equity Partners worth at least $300 million. This investment will value the company at $12 billion, as reported by sources familiar with the deal.

While Calcalist initially reported on the funding deal, additional details about Cyera’s financials and operations were provided by sources to TechCrunch.

Despite not being profitable yet, Cyera has achieved over $150 million in annual recurring revenue (ARR), according to insiders. The company’s valuation at 80 times its ARR surpasses the multiples assigned to many rapidly growing AI startups.

Reports suggest that Cyera is currently spending more than it is earning, primarily due to investments in expanding its sales team. In 2021 alone, the company has hired 500 new employees, according to PitchBook.

Although a Cyera spokesperson disputed the accuracy of the numbers mentioned, Evolution Equity Partners did not provide a comment on the matter.

This new funding round comes shortly after Cyera’s announcement of a $400 million Series F funding at a $9 billion valuation led by Blackstone. The upcoming round will increase Cyera’s total capital raised to at least $2 billion, with participation from existing investors such as Accel, Coatue, Lightspeed, Redpoint, Sapphire, Sequoia, Cyberstarts, and others.

The Rise of Cyera in the Data Security Landscape

Established in 2021, Cyera has emerged as a key player in the data security industry as organizations increasingly rely on its platform to protect their data from AI-driven cyber threats. The company claims to serve one-fifth of the Fortune 500 companies and witnessed a revenue surge in 2025.

In recent times, Cyera has utilized its capital not only to cover operating losses but also to acquire other cybersecurity startups like Ryft, backed by Index Ventures, and Genie Security, a startup less than a year old.

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