Atlanta, Georgia-based privacy and marketing, security, and data governance solutions firm OneTrust today announced it raised $300 million at a $5.1 billion valuation. The company says the round will be put toward product R&D as it looks to expand its sales, marketing, and engineering teams worldwide.
About 64% of respondents around the world feel that adhering to compliance requirements is a “very” or “extremely” effective way to keep data secure, according to a Thales report. But compliance is expensive. In a 2017 PricewaterhouseCoopers survey of execs at U.S., U.K., and Japanese tech companies, 88% said their company planned to spend over $1 million preparing for the EU’s General Data Protection Regulation (GDPR) in the run-up to its full May 2018 implementation. A smaller percentage of respondents — 40% — said they expected to spend $10 million or more.
Kabir Barday, a former developer at BlackRock and previously director of product management at Dell-owned VMWare, anticipated the nearly $51.5 billion compliance management market’s growth in 2016 when he founded OneTrust with cochair Alan Dabbiere, a cofounder of Manhattan Associates and AirWatch. Barday was an early employee at AirWatch, which raised $200 million in 2013 before VMware acquired it for $1.5 billion. OneTrust went on to raise $200 million in a series A round last July at a whopping $1.3 billion valuation — a valuation the firm more than doubled to $2.7 billion in February
This latest cash infusion comes after roughly a year, during which time OneTrust grew its customer base to more than 7,000 organizations across 100 countries, up from 3,000 as of July 2019. (OneTrust’s three-year growth is 48,000%, making it the fastest-growing company on Inc. magazine’s Inc. 500.) According to Barday, nearly half the Fortune 500 companies now use its product suite, including brands like Aetna, Randstad, Steelcase, Vevo, Oracle, Marketo, Akamai, Criteo, 21st Century Fox, Adobe, Tealium, Okta, Salesforce, and Kickstarter.