Upstream Security raises $30M Series B from Renault, Volvo Group, Hyundai, others, to protect connected vehicles from escalating cyber threats

Upstream Security, an Israeli cybersecurity startup for connected vehicles, has closed $30 Million Series B investment to protect connected vehicles from escalating cyber threats; validates cloud-based automotive cybersecurity as the right path forward to address automotive cyber attacks.

The round, which brings total investment raise to date to$41 million, was led by some of the world’s largest OEM automotive vehicle manufacturers, insurance and fleet operators including Renault Venture Capital and included Volvo Group Venture Capital, Hyundai, Hyundai AutoEver, Nationwide Ventures, and others. Original Upstream investors Charles River Ventures, Glilot Capital and Maniv Mobility all participated in the round.

Founded in by co-founder and CEO Yoav Levy, the Herzeliya, Israel-based Upstream Security is the first cybersecurity solution designed specifically for protecting connected vehicles from cyber-threats or misuse at rest and in motion. Protecting connected cars is a complex problem involving multiple layers (driver, telematics, mobile application, vehicles, fleets), mountains of data flowing at high speed and a specialized and discrete understanding of smart mobility business and usage type. Upstream’s platform is entirely cloud-based and seamlessly ingests and normalizes automotive data to deliver cybersecurity insights that ensure vehicle security and safety is never compromised.

“This first of its kind investor syndicate, which includes some of the most important smart mobility companies in the world, is a testament to the severity of the problem the industry is tackling and a ringing endorsement of Upstream’s technology and the progress our team has made,” said Yoav Levy, Upstream Security Co-founder and CEO. “Our mission is to protect every connected vehicle and smart mobility service on the planet – the completion of our funding is perfectly timed to meet the growing demand for our data driven cloud-based platform, providing our customers with the capabilities they need to accomplish this vitally important task.”

The inherent risks in connected cars were in the headlines multiple times over the past 18 months culminating with consumer groups identifying connected vehicles as a potential national security threat. Earlier this year a report published by Upstream Security outlining the automotive threat landscape spanning the past decade, demonstrated that multiple stakeholders ranging from OEM vehicle manufacturers to commercial and public sector fleets have been targeted. In many cases attacks were executed indirectly via connected services and applications and from long distance.

Establishing a security framework for connected cars entails a multi-layer approach that secures both the vehicles as well as the infrastructure connecting them. With prolonged time-to-market and limited coverage of in-vehicle security solutions, the Upstream C4 platform solves this fundamental problem by enabling OEM car manufacturers and fleets to detect, monitor and respond to attacks targeting any part of the connected vehicle framework – even for vehicles already on the road.

“We were impressed by Upstream’s mature platform and exciting customer traction, which is why we made the investment,” said Christian Noske, Head of Alliance Ventures. “Upstream’s world-class team built a truly unique cloud-based automotive cybersecurity model that is highly scalable with a visionary technical approach that solves a growing problem in the mobility industry.”

“Securing our customers’ connected vehicles is always top of mind for Volvo,” noted David Hanngren, Investment Director at Volvo Group. “We have chosen to invest in Upstream because they have a great vision for addressing this unique sector, an impressive management team and serious depth in both automotive domain expertise and cybersecurity.”

“Security is the core element of connected vehicle which we cannot compromise,” said Yunseong Hwang, VP of Open Innovation Investment Group at Hyundai Motor. “Upstream has demonstrated how its optimized security technology can strengthen vehicle security. They are also keeping pace with technology to ensure its innovation evolves beyond simple vehicle movement. We believe that Upstream is leading the innovation in security of connected vehicle.”