Israeli cybersecurity startup Zero Networks raises $55M in private funding to scale global defense against ransomware

As ransomware attacks escalate and security teams struggle to keep up, investors are betting big on startups that offer a better way forward. Leading that charge is Israeli cybersecurity startup Zero Networks.

Today,  Zero Networks announced it has raised $55 million in a mid-stage funding round. The new capital brings the company’s total funding to over $100 million.

The funding round was led by Highland Europe, with continued backing from F2 Venture Capital, PICO Venture Partners, Venrock, and U.S. Venture Partners (USVP).

Zero Networks plans to use the fresh capital to expand across North America, Europe, the Middle East, Africa, and Asia-Pacific. It’s aiming to meet increased demand from companies looking for better ways to contain attacks before they spread inside their networks, Reuters reported.

Founded in 2019, Zero Networks said its revenue has surged 300% since its last funding round in late 2023. The company didn’t share specific revenue figures but noted that its customer base has tripled—an upward swing it attributes to growing demand for its access control and segmentation technology.

“Microsegmentation has long been the crown jewel of network defense; praised for its effectiveness but abandoned because of its complexity,” said Benny Lakunishok, CEO and Co-Founder of Zero Networks. “This funding raise validates everything we’ve claimed since day one: that we can make segmentation simple, scalable, and powerful enough to contain ransomware and stop lateral movement at its source. It also opens up a massive opportunity for every network defender out there to stop playing catch-up and start taking control.”

The startup’s approach centers on automating microsegmentation to isolate endpoints and block lateral movement—an attack method widely used in ransomware incidents. Instead of relying on human teams to configure firewalls and rules, Zero Networks pitches a self-service model that makes segmentation more accessible for IT teams.

The cybersecurity space remains crowded, but the recent funding shows investor confidence in Zero Networks’ growth trajectory and its pitch that network security shouldn’t require an army of analysts to manage.