Finite State Raises $30M Series B

COLUMBUS, Ohio–(BUSINESS WIRE)–Finite State, the leader in connected device security, has raised $30 million in Series B funding. The round was led by Energize Ventures and joined by Schneider Electric Ventures and Merlin Ventures.

Vulnerabilities within connected devices are a huge concern within the supply chain, critical infrastructure, and manufacturing. One recent report found that less than half of companies were able to detect whether their IoT devices suffered a breach. With IoT market size expected to top $1.4 trillion by 2027, Finite State plans to use the funding to rapidly scale its data-driven approach to supply chain security to meet the demands of the market.

“As today’s energy and industrial sectors chase better connectivity, tighter regulations are simultaneously demanding asset owners to prove the security of their embedded devices,” said Juan Muldoon, partner at Energize Ventures. “Finite State is a category-defining company securing critical infrastructure in the energy and industrial spaces by delivering clear visibility into security gaps throughout the supply chain.”

President Biden’s recent cybersecurity Executive Order brought new awareness to the state of infrastructure security and attracted new investor attention to Finite State. Energize Ventures recognized the company’s comprehensive approach to identifying supply-chain risk and depth of visibility into vulnerabilities, as well as the team’s two decades of cybersecurity experience serving the Fortune 500 and the U.S. Intelligence Community.

“It was an organic fit for us to align with Energize Ventures, which was introduced to us by our longtime client, Schneider Electric,” said Matt Wyckhouse, CEO of Finite State, who founded the company in 2017. “The Energize and Schneider teams have unique insight on the market demand, where our solutions fit, and how we can better help the energy sector lock down their device security. The value proposition goes far beyond their capital investment.”

As more companies recognize that product security is directly tied to their top-line revenue, Finite State will scale accordingly. The company will grow its product, engineering, sales, and marketing organizations, as well as add additional product security experts.

“Finite State’s platform is transforming our product security,” said Klaus Jaeckle, Global Chief Product Security Officer at Schneider Electric. “The energy sector is often in the dark about the complex supply chains behind connected devices. Finite State gives a holistic, transparent view of vulnerabilities that helps us better understand, manage, and mitigate risk.”

Finite State recently added three security veterans to their executive team to accelerate the company’s growth, including Eric Greenwald, a former Obama administration official who served on the National Security Council, FBI, and U.S. Cyber Command.

In its short history, Finite State has already become a destination for engineers in the Midwest looking to make advancements in one of the fastest growing sectors of cybersecurity. Those engineers have found an exciting opportunity for growth in an innovative culture within this space and more opportunities are on the way with this new round of funding.

Wyckhouse added, “As companies struggle to tackle product security by analyzing devices and firmware, Finite State has become the premier player in solving product security challenges.”

About Energize Ventures

Energize Ventures is a leading global alternative investment manager focused on accelerating digital transformation in energy and sustainable industry. Founded in 2016, Energize has funded 16 companies to-date and is backed by strategic and institutional LPs including CDPQ, Invenergy, Schneider Electric, General Electric, Caterpillar, and more. With an unmatched depth and breadth of industry and operational expertise, Energize works in partnership with its portfolio companies to realize their full potential from early commercialization to growth scaling and into the public markets. For more information on Energize Ventures, please visit www.energize.vc.

About Finite State

The mission of Finite State is to protect the devices and embedded systems that power our modern lives by illuminating the vulnerabilities and threats within their complex software supply chain. With backgrounds in the U.S. Intelligence Community, our team has the unique perspective to be able to understand the intricacies of hidden risk in connected devices. Finite State is headquartered in the heart of the Midwest in Columbus, Ohio. For more information, visit www.finitestate.io.