Hypr raises $35M to support passwordless MFA growth, plans to double headcount
Hypr has raised $35 million in a Series C funding round to accelerate its go-to-market strategy and expand its global support organization as it seeks to eliminate passwords with device-based digital ID and multi-factor authentication. The company plans to double its global headcount, and says hiring is ongoing in all departments.
The funding round was led by Advent International through its dedicated technology fund Advent Tech. Hypr has a growing market share with momentum from the global shift to flexible workplaces, according to the announcement.
The company’s passwordless MFA transforms the user’s smartphone into a FIDO token, which can in turn be secured by native device biometrics.
“The shift to remote work has propelled passwords to the top of every security organization’s list of priorities. As the sophistication and volume of cyber-attacks grows, we’re seeing unprecedented urgency for a solution to the password problem,” says George Avetisov, HYPR co-founder and CEO. “We are thrilled to partner with Advent to truly accelerate the elimination of passwords. This investment will double the size of our team and expand our product delivery as we empower companies across the globe to go passwordless.”
The company raised $18.3 million back in 2019 to deliver new products and expand its customer success operations, and has now raised over $70 million in total.
Since then, Hypr’s annual recurring revenue has increased by more than 300 percent, and its customer base has more than doubled to include major global brands such as Norwegian Airlines, Point72, Rakuten and CVS Health. The company operates in more than 20 verticals, serving firms of all sizes and surpassing 100 million licenses sold for customer passwordless MFA.
Hypr also launched its Velocity Partner Program last October.
“Removing passwords for customers and employees eliminates a critical cybersecurity vulnerability, lowers IT support costs, and improves the overall user experience,” comments Ashwin Krishnan, a Principal on Advent’s technology team in New York. “HYPR is a leading player in the emerging passwordless space, and has proven its ability to deliver for a large and diverse group of customers. We are incredibly excited to partner with HYPR, and believe the company is well-positioned for continued growth.”
“When we partnered as a first check investor in HYPR, the phrase ‘passwordless’ was relatively unknown. Today the space has heated up tremendously as enterprises scramble to eliminate passwords, especially in light of the pandemic,” comments Ed Sim, founder and managing partner of BOLDStart Ventures, an existing Hypr investor. “The HYPR team saw where the puck was heading and we couldn’t be prouder of what they’ve built or more excited about the path forward with Advent, an ideal partner given their cybersecurity experience.”