Today, Cynomi announced its Series B funding round, with investment totalling $37M following years of strong growth. Channel Insider asked Co-founder and CEO David Primor how the funding will enable Cynomi to develop its products further.
Funding led by Insight Partners and Entrée Capital will enable further development
The round was co-led by Insight Partners and Entrée Capital, with continued support from existing investors Canaan, Flint Capital, and S16VC.
According to information provided by the company, Cynomi plans to advance its platform in two key directions: adding more cutting-edge cybersecurity capabilities and strengthening the ability of service providers to market and deliver security and compliance solutions effectively, in a climate where these services are in high demand and the vCISO market is quickly growing.
“Cynomi has demonstrated impressive growth and product-market fit in the MSP and MSSP end markets,” said Philine Huizing, managing director at Insight Partners. “The company’s innovative platform and user-centric approach to enabling robust cybersecurity posture and compliance for service providers and their end customers, combined with strong early momentum and customer love, position Cynomi as a clear standout in the cybersecurity market. We look forward to partnering with David and team on Cynomi’s ongoing expansion and product evolution.”
The company’s approach to security enables MSPs and MSSPs to automate services and extend their support offerings into the vCISO market. Cynomi saw 3x ARR growth during 2024, following a 4.5x increase the previous year.
“With Cynomi, we have cut our cybersecurity management time and human capital needs by 50%,” said Chad Fullerton, VP of information security at ECI, a NYC-based MSP focused on financial services. “Thanks to this efficiency, we’ve doubled our customer base, and achieved 100% adoption among our GRC customers – it’s been a game-changing investment for our business.”
Primor reflects on the journey to this point and looks ahead to what comes next
Primor told Channel Insider that the Cynomi team felt, after a strong 2024, the company was ready to leverage additional funding to further expand its presence in global markets. The new cash infusion will enhance research and development efforts in agentic AI capabilities and additional platform features.
“We’ll use this funding to invest in agentic AI, to expand our presence in global markets, and to keep innovating. We want to create a full-capability platform for cybersecurity services.”
Primor says Cynomi hit the market at the right time, enabling MSPs and MSSPs as they began to seek ways to offer more strategic security services and manage their various clients more efficiently.
“There’s been major growth in the MSP space, and cybersecurity is one of the fastest-growing parts of the market,” Primor said. “We understand the opportunity in front of us to help partners better understand their clients no matter where they are on the security journey.”
According to Primor, the Cynomi roadmap includes adding capabilities across third-party risk management, risk analysis and assessment, continuity planning, and other features addressing regulatory needs specific to regional requirements.
He also wants MSPs and MSSPs to see the opportunity in providing more strategic service offerings, like vCISO solutions, and ensuring organizations adopt AI securely. And, Primor also knows the channel market is broader than just MSPs, and he wants to see Cynomi provide value to all partners.
“From Cynomi’s perspective, we want to enable every company to get sophisticated security help,” Primor said. “And we want to help MSPs better understand their end-customers and see what cybersecurity tools might be missing from their portfolios.”
Sophos has recently released its annual security report for MSPs, providing insight into trends across the threat landscape. Catch up on what the Active Adversary Report says about ransomware and how partners can respond.