Cybersecurity Firm 1Password Closes $620M Funding Round As Capital Flows Into Sector

Toronto-based 1Password has closed a $620-million Series C funding round that brings the cybersecurity firm’s valuation to $6.8 billion.

What Happened: The new round was led by ICONIQ Growth, with participation from others including Tiger Global, Lightspeed Venture Partners and Backbone Angels. Accel, which led the company’s Series A and B, also invested in the round.

Additionally, there were several celebrity investors taking part in the series C round, such as Ryan Reynolds, Scarlett Johansson, Robert Downey Jr., Matthew McConaughey, Ashton Kutcher and Justin Timberlake.

"Our mission has always been to ease the tension between security and convenience, and the opportunity to deliver on this has never been bigger for 1Password," said Jeff Shiner, the company’s CEO. "We create products and solutions that improve upon and easily layer into a company's existing security infrastructure, nurturing better habits for employees while strengthening a company's security posture from within."

Also Read: Nio Obtains UN Cybersecurity Certification, Says It's 'Integral' To Global Expansion

Why It Matters: The company’s platform gives customers the tools to securely manages passwords and credentials and is utilized by more than 100,000 businesses, including International Business Machines Corp IBM, Shopify Inc SHOP and Slack.

Over the last 24 months, 1Password has achieved significant growth milestones including growing its B2B business by more than 70% year over year, launching new product offerings, including 1Password 8 for Windows and 1Password Events, while growing its workforce by over 300% to 570 employees.

The cybersecurity sector has already attracted more than $1 billion of investments in the first 2 1/2 weeks of 2022 alone, which includes the 1Password round funding, according to Crunchbase data.

Photo: Courtesy of Diverse Stock Photos on Flickr.