Identiq, a Tel Aviv-based company offering a consumer identity validation network solution, said Wednesday is closed a Series A financing round of $47 million. The round was led by Insight Partners and Entrée Capital with additional participation from Amdocs, Sony Innovation Fund by IGV, and existing investors, including Vertex Ventures Israel, Oryzn Capital and Slow Ventures.
Identiq said it is building the world's largest Identity Validation Network, enabling companies to jointly validate consumer identities, payment details and other sensitive information without sharing or exposing any private data. The network’s growth over the last year has been driven by leading consumer-focused organizations (members) who have for too long experienced data theft, privacy challenges and frequent attacks by fraudsters posing as real users, the company said.
Identiq’s proprietary technology, which compares a new user’s details against identities already trusted by other network members, brings a new level of data quality and “up to the minute” accuracy to the industry. Identiq’s protocol and novel approach offers global organizations a higher-fidelity, lower cost, and more secure alternative to third-party data providers, which tend to charge a high amount for stale information on user identities.
“Identiq has reached critical mass, and we are excited for the network effect that will continue to accelerate its rapid growth,” said Jeff Horing, Insight Partners Co-Founder and Managing Director, who will be joining the Identiq board of directors. “Insight Partners has a history of backing category-defining companies, and Identiq has all the makings of one. They are already enabling the largest companies in the world to collaborate in fighting fraud and solving the most complex data and privacy issues. We look forward to utilizing our ScaleUp engine, Onsite, to help Identiq scale their go-to-market and product initiatives.”
The company plans to use the investment to further accelerate its network growth, adding more members, each of which will improve the validation, quality and coverage for all members.