Appdome: Projecting 76% ARR growth, protecting 500M users

76% ARR growth, protecting 500M users

Multimillion-dollar deals to secure mobile apps for Citi, Fiserv and Marriott

Appdome secures mobile apps – a critical global security vulnerability
Multimillion-dollar ARR contracts with Citi, Fiserv, Marriott
Set to protect 500M phones by end 2022, projecting 76% YOY ARR growth to $30M; 56% YOY increase to $16.9M ARR at end 2021; 5X YOY increase to 100M end users protected by end 2021
Delivers no-code system to build security, anti-fraud, and malware protection in mobile apps inside DevOps pipeline
DevSecOps market growing fast: NortonLifeLock's $8.6B bid for Avast, Sumo Logic's $2.2B IPO in 2020, Fastly's $1.45B IPO in 2019
$20M-$25M Series C at $250M pre-money led by Menlo Ventures and Rally Ventures; co-investors include Draper Nexus Technology, Dell Ventures, JVP, Vaal Investments

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Dear Josb,

Appdome is a rapidly growing Israeli company solving the next big challenge in cybersecurity – protecting mobile apps.

OurCrowd is investing in Appdome. The details in this email are based on information received from, and verified solely by, the company.

The Problem
Cyberattacks on mobile apps are soaring. Through a cellphone, hackers can gain access to full financial data, medical records and personal details – and steal them all. Seventy percent of consumers in the US say mobile banking is the primary way they access their accounts. Corporations and consumers alike have growing concerns with the security of their mobile apps but building cybersecurity into mobile apps has been a time-consuming, manual process. Until now.

The Solution
Appdome provides a comprehensive "no-code" mobile app security development platform for both Android and iOS apps. Using Appdome, the customer's app development, security or DevOps teams simply upload an app, select the security features they want to add, and tell the system "build my app." From there, an automated dev machine builds the features into their app, without the need for additional changes or any coding whatsoever on the part of the customer.

Appdome's no-code approach makes it the fastest and easiest choice to implement mobile app security, anti-fraud and malware prevention inside Android and iOS apps. As a result, it offers greater protection from hacking, fraud and malware attacks.

Appdome offers all customers its Certified Secure^TM security certification that guarantees the protections added to each app by its build system. Customers can confidently release new updates to apps without having to wait for security verification from post-build testing.

Traction
Appdome forecasts that it will be protecting 500 million mobile end users in 2022 and increase sales by 76% YOY to $30M ARR by the end of the year. The company is a market leader in mobile app security and is executing well.

ARR increased 56% YOY to $16.9M at the end of 2021, when it was protecting more than 100 million end users, a 5X YOY increase.

Appdome's revenue growth is driven by multimillion-dollar ARR contracts with Citi, Fiserv, and Marriott. The company's solutions meet the needs of both B2B and B2C applications.

The Market
DevSecOps is a hot sector in a rapidly growing market. Emergen Research forecasts the DevSecOps market will grow at a CAGR of 32% from $2.5B in 2020 to $23.4B in 2028.

Appdome's pre-money valuation compares favorably to recent billion-dollar-plus exits for comparable startups. NortonLifeLock bid $8.6B for Avast, a cybersecurity software company, Sumo Logic, a security-focused data analytics company, completed a $2.2B IPO in 2020, and Fastly closed a $1.45B IPO in 2019.

The Round
This $20M-$25M Series C round at a $250M pre-money valuation is led by Menlo Ventures and Rally Ventures. Co-investors include Draper Nexus Technology, Dell Ventures, JVP, and Vaal Investments.

Funds will be used to support and strengthen the company's sales-led growth engine through increased marketing and sales efforts and provide additional runway to the company beyond 2022.

Meet the CEO
Watch a recent investor conference call with CEO Tom Tovar and learn more about Appdome.

Read CEO Tom Tovar's Mobile App Cyber Defense Advisory in the wake of the war in Ukraine: https://www.appdome.com/blog/mobile-app-cyber-defense-advisory-ukrainian-war/

Certain information in this email contains "forward-looking information" under applicable securities laws ("forward-looking statements"). These may include, among others, projected performance; expected development of the company's business, projects and partnerships; execution of the company's vision and growth strategy; and the like. Forward-looking statements are not guarantees of future performance and should not be relied on in any way.

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