Arkose Labs, provider of online fraud and abuse prevention technology, today announced it has raised an additional $22 million in Series B funding led by Microsoft's venture fund, M12, as well as participation from existing investors PayPal and USVP.
"We are proud to welcome Arkose Labs to M12's portfolio. With Arkose's end-to-end anti-fraud platform, enterprises across the globe can better protect against fraud and abuse long term," said Nagraj Kashyap, Microsoft Corporate Vice President and Global Head of M12. "Multiple Microsoft businesses are already benefiting from this innovative technology, and we are committed to supporting Arkose's accelerated growth."
Until now, it has never been more profitable to commit fraud, with simple, easy-to-use software available on the Web that enables any fraudster to launch large-scale attacks. What differentiates the Arkose Labs platform from the status quo is its ability to cut off fraud at the source by making cybercriminals expend massive effort to conduct their attacks, which eliminates the ROI and profitability of fraud. This is a fundamental shift in fraud prevention, which is resilient to emerging attack patterns.
"Our platform takes a zero-tolerance approach to cyber attacks and our team is committed to putting a stop to the global fraud epidemic," said Kevin Gosschalk, Arkose Labs founder and CEO, "Microsoft and their venture capital fund M12 are incredible partners, as they recognize the major opportunity we have to eliminate fraud, rather than contain it."
The Arkose Labs platform protects many Fortune 50 companies in the financial services, ecommerce, media, gaming and emerging technology sectors. As well as long-time customers Microsoft, companies including GitHub, Electronic Arts, Singapore Airlines, Roblox and Twilio benefit from Arkose Labs' unique approach to fraud prevention.
"Microsoft is committed to providing a safe experience to our customers. Arkose Labs' technology is an important component of our multi-pronged approach to minimize fraud without negatively impacting legitimate customers," said Alex Weinert, Director of Identity Security, Microsoft.
The team at Arkose Labs designed the fastest-learning fraud defense platform on the market. Going beyond traditional fraud prevention, Arkose Labs protects any consumer action from abuse and fraud, such as account takeover, fake account abuse, scraping, spam, gift card abuse and many other activities.
In recent months, Arkose Labs has nearly doubled its customer base, made multiple product enhancements to improve its platform's dynamic risk engine, and won a series of industry awards including the Women in Cybersecurity award from Cyber Defense Magazine and CNBC's Upstart 100 List for 2019.
The new round of funding will go toward platform development, new hires and global expansion.
About Arkose Labs
Arkose Labs bankrupts the business model of fraud. Its patented platform combines Arkose Detect, a sophisticated risk engine, with Arkose Enforce, which uses targeted step-up challenges to wear fraudsters down and diminish their ROI. The world's largest brands trust Arkose Labs to protect their customer journey while delivering unrivaled user experiences.
Arkose Labs is based in San Francisco, Calif., with offices in Brisbane, Australia. For more information, visit www.arkoselabs.com or on Twitter @ArkoseLabs.
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