Lookout Nabs $150 Million in New Funding as It Takes Aim at Big Corporations
Mobile security firm Lookout has scored another big round, landing $150 million in funding led by investment firm T. Rowe Price.
Other new investors include Jeff Bezos’s Bezos Expeditions, Morgan Stanley Investment Management, Wellington Management Company and Goldman Sachs. Existing investors Accel Partners, Andreessen Horowitz, Khosla Ventures, Index Ventures and Mithril Capital Management also ponied up additional cash.
The company wouldn’t say what the new round values the company at, but did say it now has millions of paying customers among the more than 50 million people who use its mobile security software.
“Our consumer business is on fire,” Executive Chairman John Hering said in an interview. “We are growing faster than we have ever grown.”
With the new funding, though, Lookout wants to expand its nascent effort to sell to the kinds of big companies that can buy thousands, tens of thousands or even hundreds of thousands of copies of its software.
Hering, 30, recently brought in former Juniper Networks executive Jim Dolce to take over as chief executive.
Big businesses find themselves with large numbers of smartphones, either ones they have purchased or ones that employees have brought in and connected to the network.
“They’ve figured out how to manage them but security is a whole other dimension that hasn’t been solved,” Hering said. “It is a burning issue.”
Lookout is one of the better-funded mobile startups, having pulled in a total of $131 million in various prior funding rounds, including a $55 million round last October led by Deutsche Telekom.
As for adding investors beyond typical tech venture firms, Hering said that Lookout wanted backers that buy into the company’s vision of creating a sustainable independent business.
“We’re excited to have people who are going to be long-term patient capital,” he said.