Israeli cybersecurity company Cybereason is laying off around 100 employees out of the total 1,500 people the company has today in Israel and worldwide.
According to the company’s LinkedIn, over the past year, Cybereason’s employment had increased by 61 percent and 122 percent over the past two years.
Last month, Cybereason stated that it would open a second development center in Beersheva, Israel, to complement its existing base in Tel Aviv. At that time the company was ignoring the IT industry climate, which has experienced a substantial shift in recent weeks, forcing the firm to prioritize efficiency and profitability above rapid expansion.
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Founded in 2021 by CEO Lior Div, Yossi Naar, and Yonatan Striem-Amit, Cybereason has developed technologies for safeguarding endpoints such as PCs and mobile phones, an area in which it competes with Other Israeli companies SentinelOne (NYSE: S) and Crowdstrike (Nasdaq: CRWD).
The company has raised over $700 million to date including $275 million in its last financing round in July 2021 at a company valuation of more than $3 billion.
Earlier in 2022, Cybereason, which is backed by SoftBank’s Vision Fund 2 and Liberty Strategic Capital of former U.S. Treasury Secretary Steven Mnuchin, filed confidentially for a U.S. initial public offering that could value the company at $5 billion which was planned to the second half of the year.
It is possible that the window for IPOs has closed due to the market fall. It is possible that Cybereason is trying to decrease its cash outflows since it will not be able to go public in the near future.