Manchester cybersecurity firm, Netacea, has raised a further £4m to tackle online fraud.
The cash comes from Mercia Asset Management, which is investing from its own funds and the first Northern Powerhouse Investment Fund (NPIF).
The fundraise will enable the company to further extend its AI roadmap, expand its product range and continue growth.
“The cost of online fraud is rising at an alarming rate and with the growth of e-commerce and adoption of offensive AI, is estimated to reach $7.95 trillion by 2027,” explained Mick Bradley, CEO of Netacea.
“Solving this problem is not only about stopping attacks, but also understanding the intent, planning and execution. Netacea’s industry-leading threat Intelligence, along with our AI-driven intent-based analytics tools, enables us to identify and stop significantly more bot attacks than traditional methods. This latest funding will enable us to accelerate product development and further extend our AI.”
Bots are responsible for over half of online fraud cases and advances in ‘offensive AI’ are making them more aggressive and harder to stop.
As well as detecting and preventing live attacks, Netacea stated that its fifth-generation AI-driven platform can also give forewarning of future attacks.
Netacea was established in 2022 as a spin-out from the Intechnica Holdings, an IT consulting business backed by Mercia and the first Northern Powerhouse Investment Fund. Following Intechnica’s sale to US-based Crosslake Technologies last year, Mercia and NPIF retained a stake in Netacea.
The company now employs around 60 staff.
“Netacea has become a thought leader in its field and Mercia is pleased to have been able to play a key role in its success, and that of Intechnica from which it arose. This investment will enable it to continue its growth. It also reinforces Mercia’s position as a leading cyber security investor,” added Angela Warner from Mercia.
“Our portfolio companies are addressing critical challenges across the security spectrum – from bot detection and threat intelligence to digital forensics and supply chain risk management. The sustained interest we are seeing in this sector validates our early conviction in these technologies, and we continue to actively evaluate opportunities in this space.”
