Startup profile for Material Security: latest funding, latest known valuation, total disclosed funding, investors, status, sources, and why the company is interesting. Part of the Venture Capital Tracker startup directory.

Startup profile · funding coverage

Material Security funding, valuation and investors

Cloud email security — account takeover protection and data loss prevention for Google and Microsoft.

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Funding, valuation & investors

Answer-first snapshot

Latest funding

Series C

$100M · May 2022

Latest known valuation

$1.1B

Series C · May 2022

Total disclosed equity funding

$100M

Excludes debt, grants, acquisitions, secondaries, and IPO proceeds.

Current status

private

growth · San Francisco, California

Investors in latest funding

Lead: Founders Fund

Other: Andreessen Horowitz

Sources: latest funding Last verified: 2026-07-25

Overview

Material Security is a cloud email security company protecting organizations using Google Workspace and Microsoft 365 from account takeover, business email compromise (BEC), and data exfiltration. Founded by former Google and Facebook security engineers, Material raised seed funding led by Andreessen Horowitz in June 2020, followed by a $100M Series C in May 2022 at a $1.1B valuation led by Founders Fund with a16z returning.

Why Material Security is interesting

Material Security treats cloud email as the enterprise crown jewel — a16z led seed (2020) and joined Founders Fund's $100M Series C at $1.1B (2022) as BEC and inbox compromise became primary breach vector.

Product & use cases

Material Security monitors cloud email and file activity for signs of compromise — impossible travel, suspicious forwarding rules, OAuth app abuse, and sensitive data exfiltration — with automated remediation workflows.

  • Detecting BEC attacks and compromised executive email accounts
  • Finding malicious OAuth apps granted access to corporate Google/Microsoft accounts
  • Automating response to suspicious inbox rules forwarding mail externally

Key facts

  • Series C (May 2022): $100M at $1.1B led by Founders Fund; a16z participated
  • Seed (Jun 2020): led by a16z
  • Cloud email security for Google Workspace and Microsoft 365
  • Founded by ex-Google/Facebook security engineers

Funding history (newest first)

Investors in our directory

Funds linked from Material Security's profile — open a fund page for stage focus and related deal articles.

Competitive landscape

Edge: Material focuses exclusively on cloud email security post-O365/Google migration — deeper than generic CASB tools and faster to deploy than legacy SEG appliances designed for on-prem Exchange.

Email remains #1 breach vector. Material's unicorn Series C validated cloud-email security as standalone category — but Microsoft bundling and Abnormal competition keep the market contested.

  • Microsoft Defender for Office 365 incumbent

    Bundled email security in M365 E5; Material competes as specialized cloud-native layer.

  • Abnormal Security direct

    AI email security for BEC; closest competitor in cloud email threat detection.

  • Proofpoint / Mimecast incumbent

    Legacy email security gateways adapting to cloud; Material's cloud-native architecture.

Notable stories

  • Material's founders saw enterprises migrate to cloud email but keep security tools designed for on-prem Exchange — creating a gap BEC attackers exploited via forwarding rules and OAuth tokens.
  • Reaching $1.1B valuation in under three years from seed reflected peak 2022 cybersecurity funding and email's persistent role as attack entry point.

Industries

Cybersecurity Enterprise SaaS

FAQs about Material Security

Practical answers founders, operators, and investors typically search for.

Material protects cloud email (Google Workspace, Microsoft 365) from account takeover, BEC, and data exfiltration with automated detection and response.
Andreessen Horowitz (/fund/andreessen-horowitz) led the seed (2020). Founders Fund (/fund/founders-fund) led the $100M Series C at $1.1B (2022) with a16z re-upping.
Both focus on cloud email threat detection. Material emphasizes account takeover and OAuth abuse; Abnormal leads with AI behavioral analysis for BEC.
$1.1B at the May 2022 Series C.
Material adds a specialized cloud email security layer; many customers run it alongside native M365/Google protections.
May 2022 — $100M at $1.1B valuation.
Growth stage post-Series C unicorn round.
No public profitability disclosure.
Most breaches start via email compromise; cloud migration moved inboxes off legacy SEG appliances that miss OAuth and forwarding-rule attacks.
Founded by former Google and Facebook security engineers; see material.security for leadership details.

By Venture Capital Tracker

Last updated:

Editorial note: AI tools assisted with research, structure, or drafting. Venture Capital Tracker retains human editorial responsibility for factual accuracy, relevance, and source quality before publication.