| Category | Details |
|---|---|
| How Daylight Security Started | Business Model of Daylight Security: Founded by Hagai Shapira and Eldad Rodich—veterans of Israel’s elite Unit 8200 intelligence unit. The Tel Aviv-based startup emerged from recognizing that cyber threats evolve faster than traditional Security Operations Center (SOC) and managed detection and response services can handle using human-centric operations. Developed Managed Agentic Security Services (MASS) featuring autonomous AI agents that perform continuous security monitoring, triage, context-aware investigation, and initial remediation while human analysts intervene only for higher-level decision-making. Secured $7 million seed funding followed by $33 million Series A just three months later—bringing total capital to $40 million in less than six months since emerging from stealth—demonstrating investor conviction in autonomous security operations replacing decades-old human-dependent models that struggle keeping pace with AI-driven attacks. |
| Present Condition of Daylight Security | Raised $33 million Series A led by Craft Ventures with participation from Bain Capital Ventures, Maple VC, and prominent cybersecurity founders including Assaf Rappaport (Wiz), founders from Torq, Cyera, Armis, and EON. Already serves dozens of enterprises across United States and Europe including The Motley Fool, Cresta, and McKinsey Investment Office. Platform deploys in under one hour and integrates with any cloud or on-premise environment, delivering white-glove expert security services customized to organizational needs. Technology already reduces false positives by up to 90% for enterprise customers while operating 24/7 detecting, analyzing, and containing threats in real time. Autonomous AI agents ingest data and detect complex cyberthreats in real time while relying on experienced human analysts for validation and action. System automatically handles investigation, containment, and regulatory notification enabling smaller providers matching tier-one service levels without proportionate headcount. |
| Future plans of Daylight Security and Industry | The global managed detection and response market valued at $4.19 billion in 2025 projects explosive growth to $11.30 billion by 2030 (21.95% CAGR). Asia Pacific projected Daylight Security expanding at 25.9% CAGR through 2030 on rapid digitization and escalating cyber-threat activity. Banking, financial services, and insurance captured 29.1% of MDR industry share in 2024, while healthcare and life sciences forecast 24.1% CAGR to 2030. Broader cybersecurity spending grows from $235.50 billion in 2025 to $423.43 billion by 2030 at 12.45% CAGR. Cyberattacks surged nearly 50% year-over-year while average breach costs exceed $4.45 million. Operational-technology breaches climbed 73% exposing manufacturing and energy assets. Traditional managed security services market exceeds $50 billion annually, representing massive opportunity for agent-native companies delivering step-function improvements in speed, accuracy, cost, and scalability. Positioned to accelerate U.S. expansion and launch new AI-driven modules for identity threat response and cloud workload protection as autonomous operations mature. |
| Opportunities for Young Entrepreneurs | Daylight Security is Agent-native platforms disrupting human-centric managed services create massive opportunities as cybersecurity skills shortages boost outsourcing demand. Approximately 70% of enterprises seek outsourced cybersecurity services reflecting rising preference for MDR solutions over traditional measures. Small and medium enterprises benefit from cyber-insurance premium credits and turnkey 24/7 monitoring overcoming internal skills shortages—SMEs now represent over 25% of MDR demand. European Union’s NIS2 Directive effective October 2024 obliges essential-service operators implementing rigorous risk management satisfied through third-party services, while U.S. critical-infrastructure reporting rules reinforce compliance tide repositioning MDR from optional safeguard to mandatory control. Security teams face rapidly growing cyberthreat landscape with bad actors increasingly using AI to become more adaptive and mimic legitimate user behavior, making them harder to detect with traditional security methods. Building autonomous platforms that reduce alert fatigue, false positives, and time to resolution solves key pain points where traditional SOC infrastructures struggle keeping pace with sophisticated volumetric AI-driven attacks. |
| Market Share of Daylight Security | Daylight Security is Operating in established MDR sector where traditional providers using human-centric models captured hundreds of millions in annual recurring revenue yet face disruption from autonomous approaches. North America represented 46.2% revenue share in 2024, driven by mature cybersecurity practices and growing reliance on managed solutions. Currently serving dozens of enterprises including McKinsey Investment Office validation demonstrating enterprise readiness. Established MDR providers emerged over decade ago leveraging static machine learning rules to filter security alerts and augment human SOC services, yet that model requires years honing integrations and algorithms while making sacrifices leading to low Net Promoter Scores across much of industry. First-mover advantage with Managed Agentic Security Services category creates defensibility as enterprises adopt autonomous operations before competitors establish similar capabilities. Unit 8200 pedigree and prominent cybersecurity founder backing provide credibility new entrants cannot easily overcome. |
| MOAT (Competitive Advantage) | Daylight Security‘s Founding team from Israeli Unit 8200 elite intelligence unit bringing world-class cybersecurity expertise competitors cannot replicate without similar pedigrees. Agentic platform delivering complete solution—agents performing continuous monitoring, triage, context-aware investigation, and initial remediation—versus competitors selling standalone tools requiring extensive integration. Technology reduces false positives up to 90% while deploying under one hour compared to weeks-long timelines traditional MDR requires. Autonomous AI agents learn from every investigation and act independently under analyst supervision, creating data advantages as system becomes smarter with usage. Platform integrates with any cloud or on-premise environment eliminating customer infrastructure dependencies. Enterprise validation serving McKinsey, The Motley Fool, and Cresta provides credibility and reference customers accelerating sales cycles. Prominent cybersecurity founder participation (Wiz, Torq, Cyera, Armis) creates network effects and partnership opportunities. Craft Ventures backing provides strategic advantage as investor backed SpaceX and demonstrates conviction in category-defining opportunities. |
| How Daylight Security Makes Money | Daylight Security works on Subscription-based managed detection and response services charging enterprises for 24/7 autonomous security monitoring and threat response. Revenue from platform deployments integrating with customer cloud and on-premise environments. Professional services supporting security posture assessments, compliance reporting, and incident response consulting. Future revenue from AI-driven modules for identity threat response and cloud workload protection expanding beyond core MDR offering. Tiered pricing based on organizational size, number of endpoints monitored, and service level agreements. Cyber-insurance premium credits create additional value proposition driving enterprise adoption. Revenue from small and medium enterprises seeking turnkey solutions overcoming internal skills shortages without capital expenditures building in-house SOC capabilities. International expansion opportunities as European NIS2 Directive and U.S. critical-infrastructure reporting rules mandate rigorous risk management satisfied through third-party MDR providers. Potential licensing of autonomous agent technology to cybersecurity vendors and managed service providers lacking internal AI capabilities. Upselling advanced threat hunting, forensics analysis, and executive briefings to enterprise customers requiring enhanced visibility and governance. |
I’m Araib Khan, an author at Startups Union, where I share insights on entrepreneurship, innovation, and business growth. This role helps me enhance my credibility, connect with professionals, and contribute to impactful ideas within the global startup ecosystem.
