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It is never easy to predict how a startup category would do during a recession.
However, if you had asked me a few months ago, I would have predicted that cybersecurity, like data observability, would be mostly recession-proof. However, I still lacked plans for generative AI and animal agriculture. — Anna
The results of the last quarter’s investments in cybersecurity are now available, and they are rather poor. Crunchbase reports that in the second quarter of the year, venture funding for cybersecurity businesses totaled just $1.6 billion.
This is the lowest amount this industry has raised in any quarter since Q4 2019, and it represents a 63% quarter-on-quarter reduction.