Cybersecurity Venture Capital Investments Took a Stiff Dip in Q2 22

Q2 VC investment levels across the cybersecurity landscape slipped to $3.4 billion, a quarterly drop of nearly 40%, exceeding the 23% drop in the global venture ecosystem

Metacurity has been tracking venture investments in cybersecurity since January 1, 2018. Given the high publicity surrounding destructive cybersecurity incidents, cybersecurity venture capital funding deals started to ramp up beginning in Q4 2020 quickly. They took on a heated pace in Q4 2021, with a total deal volume reaching $8.3 billion, capping a year that experienced nearly $23 billion of investments in “pure play” cybersecurity companies, namely companies that counted some form of cybersecurity as their primary business.

But investments in the sector started to slip in Q1 22 to around $5.9 billion. According to our latest tally, Q2 22 VC investment levels across the cybersecurity landscape continued to drop to $3.4 billion, a quarterly decline of nearly 40%, exceeding the 23% drop in the global venture ecosystem as reported by CB Insights.