Data privacy startup Skyflow raises $30M in a Series B round led by Khosla Ventures, others

Data privacy startup Skyflow has raised $30 million in an extension of its Series B funding round led by Khosla Ventures, with participation from existing investors, including Mouro Capital, Foundation Capital, and Canvas Ventures. 

The funding underscores the growing market demand for advanced data protection mechanisms, especially in the realm of Large Language Models (LLMs) and AI technologies.

What does Skyflow do?

Founded by Anshu Sharma and Prashant Saha, Skyflow has emerged as a leader in providing data privacy vault services. These services are crucial for companies looking to safeguard their customers' sensitive information while still leveraging it for essential business operations like analytics and customer support.

Skyflow is powered by a proprietary technology called polymorphic encryption, which it claims is the only way of encrypting data on the market that makes it possible to protect data without sacrificing its usability for critical business operations, such as analytics, marketing, and customer support.

Skyflow's expansion and clients 

The startup claims to have witnessed a high adoption rate, supporting nearly a billion records of user data for clients such as GoodRx, Lenovo, and Hippocratic AI. It processes over two billion API calls every quarter, demonstrating its capability to efficiently handle large volumes of sensitive information. 

“We see an urgent need for companies to make privacy a core part of their technology stack as LLMs and AI hurdle forward, ingesting more and more personal data,” said Anshu Sharma, co-founder and CEO of Skyflow. “Skyflow is the only solution that allows companies to build privacy by design into their technological infrastructure without overhauling anything – anywhere in the world.”

Aiding companies in meeting stringent data localization

Skyflow's technology addresses the need for data privacy and aids companies in meeting stringent data localization requirements worldwide. The startup has expanded its data residency solutions to include China, adhering to the country's strict Personal Information Protection Law (PIPL) and Cybersecurity Law (CSL).

With a presence in over 150 countries, Skyflow's global network of data privacy vaults offers a comprehensive solution for businesses operating across various regions.

What did Vinod Khosla say about Skyflow?

The latest funding round is a strategic move to accelerate Skyflow's growth and enhance its offerings in the AI and LLM sectors. As companies increasingly rely on AI technologies, the importance of integrating privacy into their technology stack becomes paramount. 

“With the advent of enterprise applications powered by AI, the need for trust and privacy infrastructure is key to protecting sensitive data,” said Vinod Khosla, founder of Khosla Ventures. “Skyflow is rethinking how data can be managed and protected across any app, cloud or LLM, making it a company that will be vital for every enterprise business.”