September 30, 2022

Enterprise VPN provider Tailscale raises $100 million

Enterprise Virtual Private Network Provider Tailscale Inc. today announced that it has raised $100 million in new funding to expand product-driven growth and expand its go-to-market and strategic partnership initiatives.

CRV and Insight Partners led the Series B round, with Accel, Heavybit and Uncork Capital also participating. Including the new funding, Tailscale has raised $115 million to date, according to data from Crunchbase.

Founded in 2019 by former Googlers Avery Pennarun (who built Google Fiber), David Crashaw, David Carney and Brad Fitzpatrick (who built LiveJournal), Tailscale bills itself as offering a secure network that just works. Tailscale VPN requires no configuration and can be installed on any device in minutes. The service manages firewall rules and works from anywhere.

The company says there’s traditionally been a deep disconnect between connectivity, ease of use, and security best practices. Tailscale’s solution is meant to eliminate this tension by making private network connectivity fast, effortless, and seamless while allowing security teams to rest easy with end-to-end encryption, no single point of failure, virtually instant and no configuration.

Tailscale’s solution integrates with existing identity services, including Google Workspace, Microsoft 365, and Okta, for seamless authentication. The service provides zero trust for Secure Access Service Edge, Identity and Access Management, and Privileged Access Management. The service also integrates with cloud-native tools that developers depend on, such as Syncthing, VScode, and Caddy Server, and offers remote development integrations with GitPod, Coder, Materialize, GitHub Codespaces, and Indent.

The three-year-old company claims 1,200% year-over-year growth and maintains at least 20% quarter-over-quarter growth in monthly active users, though that it has not published precise figures. Notable clients include Tock Inc., 0xide Computer Co., ISX Financial EU Plc, Dusty Robotics Inc., VeraBank NA and The Cobalt Co.

“Protecting access to critical devices, networks, and systems is organizations’ first wall of defense against malicious actors, but ensuring that level of security without hampering development teams remains a bottleneck for so many organizations. “, Reid Christian, general partner at CRV, said in a statement. “Tailscale eliminates this bottleneck for every developer, on every device and every app, making it easier to enforce granular access controls while keeping security teams compliant.”

Photo: Tailscale

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