OneTrust has secured $300 million in Series C funding, bringing its valuation to $5.1 billion, the company announced on Monday (Dec. 21).
The round was led by TCV and joined by existing investors Insight Partners and Coatue. OneTrust has raised $710 million over the last 18 months.
OneTrust said some 7,500 organizations use its data security technology to comply with privacy, compliance, and security requirements around the world, including government regulations and institutional frameworks.
The company said demand for data privacy products is soaring, with Gartner estimating that around 65 percent of the world’s population will be covered by privacy regulations by 2023, up from 10 percent today. OneTrust noted that enhanced privacy regulations were just enacted in California and Brazil.
“There are hundreds of regulatory initiatives in the works emanating from all major countries. OneTrust has emerged as the runaway SaaS leader in the trust and privacy arena. OneTrust CEO Kabir Barday and his team have built the only truly global privacy platform allowing companies at any stage or size to own their privacy initiatives and remain compliant,” said Tim McAdam, general partner at TCV, in a statement.
Founded in 2016, OneTrust produces privacy management software, artificial intelligence (AI)-powered discovery and classification, data intelligence software, third-party risk exchange, integrated risk management software, ethics and compliance software, and consent and preference management software.
Data privacy is gaining more attention from consumers in multiple markets, including the European Union and the United States.
A study of U.S. consumers found that 87 percent feel data privacy should be considered a human right, for example. Many respondents are also wary of what businesses are doing with their information, with roughly 70 percent of consumers saying they don’t trust companies to sell their data ethically. Such trends are leading businesses and regulators to reconsider the country’s existing data privacy and security standards.
Data security is also being debated in the European Union. The region’s General Data Protection Regulation (GDPR) that governs online data collection and storage has been in place for approximately two years, but large companies are more frequently coming under regulatory scrutiny as consumers become more familiar with the rule.
