Everything is Connected, and Everything is Vulnerable
Investing in the future of digital security
This is the fifth in our series about Massive’s focus in 2025. To see more of our thoughts and follow along, please subscribe.
The digital and physical worlds are no longer separate. Our entire ecosystem is more connected than ever, and the need for security now underpins every function of modern society. Critical infrastructure, including power grids, financial systems, healthcare, global positioning, and communications data, now relies entirely on a digital infrastructure. These systems, once separate, are now inextricably linked – and vulnerable. A cyberattack on a power grid is not just an inconvenience; it is a potential humanitarian and economic disaster. If these systems fail from a breach or an attack, the consequences aren’t just technical—they’re human, economic, and geopolitical. As the attack surface expands, every sector is at risk.
In 2024 alone, over 3.5 million cybersecurity incidents caused over $9.5 trillion in damages, per CyberSecurity Ventures. These aren't just numbers; they represent real-world consequences for businesses, governments, and families. The Colonial Pipeline ransomware attack in 2021 was a wake-up call, but, unsurprisingly, major vulnerabilities still persist, ranging from unpatched software to social engineering and cloud-based AI attacks. As we continue to build a digital-first world, without concurrent investment in security, we’re building on sand.
“Global geopolitical instability has helped to close the perception gap between business and cyber leaders’ views on the importance of cyber-risk management, with 91% of all respondents believing that a far-reaching, catastrophic cyber event is at least somewhat likely in the next two years.” World Economic Forum Report 2023
Space, too, is the new frontier of vulnerability. With thousands of satellites in orbit for communication, navigation, and climate monitoring, the potential for disruption is immense. Between June 2022 and June 2023, approximately 150,000 GPS signal loss events were reported across approximately 5 million flight operations. The FAA reported this steep increase in the number of GPS interference events, which are examples of attempted jamming and spoofing of satellite systems, per this 2024 report.
And then there's hyperscale data generation. It’s the oil powering every industry, and it’s leaking everywhere. With over 328.77 million terabytes created daily, data breaches are a constant threat, costing each enterprise an average of $4.45 million in 2023. Protecting data isn't just good business; it's essential for global and industrial stability.
The Investment Landscape
At Massive, we take a holistic view of security, recognizing that a multi-layered, evolving strategy is necessary to counter constantly changing threats. The evolving threat quantum computing poses to encryption requires a forward-looking analysis of post-quantum technologies and where they stand against actual deployment. We need to understand their evolving state of readiness to identify key investment inflection points.
The cybersecurity market is dense, with over 3,200 companies in the US alone. Standing out requires true innovation and substantial early traction. 2024 saw a resurgence in cybersecurity investment, with $17.6 billion raised by September. This momentum needs to extend to other areas of security, protecting not just data but also communications, utilities, and energy infrastructure. Our approach to this market stays true to our core strategy of investing in industry-leading innovators with substantial early traction.
The Massive Focus
We're interested in companies at the forefront of security across multiple digital domains - companies that offer advanced, forward-looking solutions for securing critical data, communications, physical infrastructure, and transportation systems. We’re looking for companies that understand the evolving threat landscape and proactively leverage advanced technologies such as Quantum, AI, Automation, Agentic Intelligence, and self-learning that have reached a key inflection point in early growth.
A multi-layered and holistic approach is required to secure our “everything is connected” world, and we know that effectively securing critical systems is of existential importance. Great companies in this category will shape our future, strengthen us, and create substantial value in the process.
Key Portfolio Investments:
And others to be announced soon…