Israeli-based cybersecurity firm Sola has raised USD 35 million in a Series A funding round.
The initiative was led by S32 with participation from Microsoft’s M12, New Era Capital Partners, and existing backers such as Mike Moritz, S Capital, and Glilot Capital Partners. The move follows Sola’s seed funding in 2024, in which the company raised USD 30 million, bringing its total funding value to USD 65 million.
Customisable AI tools for fraud detection and prevention
As part of the deal, Sola signed a cooperation agreement with Microsoft, reflecting the giant tech firm’s mission to integrate AI security capabilities across its enterprise ecosystem. With tools like Security Copilot, an AI-powered virtual assistant that analyses security data and resolves threats for users, Microsoft aims to enable its clients to build custom security solutions rather than competing directly with specialised AI security vendors.
The move comes as there’s a critical skills shortage in the cybersecurity industry, where insufficient AI knowledge and gaps in personnel are significant challenges in offering effective defence against AI threats. Yet, the AI cybersecurity market is expanding, with projections showing a 24.4% compound annual growth rate from 2025 to 2030, reaching USD 93.75 billion.
This number reflects a shift in how organisations approach security, moving beyond traditional methods to AI-powered solutions that can adapt and respond to different threats. Sola’s tools for building custom AI security solutions address a significant issue, as 78% of CISOs report impacts from AI-driven threats.
The firm’s goal is to enable security teams to develop tailored solutions rather than offering a pre-built software, as it believes that one-size-fits-all approaches are insufficient for modern threat detection and prevention. With users building over 1000 AI applications since launch, Sola reflects strong market demand for customisable AI security tools.
