Israeli intelligence vets raise $20M to track developer buying signals
Israeli Intelligence Vets Secure $20M to Track Dev Tool Buzz
It's a constant challenge: developers often dislike traditional marketing, yet they need to discover the right tools. So, where do they turn? Places like Hacker News, Reddit, and Stack Overflow are buzzing with discussions about development kits, with developers weighing the pros and cons of different tools. This kind of buying intent is exactly what Onfire, an Israeli startup, is aiming to help software vendors tap into.
Onfire essentially monitors online forums to see what tools developers are talking about. Then, using AI, they figure out which companies these developers work for and identify the key decision-makers. They even factor in data on budget cycles. The goal? To give B2B sales teams the information they need to make perfectly timed and relevant pitches. I think its a great idea, as long as their user data policies are transparent.
Now, Onfire is stepping out of stealth mode with a cool $20 million in funding! This includes a fresh $14 million Series A round, co-led by Grove Ventures and TLV Partners, both Israeli VC firms. IN Venture, part of Japan’s Sumitomo Corporation, and LeumiTech77 also joined in. It's like a global coalition backing this AI venture.
Like many Israeli startups, Onfire's leadership team – CEO Tal Peretz, CTO Shahar Shavit, and CPO Nitzan Hada – come from the Israel Defense Forces’ Unit 8200. This is an intelligence unit similar to the NSA.
Since launching their beta version 12 months ago, Onfire estimates they've driven over $50 million in closed deals for clients. Their early users include companies like ActiveFence, Aiven, Cyera, Port, and Spectro Cloud – all selling solutions in areas like data, cybersecurity, and financial operations. It seems they've found a sweet spot with companies targeting technical buyers.
I can't ignore the obvious question. Considering the founders' backgrounds in intelligence, the fact that Onfire is analyzing public data to pinpoint developers' employers might raise some eyebrows. However, Onfire frames it as a win-win. Their customers are happy, and prospects are too because they're getting pitches that are relevant to their needs and arrive at the right time. I guess it's all about context and timing!
Onfire believes their focus on data will give them an edge over competitors. While other AI tools promise to improve enterprise sales, Onfire argues that personalized outreach needs a solid foundation of data. According to Peretz, they started as a data-first company and then added the AI on top, which sets them apart. I agree with him - Data quality really matters!
Grove managing partner Lotan Levkowitz says Onfire is filling a gap they had already identified: software infrastructure companies aren't fully using AI in their go-to-market strategy. He believes the missing piece was the data. I think he is right! Many companies still have a lot to learn when it comes to adopting AI.
Onfire's emergence comes at a time when companies are realizing that product-led growth alone isn't enough for enterprise sales. Some experts believe a new data layer is needed to support go-to-market teams. The company plans to use its funding to hire in AI, R&D, and sales.
Source: TechCrunch