Is Cynet profitable in 2026?

No public profitability figures exist. Cynet describes 2024 as its strongest year yet with net-new ARR doubling, and Q4 2025 brought record quarterly revenue, but no audited financials or profit disclosure has been published as of July 2026.

Has Cynet raised new funding recently?

No. Cynet's last priced round was a $40M Series C in March 2021, led by Greenfield Partners. As of July 2026, that round is over five years old with no new priced round announced, despite cumulative funding of roughly $78-90M.

Who is Cynet's biggest competitor?

Microsoft is the most structural threat, bundling Defender XDR into M365 SMB tiers at near-zero marginal cost. In the MSP-SMB niche specifically, Huntress and Arctic Wolf are cited as ahead of Cynet as of 2026.

Could AI replace Cynet's MDR analysts?

Cynet claims its CyAI engine autonomously remediates 90% of threats as of July 2026, but the company still bundles 24x7 human CyOps analysts for liability cover and complex incidents, positioning humans as a differentiator AI has not fully displaced.

Cynet is privately held and venture-backed, founded in 2015 in Tel Aviv by Eyal Gruner and Netanel Amar. Investors include Norwest Venture Partners, Deutsche Telekom/DTCP, Greenfield Partners, and Qualcomm Ventures. Jason Magee became CEO in February 2025.

What is Cynet's actual annual revenue?

Cynet has not disclosed an audited revenue figure. The company states 2024 net-new ARR doubled and Q4 2025 was its highest-revenue quarter ever, and CEO Jason Magee has spoken of targeting $50M to $100M ARR milestones as of June 2026.

Cybersecurity companies · Israel

Cynet

cynet.com ↗

Cynet sells an all-in-one XDR and MDR security platform mainly to MSPs protecting small businesses.

Losing its protection

Assessed 21 July 2026 · Evidence as of 21 July 2026

The structural protection is eroding.

On the recordSince 21 July 2026 · Checkable from 12-18 months · Every call on the record Checkpoint: Resolution of whether Cynet raises a new priced round or goes 5+ years without one

The call

Cynet has real MSP traction and strong test scores, but it is fighting Microsoft's free bundling and Huntress with 2021-vintage capital.

Cynet sells software that watches for cyberattacks and responds to threats, often working with service providers. It is not hard to copy because Microsoft gives Defender to almost every small business for free as part of Office 365, and other well-funded companies like CrowdStrike and Huntress are moving into the same market. The one thing that could change the picture is whether Cynet gets new funding soon, because it has not raised fresh money since 2021 and will need cash to compete while Microsoft keeps bundling security into cheaper packages.

Why

AI pressure: Frontier AI models automating tier-1 alert triage and summarization. AI can commodify the alert-triage work Cynet's MDR team does, though its own CyAI engine tries to absorb that shift first. Could AI do the core job? Only partly.

Bigger players: Microsoft Defender bundled into M365 SMB tiers. Microsoft gives Defender away inside M365 bundles, undercutting Cynet's exact small-business buyer on price. Could a giant copy it? Yes, easily.

What protects it. Deep MSP channel relationships and packaged all-in-one workflows that are annoying for partners to rip out.

What would change this call

Cynet announces a new priced funding round (Series D) within 12-18 months. Fresh capital to compete with better-funded rivals like CrowdStrike and Arctic Wolf.
Cynet discloses ARR figures above $100M with retention data. Confirms real scale and customer retention versus Huntress and Microsoft.
Reports emerge of MSPs switching from Cynet to Huntress or Microsoft Defender bundles. Would show direct customer loss to named competitors in its core channel.

Key numbers

Last priced round: $40M Series C (March 2021)
100/100/100 in 2025 MITRE ATT&CK evaluations (2025)
MSPs drove 64% of Q4 2025 deals (Q4 2025)

Named risks

No new priced funding round in over five years while capital-intensive rivals outspend Cynet. Severity: high
Microsoft's free Defender bundling into M365 SMB tiers commoditizes Cynet's exact target buyer. Severity: high
Revenue figures are wildly inconsistent across sources ($29M to $380M) with no audited financials. Severity: medium
CyAI's 90% autonomous remediation claim erodes Cynet's own human-MDR differentiator against AI-native rivals. Severity: medium
Loss of US MSP share to Huntress or Microsoft would signal eroding channel moat. Severity: medium

Rivals, as read in July 2026

Rival	Direction	Evidence
Microsoft	losing to	Defender XDR bundled into M365 SMB tiers at near-zero marginal cost, actively shipping as of 2026
Huntress	losing to	Cited as ahead in US MSP mindshare; Cynet joined Pax8 marketplace July 7, 2026 to compete for distribution
Arctic Wolf	losing to	Raised many multiples of Cynet's total funding, per CB Insights financial data as of 2026
CrowdStrike	contesting	Shipped Falcon Go for SMB via MSPs and partnered with Nord Security on SMB cybersecurity, Jan 2026
Palo Alto Networks (Cortex)	contesting	Cortex XDR moving downmarket into Cynet's SMB/MSP segment as of 2026

Questions people ask

Is Cynet profitable in 2026?: No public profitability figures exist. Cynet describes 2024 as its strongest year yet with net-new ARR doubling, and Q4 2025 brought record quarterly revenue, but no audited financials or profit disclosure has been published as of July 2026.
Has Cynet raised new funding recently?: No. Cynet's last priced round was a $40M Series C in March 2021, led by Greenfield Partners. As of July 2026, that round is over five years old with no new priced round announced, despite cumulative funding of roughly $78-90M.
Who is Cynet's biggest competitor?: Microsoft is the most structural threat, bundling Defender XDR into M365 SMB tiers at near-zero marginal cost. In the MSP-SMB niche specifically, Huntress and Arctic Wolf are cited as ahead of Cynet as of 2026.
Could AI replace Cynet's MDR analysts?: Cynet claims its CyAI engine autonomously remediates 90% of threats as of July 2026, but the company still bundles 24x7 human CyOps analysts for liability cover and complex incidents, positioning humans as a differentiator AI has not fully displaced.
Who owns Cynet?: Cynet is privately held and venture-backed, founded in 2015 in Tel Aviv by Eyal Gruner and Netanel Amar. Investors include Norwest Venture Partners, Deutsche Telekom/DTCP, Greenfield Partners, and Qualcomm Ventures. Jason Magee became CEO in February 2025.
What is Cynet's actual annual revenue?: Cynet has not disclosed an audited revenue figure. The company states 2024 net-new ARR doubled and Q4 2025 was its highest-revenue quarter ever, and CEO Jason Magee has spoken of targeting $50M to $100M ARR milestones as of June 2026.

Timeline

2026-07-15Cynet releases platform v4.33 with cross-site dashboard and enhanced SIEM capabilities
2026-07-09Cynet publishes 2026 Global AI Security Readiness Report surveying 1,600 MSPs
2026-07-07Cynet joins Pax8 marketplace to expand MSP distribution
2026-04-28Cynet launches self-improving CyAI engine with human-in-the-loop feedback loop
2026-04-09Cynet named Leader and Outperformer in 2026 GigaOm Radar for XDR
2025-Q4MSPs drive ~64% of global deals; Cynet posts record quarterly revenue
2025-02-05Jason Magee, former ConnectWise CEO, becomes Cynet CEO, replacing founder Eyal Gruner
2021-03-01Cynet closes $40M Series C, its last priced funding round to date
2020-06-28Cynet closes $18M Series B+ led by BlueRed Partners with Deutsche Telekom

Revision history

21 July 2026

First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.

In the same band

Seqrite Meiya Pico NSFOCUS