Venice: The Startup Aiming to Revolutionize Identity Management
In today’s digital landscape, the proliferation of non-human entities—such as chatbots, AI agents, and automated systems—has intensified the need for robust identity and access management (IAM) solutions. Addressing this challenge, Venice, a 35-person Israeli-American startup, has emerged from stealth mode, boldly claiming to replace established industry leaders like CyberArk and Okta within Fortune 500 companies.
Venice’s Emergence and Funding
Founded just over two years ago, Venice announced in December that it secured $20 million in Series A funding. The round was led by IVP, with participation from Index Ventures, which had previously led the company’s seed round. This substantial investment underscores the confidence investors have in Venice’s potential to disrupt the IAM sector.
A Comprehensive Approach to IAM
Unlike many competitors focusing solely on cloud-based environments, Venice has developed a platform that seamlessly integrates both cloud and on-premises systems. This dual approach addresses the complexities faced by large enterprises operating hybrid IT infrastructures. By consolidating various IAM tools into a unified system, Venice simplifies the management of privileged access across diverse platforms, catering to both human users and automated entities.
Leadership and Vision
At the helm of Venice is 31-year-old Rotem Lurie, whose background aligns with the archetype of a visionary entrepreneur. Born to programmer parents in Israel—her mother being one of the nation’s pioneering female software engineers—Lurie served as a lieutenant in Unit 8200, Israel’s elite intelligence corps. She later joined Microsoft as a product manager, contributing to the development of what would become Defender for Identity.
Lurie’s entrepreneurial journey continued as the first product hire at Axis Security, an access management startup acquired by Hewlett Packard Enterprise for $500 million in 2022. Prior to this acquisition, she briefly joined YL Ventures, a cybersecurity-focused venture firm, where she gained valuable insights into market strategies and problem-solving approaches.
Strategic Market Penetration
To challenge incumbents like CyberArk, Lurie recognized the necessity of a long-term strategy. This involved developing a comprehensive technology capable of supporting the intricate, hybrid IT environments prevalent among large enterprises. Venice’s platform consolidates approximately ten different IAM tools into a single system, streamlining the management of privileged access across on-premises servers, SaaS applications, and cloud infrastructures for both human and non-human entities.
A key differentiator for Venice is its emphasis on reducing implementation time. Traditional IAM solutions often require six months to two years for full deployment. In contrast, Venice leverages AI-powered automation to cut this timeframe to just one and a half weeks. This efficiency not only reduces costs associated with professional services but also enhances operational agility for clients.
Early Success and Client Adoption
Venice’s approach has resonated with major corporations. The company reports completely replacing legacy vendors at Fortune 500 and Fortune 1000 companies. While specific client names remain confidential, off-the-record disclosures include a 170-year-old publicly traded manufacturing giant and a global music conglomerate.
Investor Confidence
Cack Wilhelm, the partner at IVP who led Venice’s Series A funding, highlighted Lurie’s ambitious vision as a significant factor in their investment decision. Wilhelm noted that successful cybersecurity ventures often tackle substantial challenges from the outset, and Lurie’s approach aligns with this pattern.
The increasing prevalence of AI agents has amplified the urgency for advanced IAM solutions. Wilhelm emphasized the need for identity concepts to adapt to a dynamic environment where individuals may have multiple agents operating on their behalf. Implementing just-in-time permissions tailored to specific individuals and moments can mitigate risks associated with credential misuse.
Market Potential and Future Outlook
The IAM market is experiencing significant growth, with spending projected to exceed $24 billion in 2025, marking a 13% increase from the previous year, according to the Identity Management Institute. Venice’s innovative approach positions it to capitalize on this expanding market.
The company’s team is strategically divided between Israel, focusing on research and development, and North America, handling go-to-market operations. Notably, nearly half of Venice’s workforce comprises women, a rarity in the traditionally male-dominated cybersecurity sector.
Lurie’s co-founder, Or Vaknin, serves as the Chief Technology Officer. The company’s investors include Assaf Rappaport, co-founder and CEO of Wiz, and Raaz Herzberg, CMO at Wiz and Lurie’s former colleague from their Microsoft days.
A Commitment to Diversity and Inclusion
For Lurie, fostering a balanced team was not a calculated act but a natural outcome of her experiences. Having often been the only woman in the room, she understands the importance of representation. By creating an inclusive environment, Venice aims to attract diverse talent and inspire others to envision themselves in similar roles.
Conclusion
As Venice continues to gain traction and secure high-profile clients, the question remains whether its early successes and innovative approach will be sufficient to challenge deep-pocketed competitors. The IAM market is poised for potential consolidation, and Venice’s journey will be a compelling narrative to follow in the evolving cybersecurity landscape.
