Canada-based security startup Tailscale has secured approximately $160m (C$230m) in its Series C funding round led by venture capital firm Accel.
The round saw continued support from returning investors CRV, Insight Partners, Heavybit, and Uncork Capital.
Go deeper with GlobalData
Angel investors also participated, including CrowdStrike CEO George Kurtz and Anthony Casalena, CEO of Squarespace, who is a new backer.
In a blog post, the company said: “Even though we already had a long runway, we raised this Series C because we realised the world had started raining opportunities. We want to go faster where it matter.”
The latest round brings the company’s valuation to $1.5bn, according to a report by Bloomberg.
Founded to simplify the deployment of virtual private networks (VPNs), Tailscale provides secure remote access solutions for developers and corporate IT teams.
The company’s client base reportedly includes organisations such as Instacart and Duolingo, with more than 10,000 corporate customers using its service.
In May 2022, Tailscale raised $100m in its Series B round led by CRV and Insight Partners, reaching a $1bn valuation at that time.
Tailscale has secured a total of $275m in funding to date, Bloomberg’s report added.
Despite increasing geopolitical uncertainty in North American trade, co-founder and CEO Avery Pennarun said these tensions are unlikely to impact Tailscale’s operations.
Pennarun noted that the product enables connections across a range of internet-connected devices—including laptops, drones, and autonomous vehicles—facilitating secure communication between devices globally.
Accel partner Amit Kumar cited strong developer engagement as a key reason for the firm’s increased investment.
Pennarun also acknowledged external interest in acquiring the company but stated that Tailscale is not pursuing a sale at present.
