Tel Aviv-based Ox Security, which improves software supply chain security, raised a $34M seed from Microsoft's M12 and others, and says it has 30+ customers
The rise in software supply chain attacks, like the SolarWinds hack, prompted last year's executive order from the Biden Administration …
Context & Ripple Effects
Ox Security is the latest entrant in a Tel Aviv cluster building around one threat: code and dependencies enterprises don't write themselves. The framing traces directly to SolarWinds and the Biden Administration's executive order on software supply chain security, which turned what was a niche concern into a procurement requirement.
The round also shows Microsoft's venture arm M12 doubling down on the category within weeks — it led Ox's seed here and then led Valence Security's $25M SaaS supply chain Series A a month later. The bet paid forward: by 2025 Ox had scaled to a $60M Series B, scanning over 100M lines per day across both AI- and human-written code.
First-order effects
- With $34M at seed stage and 30+ customers already signed, Ox can hire aggressively and expand its platform before most seed-stage security companies have found product-market fit.
Second-order effects
- Rivals in the same cluster — Oligo Security, which went on to raise successive rounds culminating in its own $50M Series B, and Valence — now compete for the same enterprise appsec budgets, pushing each toward broader platform claims rather than point tools.
Third-order effects
- If post-SolarWinds regulation keeps mandating software supply chain visibility, security spending shifts from perimeter tools toward verifying every dependency and line of code — the pattern this funding wave is an early instance of.
The trend: Software supply chain security is consolidating into a heavily funded Israeli startup category, with corporate VCs like M12 anchoring multiple competing platforms.