Upwind Secures $3.8 Billion Valuation After Rejecting Datadog Bid

The capital injection arrives just nine months after Upwind closed a $250 million round at a $1.5 billion valuation, underscoring its rapid trajectory. The company, founded by Amiram Shachar, is projected to reach $90 million in annualized recurring revenue by year-end. By declining Datadog’s offer—which reportedly failed to provide a premium over the current venture valuation—Shachar signaled confidence in the company’s long-term growth as a standalone entity.

Upwind’s valuation sits at roughly 40 times its forecast annual revenue, a significant multiple that trails the 80x benchmark recently set by peers like Cyera. While the startup remains a target for further acquisition interest, the decision to remain independent reflects broader expectations that cybersecurity will serve as the next major wave of enterprise AI spending. Shachar, who previously sold Spot.io to NetApp for $450 million, continues to push Upwind’s "runtime" security model, which monitors and remediates vulnerabilities in live cloud environments.