Silent Circle is an encrypted communications company specializing in privacy services and software that has raised $50 million in a funding round.
The company, which specializes in privacy software services, including telephony apps that provide secure file sharing, messaging, and calling, was founded in 2012 in Geneva, Switzerland. In 2014, a partnership with hardware maker Geeksphone resulted in the creation of the Blackphone. Last year, Geeksphone was fully acquired by Silent Circle, which made the $800 Blackphone 2.
However, the products have had limited success, largely due to free and popular apps launched by Facebook-like services like Whatsapp, using end-to-end encryption technology. Additionally, TechCrunch reported on court documents revealing that the first iteration of the Blackphone failed to meet sales expectations, leaving Silent Circle with the only option to limit software features and operating expenses.
Additionally, Silent Circle had raised nearly $80 million in previous funding before the new $50 million infusion. The latest round of funding was led by Santander Bank, with the new capital used to expand product development, customer service, business development and marketing activities while also eliminating its debt.
Silent Circle co-founder and president Mike Janke said:
[The] announcement is an important milestone as we continue to set the bar high for what is required for secure mobile communications.
Our growth in new customers, combined with expanding our engagements with our existing enterprise and government customers, underscores the imperative for the Enterprise Privacy Platform and the critical business proposition it embodies.
