Security Startup 56 Secure To Raise Over $20 Million To Expand Beyond Bengaluru
The company provides subscription-based security services, beginning as low as Rs 500.
56 AI Technologies Pvt., also known as 56 Secure, plans to raise over $20 million in a second funding round to increase its security network beyond Bengaluru.
The connected security startup, which named itself after Bengaluru's pin code, provides subscription-based security services beginning as low as Rs 500.
The company has covered around 80 km of the Bengaluru area, with more than 10,000 clients, and hopes to cover the entire city by early next year and then move out to multiple cities.
"We raised $10.5 million in Series A funding from Venture Partners, RTP Global, I-Seed, Village Global, and angel investors in 2022," said Sacheth Kadam, co-founder of 56 Secure.
"Of that, we invested $2 million in the design and production of second-generation AI cameras, while the remainder will be used to expand the network in the city," Kadam said.
The company plans to move out of Bengaluru into multi-city locations, especially metro cities, starting next year, which will require the next round of funding. "We will need in excess of $20 million for expansion in other cities, and we are in talks with investors to raise the funds."
The company provides integrated surveillance systems backed by AI-based services, along with remote monitoring, edge AI cameras and optimised manpower deployment.
"Our differentiator is security that comes with physical guards and advanced AI cameras that are almost eyes-on-the-ground, even for those taking a Rs 500 subscription," Kadam said.
The company has guards that physically patrol the city and are equipped with apps for connected devices on their mobiles. "On every intervention, the guard in the area reaches the customer's location and gets notification in the form of sirens and alerts," Kadam said.
In the first batch, the company designed and produced around 5,000 cameras, and in the second batch, it will produce another 5,000, followed by 10,000 cameras.
The investment, in this regard, is a phased approach, involving an initial allocation for research and development, followed by production costs. The cameras are designed to remove redundancy in security solutions by adding capabilities such as facial recognition, automated sirens and intelligent detection, he said.
Currently, the company’s service market comprises 70% commercial and large enterprise customers, with the balance 30% being households and independent stores in various neighbourhoods of Bengaluru.
