$35M Fuels Lumos' Mission to Bridge the Gap Between IT and Security

By Greg Tavarez, TMCnet Editor  |  May 29, 2024

A key challenge in modern IT governance lies in the often-siloed operations of IT and security teams. While both departments share responsibility for managing applications and user access, their objectives can diverge.

CIOs prioritize efficiency and focus on solutions that streamline software spend and expedite employee access to necessary applications. This may involve purchasing multiple tools for software license management and self-service app provisioning.

On the other hand, CISOs prioritize security and compliance. They implement Identity Management solutions that ensure users only have the minimum access permissions required for their roles. These tools also facilitate regular access reviews, a crucial practice for meeting security standards like SOX and ISO 27001. This focus on granular control can sometimes lead to stricter access protocols, which may potentially slow down the onboarding process.

The siloed approach creates inefficiencies and security vulnerabilities. Disparate systems make it difficult to track application usage and user access privileges comprehensively. Conflicting priorities between the two departments lead to frustration and hinder overall productivity.

Enter Lumos.

Lumos, with revenue up ninefold since their last funding round, has attracted major clients like Pinterest, MongoDB and GitHub. Their secret? A unified platform that lets IT and security teams work together.

The platform streamlines app discovery and management that leads to three key benefits: automating IT tasks (thus reducing support tickets), strengthening defenses against security breaches (especially those exploiting identity access), and saving companies money on unused software licenses.

To further unify IT and security, Lumos announced its $35 million Series B financing led by Scale Venture Partners.

With the funding, Lumos continues to develop solutions such as its one-stop solution that tackles app and access headaches for IT and security teams. IT benefits from streamlined onboarding and offboarding, cost savings through unused license elimination, and a self-service app store for employee requests. Security teams leverage Lumos for compliance (SOX and ISO27001) with automated access reviews and temporary admin permission management.

Lumos also scales to complex enterprise needs and integrates with on-premise and cloud systems at a detailed permission level. The platform even utilizes AI to expedite implementation to save time and money.

“Building a unified platform that helps IT and Security teams manage both apps and identities in one place is long overdue. The need is evident in the recent growth of Lumos,” said Ariel Tseitlin, partner at Scale Venture Partners. “AI has the potential to enable the automated management of employee access, software spend and security needs, and the team at Lumos is well on its way to making that a reality.”

Lumos' success stories showcase its impact across governance, identity management, and cost savings.

For example, Roku launched a self-service app store for employees in just under three months to boost productivity and security. Chegg, an education company with 2,500 employees, automated access controls for over 100 applications to ensure SOX compliance and minimize access risks. Cybersecurity firm Secure Code Warrior eliminated unused licenses, identified hidden "shadow IT" applications and streamlined renewals, which led to a 15% reduction in software spending.

“We are enabling the trend toward centralizing CIO and CISO technology stack needs and providing clear ROI cross-functionally for our customers,” said Andrej Safundzic, CEO of Lumos. “Organizations are spending more on maintaining systems than for software itself in many cases. We’re committed to bringing app and identity management into one platform and making that platform as efficient as possible. That includes connecting both on-prem and cloud systems, as well as using AI to reduce the total cost of ownership.”

Andreessen Horowitz, Harpoon Ventures, Neo and others also participated in the funding round.

Edited by Alex Passett
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