GoKawiilUpwind raises $400M Series C at $3.8B after rejecting Datadog buyout
Cloud security startup Upwind closed a $400 million Series C led by Bessemer Venture Partners at a $3.8 billion valuation, with Greylock Partners and Craft Ventures also participating. The round nearly collapsed after Datadog offered to acquire Upwind but declined to pay above the valuation VCs had already set, prompting Upwind to stay independent instead.
GoKawiil's interpretation of the reporting above, not reported fact.
The deal suggests investors are pricing fast-growing cybersecurity startups at steep multiples, with Upwind valued at over 40 times its projected $90 million in annualized recurring revenue, though still below comparable peers like Cyera. Upwind's choice to reject Datadog's offer implies the company believes its long-term value exceeds what a strategic acquirer was willing to pay, though limited IPO activity in cybersecurity means a future sale could still be likely.
- Upwind raised $400M at a $3.8B valuation, up from $1.5B nine months earlier.
- Datadog reportedly tried to acquire Upwind but wouldn't exceed the VC-set valuation.
- Upwind's ARR is projected to reach about $90M this year, implying a 40x+ revenue multiple.
Source: techcrunch.com — Marina Temkin, 2026-10-28
Published there as: “Upwind raises $400M after walking away from Datadog acquisition offer”
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