• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechCybersecurity

Google Capital Leads $75 Million Investment in Phone Fraud Startup

Robert Hackett
By
Robert Hackett
Robert Hackett
Down Arrow Button Icon
Robert Hackett
By
Robert Hackett
Robert Hackett
Down Arrow Button Icon
January 28, 2016, 8:00 AM ET
Google Opens New Berlin Office
BERLIN, GERMANY - SEPTEMBER 26: A DJ plays music on September 26, 2012 at the official opening party of the Google offices in Berlin, Germany. Although the American company holds 95% of the German search engine market share and already has offices in Hamburg and Munich, its new offices on the prestigious Unter den Linden avenue are its first in the German capital. The Internet giant has been met with opposition in the country recently by the former president's wife, who has sued it based on search results for her name that she considers derogative. The European Commission has planned new data privacy regulations in a country where many residents opted in to have their homes pixeled out when the company introduced its Street View technology. (Photo by Adam Berry/Getty Images)Photograph by Adam Berry—Getty Images

Vijay Balasubramaniyan, CEO and co-founder of Pindrop Security, a startup that blocks phone fraud, tells Fortune there are three ways to rob an organization.

The first involves physically walking into a place with guns and threats. The second requires code-cracking and computer hacking skills. And the third, Balasubramaniyan says, entails duping some poor sap into giving up the goods.

It’s that third method that his Atlanta-based company aims to thwart.

Get Data Sheet, Fortune’s technology newsletter.

Balasubramaniyan founded Pindrop in 2011, as a voice security company that combats fraud by analyzing and assigning risk to phone calls. These are the kinds of questions it strives to answer: From where does this call originate? Is it a trusted number? Does the caller’s acoustic “fingerprint” check out? What kind of device or application is the caller using? Should the person’s attempt be blocked?

If, say, a U.S. consumer is connecting from Nigeria via Skype, using a suspicious phone number and speaking in an uncharacteristically adenoidal falsetto, Pindrop should raise a flag.

The company’s technology has most recently caught the attention of Google Capital (GOOG), which on Thursday announced that it has led a $75 million Series C round of funding. Returning investors include Andreessen Horowitz and Institutional Venture Partners. The latest injection brings the company’s total funding to $122 million.

Gene Frantz, a partner with Google Capital, says that his parent company is exceptionally interested in securing audio-enabled technologies. “Voice is, of course, a very significant area for Google,” he says, mentioning components of the company’s product lines, which includes Google Now and Google Glass.

Indeed, Google isn’t the only tech giant betting on the importance of sound in human-computer interaction. The list of rival virtual assistants grows longer by the day: Microsoft Cortana (MSFT), Facebook M (FB) , Amazon Alexa (AMZN), and Apple Siri (AAPL), to name a few.

For more on the rise of voice-enabled tech, watch:

Balasubramaniyan says he believes that voice anti-fraud represents a $20 billion opportunity—a figure bolstered by the present-day costs of call center agents. But Pindrop isn’t alone in trying to earn a share of those billions. Rivals include Nuance (NUAN), a speech software firm based in Burlington, Mass.

“From our perspective voice fraud is both a large and very expensive problem, largely unsolved by enterprises,” Frantz says. The investment marks Google Capital’s fourth cybersecurity investment. Earlier ones included in CrowdStrike, Zscaler, and CloudFlare.

Balasubramaniyan says he now plans to draw on Google’s engineering expertise, global businesses relationships, and financing to help his firm expand geographically. Notably, he’s eyeing the United Kingdom, where phone fraud rates exceed those in the U.S. by about fourfold, according to his company’s research.

Read more: “FBI rewrote PSA on credit card fraud after banks complained. Why?“

“This is because UK introduced EMV chips a long time ago,” a spokesperson wrote in an email to Fortune, referencing a payment card security measure—implemented only recently in the U.S.—that makes stealing data and creating counterfeit cards more difficult, and therefore phone fraud more attractive, for criminals.

“The weakest link is often the human,” Balasubramaniyan says. “And social engineering”—meaning plain old deceit and trickery—”is still one of the best ways for a fraudster to get through defenses.”

About the Author
Robert Hackett
By Robert Hackett
Instagram iconLinkedIn iconTwitter icon
See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

Torsten Slok, wearing a suit, speaks on a stage with a gold and black background.
AILabor
‘The gains will be substantial’: The AI shock is looking a lot like the China shock, and a top economist says that’s actually good news
By Sasha RogelbergMay 10, 2026
1 hour ago
Young man working on laptop with headphones in modern coffeeshop
Future of Workskills gap
AI generated identical résumés for a man and a woman: Hers was more likely to be labeled ‘weak,’ while his got a 97% approval rating
By Eleanor PringleMay 10, 2026
4 hours ago
UFO files show Buzz Aldrin saw a ‘sizeable’ object close to the moon and a ‘fairly bright light source’ that the Apollo 11 crew felt could be a laser
Innovationspace
UFO files show Buzz Aldrin saw a ‘sizeable’ object close to the moon and a ‘fairly bright light source’ that the Apollo 11 crew felt could be a laser
By Seung Min Kim, Collin Binkley and The Associated PressMay 9, 2026
21 hours ago
joaquin
Commentary250 Years of Innovation
Johnson & Johnson CEO: America’s innovation advantage starts with health 
By Joaquin DuatoMay 9, 2026
1 day ago
Qualcomm’s CEO is working with ‘pretty much all’ major AI players on top-secret devices—and powering OpenAI’s first push into hardware
AIQualcomm
Qualcomm’s CEO is working with ‘pretty much all’ major AI players on top-secret devices—and powering OpenAI’s first push into hardware
By Eva RoytburgMay 9, 2026
1 day ago
reed
CommentaryRetirement
Tim Cook and Reed Hastings just showed every CEO how to leave gracefully
By Paul HardartMay 9, 2026
1 day ago

Most Popular

'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
Future of Work
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
By Jake AngeloMay 9, 2026
22 hours ago
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
Politics
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
By Jason MaMay 9, 2026
18 hours ago
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
Success
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
By Orianna Rosa RoyleMay 9, 2026
23 hours ago
You're probably safe from the Hantavirus outbreak, but here's what you absolutely must not do, experts say
Politics
You're probably safe from the Hantavirus outbreak, but here's what you absolutely must not do, experts say
By Catherina GioinoMay 8, 2026
2 days ago
Companies are abandoning 'peanut butter' raises as pay-for-performance takes over the workplace in the AI era
Future of Work
Companies are abandoning 'peanut butter' raises as pay-for-performance takes over the workplace in the AI era
By Marco Quiroz-GutierrezMay 9, 2026
1 day ago
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
Magazine
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
By Sharon GoldmanMay 6, 2026
4 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.