The spate of high profile cyberattacks have raised the awareness of cybersecurity to the board level and encouraged venture capitalists to pour money into this sector. In 2013 the industry received $1.7 billion of VC money across 240 deals, hitting a five-year high in both funding and number of deals, according to CB Insights. Today the cybersecurity landscape is comprised of nearly 500 companies, CB Insights says.

But many of these security tools are fragmented, and as a result it is often difficult to describe, categorize and compare various security tools given the numerous subcategories and new startups tackling one small part of the problem. In order to better understand this complex market and put into perspective the various solutions constantly coming to market, I would like to propose a framework we use at XSeed Capital to parse the market.

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