UPDATED 09:00 EST / MAY 29 2024

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Data privacy startup Zendata launches with $2M in funding

Zendata Inc., a new startup that provides data privacy software for enterprises, launched this morning with $2 million in seed funding.

The capital was provided by PayPal Ventures, First-hand Alliance, Geek Ventures and Altari Ventures. Zendata also disclosed that it has been accepted into an eight-week accelerator program run by Race Capital, an early Databricks Inc. investor. Participating startups receive access to $250,000 in funding, more than $400,000 worth of Google Cloud credits and access to a network of go-to-market professionals.

The company provides a suite of cloud services focused on making it easier for companies to comply with privacy regulations such as GDPR. Two of the five services in the bundle can be used to ensure an organization’s website manages visitors’ data responsibly. The suite’s three other applications are designed for related tasks such as ensuring application code doesn’t expose sensitive information.

Zendata’s first product, Website Scanner, can automatically analyze websites for privacy issues. It’s capable of detecting situations where a company collects data about visitors in a manner that may run afoul of privacy regulations. The software also spots more subtle compliance violations, such as cases where a website’s privacy policy doesn’t accurately describe its data collection and management mechanisms.

Under GDPR and other privacy regulations, websites are required to display a pop-up banner asking users for permission to install cookies on their devices. That banner must provide a list of the cookies that the website uses and their purpose. As part of its software suite, Zendata offers a tool that can automatically create this list to save manual work for a company’s developers.

The product bundle also includes two applications designed to ease the task of managing personally identifiable information. The first, Privacy Mapper, can automatically find such data in a company’s internal applications. The other application, which is called DSAR Management, allows a company’s customers to request the personal information it has collected about them.

Rounding out Zendata’s product suite is a tool called Code Scanner. According to the company, it allows software teams to automatically check newly written code for sensitive data before it’s released to production. After it detects an issue, the tool can generate suggestions on how to fix it.

“Our no-code data security and privacy compliance platform helps businesses of all sizes navigate the complexities of data privacy and data protection regulations by integrating privacy by design across the entire data lifecycle,” said Zendata co-founder and Chief Executive Officer Narayana Pappu.

Zendata will use its seed round to expand its product suite’s feature set and customer acquisition efforts. 

Image: TheDigitalArtist/Pixabay

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