# Varonis Systems

Varonis Systems, Inc. is a software company based in New York City with R&D offices in Herzliya, Israel. They developed a security software platform that allows organizations to manage and protect unstructured data. Varonis performs User Behavior Analytics (UBA) that identify abnormal behavior from cyberattacks. Their software extracts metadata from an enterprise's IT infrastructure and uses this information to map relationships among employees, data objects, content, and usage.

## History

Varonis Systems was founded in 2005 by Yaki Faitelson and Ohad Korkus, in order to address security issues such as file activity tracking, information rights management, and access control. Prior to Varonis, Faitelson and Korkus worked at the global professional services and systems integration divisions of NetVision and NetApp.
Faitelson and Korkus invented a solution that would retrieve metadata contained in file systems. They brought in Dr. Jacob Goldberger, an expert in statistical modeling and machine learning, to help develop the algorithms that would provide the user-data link. In 2005, Faitelson, Goldberger, and Korkus filed a patent, “Automatic management of storage access control", which was granted in 2006. The result of their work was the Intelligent Data Use (IDU) classification platform, a platform for gathering and analyzing file data use. The first product based on this platform, DatAdvantage, was released in 2006 – built so that enterprises can monitor file activity and user behavior, and manage data ownership, data access rights, and responsibilities of file system data.
Varonis continued with core platform development. In 2009, Varonis added the IDU Classification Framework, which allowed Varonis products to search for keywords, phrases and patterns from file content. In 2013, Varonis released DatAlert to detect and uncover insider threats and potential data breaches, notifying and alerting on suspicious file system activity including unusual access to sensitive data and changes to permissions and configuration files.
Varonis raised capital from Accel Partners, Evergreen Venture Partners, Pitango Venture Capital, and EMC.
In February 2019, the company announced its model would shift from a perpetual license model to a subscription model. The stock fell 22% after the announcement. In 2021, Varonis Systems announced it’s expanding its operations and doubling its workforce in Cork.
In January 2025 the Calcalist reported Varonis was in advanced negotiations to acquire cyber startup Apex Security, whose investors include Sam Altman, founder and CEO of OpenAI, as well as the venture capital funds Sequoia and Index.The value of the deal was estimated at $30–40 million.

## Technology and Architecture

The Varonis Metadata Framework is implemented at two levels. Non-intrusive monitoring resides on file servers, feeding both real-time file event information and ACLs to a separate server. The collected data is stored in a database. The second part, the IDU analytics engine, performs statistical analysis to derive data owners, baseline user activity, and user groupings. The Metadata Framework is able to incrementally index file metadata, thereby allowing it to maintain the current state of file metadata in its database. DatAdvantage presents this information to IT administrators.