CyberRidge's EIC Accelerator Buries Data Under Optical Noise
The standard answer to quantum computers breaking today's encryption is better mathematics. CyberRidge's answer is physics. The Israeli company, founded in 2021, spreads an optical signal across a multi-terahertz bandwidth, manipulates its phase with a continuously changing optical key and then buries it below the noise floor of the fibre. An attacker who taps the cable records noise, so there is no ciphertext to store and decrypt later. CEO Dan Sadot puts it bluntly: "If no raw data exists, there's nothing to hack, today or years from now."
The EIC Accelerator selected the project, CyberRidge - Carmel, at its October 2024 cut-off for blended finance under the challenge for emerging quantum technology components, and CORDIS records a grant of €2,488,500. The grant agreement was signed on 10 April 2026 and the project runs from April 2026 to March 2028, making it one of the latest-starting awards from that cut-off. By then the company had already come out of stealth with $26 million raised.
Company file
- Legal entity
- CyberRidge Ltd, Azrieli Sarona Tower, 121 Derech Begin, Tel Aviv
- Founded
- 2021
- Leadership
- Prof Dan Sadot (founder and CEO), Dr Eyal Wohlgemuth (CTO)
- Investors
- Awz (seed lead), Arkin Capital, Redseed VC, Elron Ventures, EIC
- Product
- Carmel, a photonic layer security system that replaces the transmission line card
- Team
- 15 experts per the project; 20 staff in Tel Aviv and 15 freelancers in Switzerland per Globes
- EIC project
- CyberRidge - Carmel, agreement 101218274, April 2026 to March 2028
A fifth start-up out of Ben-Gurion
Dan Sadot ran the optical communications laboratory at Ben-Gurion University of the Negev for nearly 30 years, and CyberRidge is his fifth company, Globes reported when it came out of stealth: two of the earlier four closed and two were sold, including Banias Labs, co-founded with Avigdor Willenz, which sold for about $240 million. The hardware borrows short-pulse lasers from satellite synchronisation work, and in November 2025 the company announced a partnership with the Swiss femtosecond laser maker Menhir Photonics, whose pulses it describes as essential rather than merely useful: the receiver can only synchronise and recover the signal if the pulses are coherent across a very wide spectrum.
The record
From a Ben-Gurion optics lab to a $26M round
CyberRidge hides data under optical noise so that an intercepted signal cannot be recorded in the first place.
- 2021Company foundedDan Sadot, after nearly 30 years running the optical communications lab at Ben-Gurion University, founds his fifth start-up
- 2025Gartner Cool VendorNamed in Gartner's Cool Vendors in Data Security, 2025
- Oct 2025Out of stealth with $26MA $10M seed led by Awz plus a $16M extension from Arkin Capital, Redseed VC, Elron Ventures and the EU's EIC$26M
- Nov 2025Menhir Photonics partnershipSwiss femtosecond laser maker supplies the ultrashort pulses the scheme depends on
- Mar 2026SC Awards finalistThe Carmel platform is shortlisted for best emerging technology
- Apr 2026Carmel project startsTwo-year EIC project to bring Carmel to market for 100Gbps+ coherent links€2.49M
- Mar 2028Carmel project endsScheduled end of the EIC projectScheduled
CORDIS, Globes, SecurityWeek, CyberRidge website.
Field tests and one paying agency
The public evidence is deployments rather than published measurements. Telecom Italia tested the system over a 200km fibre network in its Turin laboratories, there is a 150km deployment in Singapore under the Singapore-Israel industrial R&D programme, one of the largest cloud providers is an unnamed user, and an Israeli security agency put it into an operational system and is described as the first major paying customer, according to Globes. SecurityWeek adds organisations in defence, intelligence and telecommunications in Europe, Australia and Singapore, all on the company's say-so. Gartner named CyberRidge a Cool Vendor in data security in 2025, and the Carmel platform was a finalist for best emerging technology at the 2026 SC Awards.
Revenue is not disclosed. The company's quoted customer testimonials are anonymous, from an "Israeli Defense Contractor" and from FiberCop, and no third-party security evaluation of the unrecordability claim has been published.
Reported field tests
Tested over fibre links of up to 200km
Field tests and deployments reported by the company; the Turin test was run in Telecom Italia's laboratories. The EIC project targets links of 80 to 100km at over 100Gbps.
Globes, 28 October 2025; CORDIS project summary. Link length in kilometres.
The plan
A plug-and-play line card that makes 100Gbps+ coherent optical links unrecordable, immune to harvest-now-decrypt-later attacks, on an optical encryption and quantum cryptography market the project puts at €9 billion.
The record so far
Field tests on carrier fibre, one paying agency customer, a Gartner mention and $26M raised; no disclosed revenue, no independent security assessment and an EIC project only six months old.
- Working system on carrier fibreTested200km at Telecom Italia, 150km in Singapore, per Globes.
- Paying customersOne reportedAn Israeli security agency; no revenue figure.
- Independent verification of unrecordabilityNot publishedClaims come from the company and its partners.
- Market launch under the EIC projectToo earlyProject started in April 2026 and runs to 2028.
Investors first, grant second
CyberRidge's $26 million came in two parts, both announced at the end of October 2025: a $10 million seed led by Awz and a $16 million extension from Arkin Capital, Redseed VC, Elron Ventures and the EU's EIC. The EIC's part is the grant now recorded in CORDIS, and the money was to take the hardware from prototype to full production. The company's accounts are not public.
The war in the region cost it business, Sadot told Globes: activity in Spain stopped, and NATO indicated cooperation would have to run through a European company, while Italy and the EU continued with demonstrations and grants. "It's not a walk in the park, but business continues," he said.
Funding
Private money is ten times the EU grant
The EIC contribution is part of the $16M extension announced in October 2025; the grant agreement itself was signed in April 2026.
SecurityWeek and Globes, October 2025; CORDIS. Values in millions of US dollars for the rounds and euros for the grant.
An Israeli company inside a European quantum programme
Israel is associated with Horizon Europe, so CyberRidge qualifies for EIC Accelerator money, and the award sits under the EIC's challenge on emerging quantum technology components rather than its open call. The practical European content is real: a Swiss laser supplier, a test bed in a large Italian carrier's laboratories, and the NATO procurement problem Sadot describes, which pushes a non-European vendor toward European partners. For the EU, funding a photonic alternative to post-quantum cryptography hedges a bet it is also placing on quantum key distribution.
Verdict
CyberRidge arrived at the EIC already funded, tested on carrier fibre and shortlisted by analysts, which is unusual for this cut-off. The grant agreement was only signed in April 2026, so there is nothing to judge the project by yet. The claims that matter, that the signal cannot be recorded at all and that the box drops into existing networks, still await independent assessment and a disclosed commercial customer base.
Sources
- CORDIS, CyberRidge - Carmel project fact sheet
- SecurityWeek, CyberRidge emerges from stealth with $26 million, 29 October 2025
- Globes, CyberRidge raises $26m to thwart the post-quantum threat, 28 October 2025
- CyberRidge, Menhir Photonics partnership, 25 November 2025
- CyberRidge, product and technology pages
- CyberRidge, news listing
Industry
Digital and computingCybersecurity
- Focus
- Data protection
- Technologies
- Photonics
- Lasers
- Keywords
- Post-quantum security
- Encryption
- Fibre networks
- Defence