AT&T’s recent large-scale customer data breach, affecting 74 million accounts, highlighted the vast amount of data carriers possess and its vulnerability to hacking. In response, Cape, a startup based in Washington, D.C., founded by a former Palantir executive, is securing $61 million in funding. Cape’s unique approach focuses on privacy by design, ensuring minimal collection of personal data like name, address, Social Security number, or location, thereby eliminating the risk of such data being leaked or sold.
The funding, despite Cape’s recent emergence from stealth mode and pending consumer service launch in June, underscores investor interest in its innovative approach. Cape’s CEO John Doyle, leveraging his extensive experience in national security and tech, aims to address growing concerns around data privacy and security for ordinary users. Cape’s initial focus will be on providing eSIMs in a prepaid format to users, ensuring a secure and private mobile experience. This initiative has already gained traction with a partnership with UScellular and ongoing discussions with other telcos.
While several companies have attempted to address privacy in the mobile space, Cape stands out with its comprehensive approach and focus on securing location and identity data, critical elements in today’s digital landscape. The investment from a16z reflects confidence in Cape’s ability to revolutionize telecom infrastructure and prioritize consumer privacy in an increasingly connected world.
