Merak Capital has invested SAR 203 million, or about $54 million, in Riyadh-based cybersecurity firm DSShield, marking a significant DSShield investment. The investment highlights growing demand for advanced security services as organizations across Saudi Arabia expand their digital systems. Cloud adoption, automation, and large-scale digital programs are pushing both public and private sectors to strengthen cyber defenses.
DSShield plans to use the capital from this DSShield investment to expand its operations and scale its managed security services. The funding also supports the company’s efforts to grow its technical teams and develop proprietary cybersecurity technologies. The move reflects a wider trend in the region, where cybersecurity is becoming a core business priority rather than a support function.
Growing Cybersecurity Demand Across Saudi Arabia
Saudi Arabia’s cybersecurity market continues to grow at a steady pace. According to the National Cybersecurity Authority, the market reached SAR 15.2 billion in 2024, with annual growth of 14 percent. This expansion is driven by digital transformation initiatives across government agencies, energy companies, financial institutions, and industrial operators.
As systems become more connected, cyber risks now span digital platforms, physical infrastructure, and data environments. Organizations are seeking partners that can provide end-to-end security, from strategy and advisory services to continuous monitoring and response. Managed security services, in particular, are gaining traction as companies look for 24-hour protection without building large internal teams.
Saudi Arabia’s global ranking in cybersecurity competitiveness also reflects this momentum. In 2025, the Kingdom ranked first worldwide in the IMD World Competitiveness cybersecurity indicator. This standing has encouraged further DSShield investment and funding in local cybersecurity firms to support national and enterprise-level security needs.
DSShield’s Track Record and Service Scope
Founded in 2020, DSShield has grown rapidly within a short period. The company has delivered cybersecurity programs and projects valued at more than SAR 1.5 billion. Its work spans advisory services, system implementation, and round-the-clock managed security operations.
DSShield serves government entities, critical infrastructure operators, and organizations in regulated industries. These sectors require high levels of security assurance due to the sensitivity of their data and systems. By combining consulting expertise with operational services, DSShield positions itself as a long-term security partner rather than a one-time vendor.
The company has also expanded into operational technology environments, where industrial control systems and physical assets are increasingly connected to digital networks. Protecting these environments requires specialized skills and tools, as disruptions can affect safety and production, not just data.
Investment Focus and Future Expansion
Merak Capital’s DSShield investment is designed to support DSShield’s next phase of growth. A key focus is expanding security operations capacity to handle increasing demand for managed services. This includes scaling monitoring capabilities and improving response times as threat volumes rise.
The funding will also help DSShield strengthen its advisory and implementation teams. As cyber threats evolve, organizations need guidance on risk assessment, architecture design, and compliance planning. Building deeper expertise in these areas allows DSShield to support clients throughout their security lifecycle.
Another priority is accelerating the development of proprietary technology. Custom platforms and tools can improve detection accuracy, automation, and reporting. They also help differentiate services in a competitive market where clients expect measurable outcomes.
For entrepreneurs and business leaders, the deal highlights how cybersecurity has become a core investment area tied directly to operational resilience. The DSShield investment reflects confidence in long-term demand and the role of local firms in meeting complex cybersecurity needs.
