EdgeDefend
Series Seed Fundraise (€2.0M - €3.0M)

EdgeDefend Sentinel: Zero-Trust OT Security for NIS2 Compliance

Sub-2ms threat prevention and under 2-hour deployment for the European industrial mid-market. Plug-and-play protection for legacy Modbus, BACnet, and PROFIBUS environments.

< 2ms
Inline AI Blocking
Hailo-8L Edge Engine
< 2 Hours
Deployment Time
Zero downtime install
OpEx Leasing
Asset-Backed HaaS
30% Channel Margins
IEC 62443
Compliance Ready
Automated NIS2 audit

Market Reality

The Critical Security Gap in Legacy OT Networks

Industrial Control Systems (ICS) and SCADA networks rely on legacy protocols designed decades ago. They lack basic authentication, encryption, or command integrity checks.

Modbus (1979)

De facto standard for factory SCADA & ICs.

  • No authentication mechanisms
  • Lacks data integrity checks
  • Vulnerable to malicious override

BACnet (1995)

Standard for Building Automation Systems (BAS).

  • Transmits entirely in plain text
  • Weak or absent access control
  • Vulnerable to spoofing attacks

PROFIBUS

Dominant protocol in European manufacturing.

  • Massive installed base across EU
  • Zero native encryption
  • Urgent NIS2 compliance gap

Why Traditional Approaches Fail for the Mid-Market

Problem Typical Enterprise Approach The Flaw / Impact EdgeDefend Advantage
Legacy Protocol Flaws Passive IT Firewalls & VLANs Miss 78% of OT attacks Inline AI Command Validation (<2ms)
Regulatory Pressure (NIS2) Manual Audits & Consulting Costly errors, delays & regulatory fines Automated NIS2 Evidence Chain
Budget & CapEx Limits Full Equipment Rip-and-Replace €500k+ CapEx & massive downtime Asset-Backed OpEx Lease (<2h install)

Decentralized Zero-Trust Architecture

High-Speed, Integrator-Ready Edge AI

EdgeDefend Sentinel splits security processing to guarantee zero latency hit on physical operations while automating compliance across the plant.

PRIMARY ENGINE DIN-Rail Factory Floor

Sentinel Edge Node

EdgeDefend Sentinel Edge Node

Inline Protocol Gateway enforcing command validation and cryptographic signing locally at the edge.

  • Hailo-8L NPU: 26,000 AI checks/sec locally.
  • Dragonfly Cache: 4.2M ops/sec hot standby lookups.
  • Industrial Rating: -40°C to 85°C operating range at only 8W.
Target Cost: €400/node Offline Resilience Active
CONTROL ROOM HUB Centralized Controller

Sentinel Control Server

EdgeDefend Sentinel Control Server

Policy distribution, localized ML training, long-term forensic logging, and automated NIS2 compliance evidence.

  • Hardware Specs: Dell Edge / Apple Mac Studio M4 Ultra.
  • Compliance Engine: Auto-generates NIS2 & IEC 62443 reports.
  • Central Sync: Manages security posture for 25+ nodes.
Controller Unit: €4,199 22W Low-Power Draw

The On-Node AI Execution Pipeline

Interactive Command Decision Cycle running locally on Hailo-8L processor.

Total Latency: < 2.0ms
STAGE 01
Sanitization

CPython sandbox strips invalid function codes.

STAGE 02
BLAKE3 Hash

128-bit hash faster than SHA-3 for industrial loads.

STAGE 03
Dragonfly Cache

Sub-ms hot standby match for known-good traffic.

STAGE 04
Hailo AI Check

TFLite inspects out-of-bounds register access.

STAGE 05
Crypto Sign

X25519 & Ed25519 post-quantum ready signing.

[Stage 1 Details]: Protocol Sanitization uses Pymodbus within CPython sandboxing to intercept raw packets and immediately drop illegal function codes (e.g., 0x00) before deeper processing.

Market Positioning

Solving Mid-Market TCO & Deployment Friction

While enterprise platforms like Claroty target Tier-1 utilities with massive budgets, EdgeDefend captures the 99% of factories needing fast NIS2 compliance.

Differentiator EdgeDefend Sentinel Claroty / Nozomi Legacy Firewalls
Deployment Time Under 2 Hours Weeks to Months Days to Weeks
Threat Mitigation Active Inline Blocking (<2ms) Passive SPAN/TAP Monitoring Basic IP/Port Rules
AI Processing On-Node Hailo-8L (Zero Cloud) Heavy Central/Cloud Server No AI capabilities
Financial Model Asset-Backed OpEx Lease Heavy CapEx + High ARR CapEx Hardware Purchase
Post-Quantum Crypto Native (X25519 / Ed25519) Legacy PKI None

High-Margin Distribution

Asset-Backed Leasing Model (HaaS)

Replaces multi-year subscription delays with upfront cash realization via B2B Vendor Financing while giving customers pure OpEx flexibility.

01

Total Contract Value (TCV)

Standard Site: 25 Nodes + 1 Control Server over 24 Months.

Direct Hardware Cost:€14,199
Maintenance Service (2Y):€52,000
Net Sale:€66,199
30% Integrator Margin:€28,371
Final Financed TCV:€94,570
02

System Integrator Incentive

Channels prefer leasing because they collect their margin upfront.

  • 30% Margin (€28.3k) received immediately upon lease funding.
  • Integrator owns installation & local support.
  • Accelerates sales cycle with zero credit risk.
03

Emerging Markets Refurbishment

2-stage hardware lifecycle for maximum asset utilization.

  • Hardware returns to EdgeDefend post-lease for recertification.
  • Direct leasing to MEA & South America (~€2,400/mo).
  • Eliminates secondary grey market & extends asset lifetime.

Interactive Investment Tool

Revenue & Deployment Model Simulator

Adjust deployment volume to project Total Contract Value (TCV), ARR growth, and Gross Margins based on EdgeDefend unit economics.

Simulation Inputs

25
5 Sites 50 Sites 100 Sites
25
10 Nodes 25 Nodes 50 Nodes
24 Months
Hardware COGS Net: €0 (Financing Covered)
SI Channel Commission: 30% upfront
Unit Setup Fee: Included in Maint.

Projected Financial Output Real-Time Model

TOTAL CONTRACT VALUE (TCV)
€2,364,250
Across all deployed sites
ANNUAL RECURRING REVENUE (ARR)
€750,000
Recognized HaaS lease revenue
SI CHANNEL PAYOUT (30%)
€709,275
Immediate upfront payout
EDGEDEFEND NET PROFIT SHARE
€1,654,975
100% Gross Margin HaaS ARR
Based on Y1-Y3 Financial Plan Specifications

Leadership & Capital Requirements

Execution Team & Funding Roadmap

Lightweight, remote-first collective designed to de-risk Series A valuation through early compliance and channel validation.

FS

Frank Schulz

CEO / Co-Founder (The Navigator)

Vision, strategic partnerships, CVC relations & investor outreach.

CL

Claus Lohmar

CTO / Co-Founder (The Pathfinder)

Technology roadmap, MVP hardening & AI model optimization.

CURRENT OPEN TRANCHE
TRANCHE 1

€200K – €400K (Integrator CVC)

Dedicated to funding POC hardening, LOI outreach, and front-loading the IEC 62443 Certification pre-assessment audit.

  • 3 Signed Integrator Co-Investment Agreements
  • TÜV / IEC 62443 Pre-Assessment Commencement
  • Onboard Fractional Sales & Compliance Advisors
TRANCHE 2

€1.6M – €2.6M (VC Seed Round)

Initiates full inventory scaling, full certification submission, and expansion of full-time sales engineering capabilities.

  • Full IEC 62443 Certification (Target Q3 2026)
  • Scale to 50+ Site Deployments
  • ARR target €1.0M+ Run-Rate

Revised 9-Month Execution Sprint

MONTHS 0 - 3
Channel Kickoff

Outreach to 5-10 Strategic System Integrators. Onboard Head of Compliance Advisor.

MONTHS 3 - 9
Pre-Assessment & LOIs

Execute initial pilots. Complete IEC 62443 pre-assessment audit & secure 5 end-customer LOIs.

MONTHS 9 - 18
Inventory Scale

Close main Seed round (€2M+). Deploy inventory and achieve full certification.