PointFive raises $60 million Series B to help companies survive the AI cost explosion
Index Ventures, Salesforce Ventures and Accel back the ex-IntSights team building a platform to tackle exploding AI infrastructure spending.
PointFive, which develops a cloud and AI cost management platform, has raised $60 million in a Series B round, bringing its total funding to $96 million.
The round was led by Accel, with participation from Index Ventures, Salesforce Ventures, Entrée Capital, Perpetual Growth, Vesey Ventures, and Sheva Ventures. It also included backing from prominent investors who participated in earlier rounds, among them Mickey Boodaei (Transmit Security, Trusteer, Imperva); Guy Podjarny (Snyk, Tessl); Yasmin Lukatz (ICON); and Amiram Shachar (Spot, Upwind).
PointFive was founded in 2023 by Alon Arvatz (CEO), Gal Ben-David (CPO), and Amir Hozez (CTO), have been working together for over a decade. The Unit 8200 graduates previously built IntSights, a cybersecurity startup acquired by Rapid7 for $350 million in 2021
The company employs more than 100 people and operates from Tel Aviv, London, and the United States.
In a conversation with Calcalist, Arvatz described how the company has evolved since its founding: “We still focus on the cloud, but the real shift is happening around AI,” Arvatz said. “Organizations are not ready for the pace of AI adoption. We are seeing growth rates of hundreds of percent per year, and AI spending inside companies is increasing fivefold. This has become one of the most significant and unpredictable infrastructure cost challenges.”
He added that the shift in vendor pricing models is intensifying the pressure on enterprises.
“Vendors are moving from fixed subscriptions to consumption-based pricing, often measured in tokens, and as a result, invoices are rising sharply,” he said.
“We had to make a fundamental shift in the company to reallocate engineering resources and build a new team. Today we are AI-native from day one. Everything runs in the cloud, and we build using AI tools across the organization.”
Arvatz noted that recruiting AI talent has been one of the biggest challenges.
“The hardest part was hiring experienced AI researchers, because everyone is competing for the same talent,” he said.
He added that the broader shift in software is structural and permanent.
“As an entrepreneur, I’m genuinely excited again because the world has completely changed. The gap between SaaS and AI-native products is enormous. Everything I learned in the past is being rewritten. Customers now expect end-to-end solutions, not just tools.”
PointFive has already begun expanding beyond traditional SaaS boundaries.
“We now provide implementation services as part of the product experience. Two years ago, that would have been considered outside the category,” Arvatz said.
“We’ve moved from long-term contracts to consumption-based models. It’s a deep cultural shift, and it forces us to reinvent ourselves constantly.”
