Modelyo Secures $17 Mn to Expand Confidential Cloud Security for AI
Oct 23, 2026 | By Nguyen Minh

Israeli cybersecurity startup Modelyo has Secures approximately $17 million in a funding round led by US-based OlivTree, with participation from Seth Merrin, David Phelps and other investors. The company will use the funding to develop its confidential cloud security platform and expand its international operations.
Modelyo is developing technology that allows businesses and institutions to use cloud computing and artificial intelligence (AI) without giving cloud providers access to their sensitive data or encryption keys. The company aims to help organizations adopt AI while maintaining control over their information and digital infrastructure.
Modelyo Develops Confidential Cloud Platform
Modelyo’s platform, called Sovereign Confidential Cloud, is designed to protect data while it is stored, transferred and processed. It combines confidential computing, hardware-based encryption and a zero-trust security architecture to protect sensitive workloads running on third-party cloud infrastructure.
The platform also uses cryptographic verification to help customers verify that their computing environments meet security requirements. This approach aims to reduce reliance on cloud providers’ assurances and give organizations greater control over how their information is handled.
Funding to Support AI Security and Global Expansion
The company plans to invest in research and development, expand its encrypted managed services and improve support for AI systems and autonomous agents. It also aims to extend compatibility with graphics processing unit (GPU) infrastructure and simplify the deployment of its platform.
Modelyo’s technology is designed for organizations with strict security and data-control requirements, including governments, defense agencies, banks, healthcare providers, pharmaceutical companies and critical infrastructure operators.
As AI adoption increases, these organizations need ways to process sensitive information without exposing confidential business data, intellectual property or encryption keys to external service providers.
Modelyo’s Founders and Technology Partnerships
Modelyo was founded in 2024 by Benny Meir, Dr. Itzhak Aviv and Dr. Michael Kiperberg. Meir serves as the company’s co-founder and CEO and has experience in defense operations and technology development. Aviv has a background in defense communications, computing and encryption systems, while Kiperberg specializes in secure virtualization, computing infrastructure and encryption.
The company’s research and development is led by Artem Barger, whose experience includes virtualization technologies, Linux and IBM systems.
Modelyo operates in Israel and international markets, including the United States, Europe, South Korea, India and the United Arab Emirates. The company also reports collaborations with NVIDIA, Intel and Google on confidential computing technologies and secure cloud infrastructure.
About Modelyo

Founded in 2024, Modelyo is an Israeli cybersecurity startup developing confidential cloud technology for organizations that need to protect sensitive data while using cloud infrastructure and AI systems. Its platform is designed to help businesses retain control over their data and encryption keys while running workloads on third-party cloud environments.
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