In this blog post, we show why cybersecurity is becoming a key challenge for the energy sector, how venture capital can help to overcome it, and how we at EnBW New Ventures are helping to shape our secure digital future.
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A New Reality: Energy Infrastructure in the Crosshairs
The energy grid is the central nervous system of our society. Without electricity, hospitals go dark, transport halts, and communication collapses. This systemic dependency makes the sector a primary target for increasingly sophisticated attackers:
• State actors and APTs (Advanced Persistent Threats) use cyberattacks as strategic weapons.
• Ransomware-as-a-Service allows even non-technical criminals to launch devastating attacks for profit.
• AI-supported tools are accelerating the detection and exploitation of vulnerabilities at machine speed.
In addition, 'traditional' threats such as DDoS attacks, social engineering, zero-day exploits, and malware infections continue to evolve and remain highly dangerous. The vulnerability of Critical Infrastructure (KRITIS) is particularly evident in the energy sector. According to the BSI State of IT Security in Germany 2024 report, the total number of reported security incidents across all KRITIS sectors rose from 490 in 2023 to 726 in 2024.
This high level of threat is further confirmed by recent quarterly data: From Q3 2024 to Q2 2025, the energy sector alone recorded 153 security incidents, making it one of the most targeted sectors alongside health and transport. With 308 operators and 514 critical plants in the German energy sector, the potential impact of such attacks is immense. These figures likely represent only the tip of the iceberg, as many smaller incidents currently fall below the mandatory reporting threshold. This underlines the urgent need for enhanced cyber resilience and specialized protection for vital infrastructures.
Why the Energy Transition Makes Cybersecurity Even More Urgent
The energy transition relies on digitalization. It is the only way to intelligently manage decentralized power generation, increase efficiency, and ensure flexibility. But this necessary transformation comes at a price: it fundamentally reshapes our risk profile:
• Smart grids, IoT devices, and decentralized assets are linking millions of new components.The convergence of IT and Operational Technology (OT) dissolves traditional security perimeters.
• Remote maintenance and decentralized work shift critical access points to the outside world.
👉 Digitalization is what enables the operation of modern energy systems in the first place. It increases efficiency, flexibility and sustainability and makes it possible to control decentralized power generation and consumption Intelligently at all.
As a result, the attack surface is growing rapidly. Now, attacks on a residential wallbox or on a single solar plant can theoretically impact the entire grid management system. The connected energy landscape as a whole is becoming a potential target.
Cybersecurity Is the Key to Energy Security
When we talk about energy security today, we are no longer just talking about security of supply in the traditional sense. After all, the digital resilience of grids and systems is becoming the key pillar of European energy sovereignty.
Geopolitical tensions and global uncertainties make a resilient, digital foundation absolutely essential. Startups can deliver crucial innovations for this: Anomaly detection, endpoint protection, AI-supported threat intelligence or secure network architectures.
Therefore, cybersecurity is not just a security matter, but also a strategic and geopolitical one.
Why Startups Should Also Prioritize Cybersecurity Now
Cybersecurity is not only relevant for large companies. Startups are also often attractive targets - and at the same time particularly vulnerable.
- Cybersecurity is increasingly a due diligence criteria for M&A and private equity investments.
- Those who act early create trust among customers, partners and investors.
- A stable security standard makes young companies more resilient and exit-proof.
- If a cybersecurity incident has already occurred, it is often too late to act, so prevention is essential.
As a VC, we pay particular attention to the cybersecurity strategy of startups when making new investments. After all, resilience is a competitive advantage.
The Venture Capital Approach – Why ENV Invests in the Cybersecurity Sector
The demand for cybersecurity solutions is growing rapidly - especially in the energy sector. The intersection of energy and IT will be one of the most dynamic fields of investment in the coming years.
ENV is specifically looking for startup teams and technologies that will help to strengthen the digital security of the energy supply:
- Hardening the Grid: Solutions that secure the convergence of OT and IT.
- AI & Automation: Early detection and rapid response capabilities to stay ahead of attackers.
- Decentralized Security: Scalable protection for distributed energy resources and IoT fleets.
What sets us apart: We not only provide support in the form of capital, but also bring in-depth industry knowledge, a strong network in the energy sector and experience from numerous digitalization projects. As a strategic partner, we actively support our portfolio companies in setting up their security architecture or support startups that develop new solutions and technologies to make the energy and mobility sector more secure and resilient.
What We Are Already Achieving Today
At ENV, cybersecurity is not just a trend, but a common practice. Several of our portfolio companies, such as Intigriti and Validaitor, are already contributing to a secure future.
Intigriti helps protect companies with bug bounty programs and penetration-testing services.
Validaitor enables the safe use of new AI technologies by testing AI systems for vulnerabilities, governance issues, ISO AI Standards and the EU AI Act.
AI diffuses everywhere within a Company in many business Processes and Use Cases. Maintaining the security of these AI Components and AI Assets is becoming more and more challenging and at the same time more and more critical.
So that is where AI Cybersecurity Companies, like Validaitor, come into play, to ensure that these AI Systems are reliable, they operate within the space where they are designed to and also, they are secure from attackers. At Validaitor it’s our mission to be a trust bridge between society and AI in order to maximize the net benefit of AI for all of us.
Our success factors: We prioritize cybersecurity, help build resilient infrastructures and recognize the importance of resilient infrastructure and systems for the electrified world of tomorrow.
Together Towards a Resilient Energy Future
The energy infrastructure of the future is digital, decentralized and networked. Cybersecurity is no longer a “nice-to-have”, but an fundamental part of public services.
Venture Capital plays a central role: through targeted investments, strategic advice and industry expertise, we help to build the necessary security shields for the energy transition.
ENV stands for this claim. We invest in the technologies that will secure Europe's energy security and electrified infrastructure in the long term and thus in a secure, climate-neutral future.
The energy transition is only as strong as its digital protection. Turning vision into reality requires not only innovation, but also resilience. Shields that secure our critical infrastructure and create trust in the digital and clean energy future. Together with courageous startup teams and pioneering technologies, we are helping to build these protective shields.
If this sounds like you, then get in touch with us!