CapitalG is thrilled to lead an investment in Verkada, the leader in physical security that is transforming how organizations protect their people and operationalize their places with an integrated, AI-powered platform.

The Modernization of the Physical World

Every company today wants to understand its environment better -- how people move through spaces, how buildings are used, and how operations can run safer and smarter. Yet much of the physical world remains offline, powered by aging infrastructure and disconnected systems that were never built for the cloud and AI era.

For decades, physical security and building systems have lagged behind their digital counterparts. Most enterprises still rely on legacy, fragmented, on-premise hardware: servers tucked away in closets, isolated camera networks, and outdated alarm systems that are expensive to maintain and difficult to integrate across sites. This isn’t a small challenge; the global physical security market, spanning video surveillance, access control, alarms, and environmental sensors, represents nearly $60 billion in annual spend, yet most of it still runs on outdated infrastructure.

Now, a new generation of cloud and AI technology is redefining what’s possible. AI has unlocked the ability to detect patterns, optimize operations, and enhance safety in ways that weren’t possible with legacy systems. The convergence of cloud migration, hardware modernization, and AI capability is creating one of the most meaningful enterprise shifts of the decade: the modernization of the physical world.

Verkada: Bringing Cloud and AI to the Physical World

Verkada was born from a simple but powerful idea: What if the physical world could be managed with the same speed, security, and intelligence as software?

Verkada began by modernizing video security, an industry long constrained by on-prem servers and brittle hardware. But Verkada’s breakthrough wasn’t just in the camera, but in the cloud-first platform behind it. That platform now connects cameras, access controls, sensors, intercoms, alarms, and workplace tools into a single, cohesive system that gives organizations complete visibility and control across their entire physical footprint.

Because Verkada owns the full hardware and software stack, everything works seamlessly together. Devices come online instantly, sites scale effortlessly, and updates roll out in real time. Whether it’s helping facilities run 24/7 without humans onsite, tracking shipping containers from facility to facility, or analyzing foot traffic in retail chains, Verkada simplifies physical operations with both consumer-grade simplicity and enterprise-grade reliability.

This foundation has enabled Verkada to move far beyond upgrading legacy systems. Their computer vision and analytics capabilities now turn real-world signals into actionable insights: how spaces are used, where inefficiencies emerge, and where risks need attention. Verkada isn’t just unifying physical security; it’s building the underlying infrastructure for operational intelligence.

From Cameras to Operational AI

Verkada has evolved from modernizing security cameras to powering a new and fast-growing category: operational AI.

This progression didn’t happen in a single leap. Rather, it’s the natural outcome of Verkada’s unified platform. With a network of cloud-connected devices capturing rich, real-world data, Verkada is already enabling companies to make smarter decisions across safety, logistics, compliance, and efficiency. Retailers use Verkada not only to prevent loss, but to detect fraud at the register and understand staffing patterns. Manufacturers use Verkada to flag safety risks or identify production bottlenecks before they escalate. Schools use Verkada to respond faster to incidents. Healthcare systems use Verkada to streamline patient flow and ensure compliance. In every case, the same infrastructure delivers a new class of operational intelligence.

This is operational AI in action. By connecting and interpreting physical data in real time, Verkada is giving organizations the ability to see, understand, and act on the world around them. As far more industries look to modernize their physical operations, Verkada is uniquely positioned as the foundation layer for this shift.

We’ve long admired Verkada’s relentless focus on execution and design. What began with cameras has evolved into a full suite that now spans access control, intercoms, air-quality sensors, alarms, and more, all built with the same uncompromising attention to usability, scalability, and security.

Behind Verkada’s growth is a team with deep conviction about where the world is headed; co-founders Filip Kaliszan, Hans Robertson, James Ren, and Ben Bercovitz bring together decades of experience in enterprise software, systems engineering, and infrastructure. Their shared vision is both ambitious and deeply practical: They aim to make the physical world smarter, safer, and more efficient through connected infrastructure. This mindset is a big part of why Verkada has become the platform of choice for thousands of organizations, and it’s why the company is so well positioned to lead the next era of operational intelligence.

At CapitalG, we’re thrilled to partner with the Verkada team as they continue to bring the full potential of cloud and AI to the physical world.