Startup Plans to Sell Mobile Phone Packed With Tech -- for Around $20,000 The phone is aimed at executives who worry about getting hacked.

By Reuters

This story originally appeared on Reuters

Bloomberg | Getty Images

A British-Israeli startup plans to sell a mobile phone from next month that will offer users unprecedented levels of technology and security -- and retail for close to $20,000.

Sirin Labs AG said on Monday it had raised $72 million in private funds to launch the device, which would be aimed at executives. It plans to open its first store, in London's Mayfair, in May.

"(Our) smartphone ... brings the most advanced technology available -- even if it is not commercially available -- and combining it with almost military-grade security," said Sirin co-founder and president Moshe Hogeg.

The phone will be based on the Android operating system and run otherwise unspecified technology two to three years in advance of the mass market, he said.

Hogeg told Reuters the phone would sell for less than $20,000.

He believes thousands of executives in the United States and Europe will pay that sort of price, since the cost of being hacked could be more expensive in terms of information lost.

Hogeg put the value of the global luxury phone market at about $1.1 billion, a fraction of total mobile phone sales. Most top end phones sold are more for status -- regular phones with gold and diamonds.

Britain's Vertu sells phones in that category from $10,000 to $300,000, while Apple's iPhone 5 Black Diamond sold for $15.3 million.

Sirin's financing came from Israeli venture capital fund Singulariteam -- which Hogeg co-founded and included backing from Kazakh investor Kenges Rakishev -- and Chinese social networking company Renren.

The idea for the startup came about after Rakishev's phone was hacked in 2013. He asked Hogeg why he couldn't find a mobile phone that would ensure privacy and why new technology seen in tech shows and publications was not available in consumer devices.

"There were no good solutions that combined high-end technologies with maximum security," Hogeg said.

(By Steven Scheer; Editing by John Stonestreet)

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Career

What Is 'Task Masking'? Young Workers Retaliate Against Return-to-Office Mandates With a Viral Strategy.

Many professionals value the flexibility of remote work — and they're not reacting well to forced in-office returns.

Business News

Delta Offers Plane Crash Survivors $30,000 Each With 'No Strings Attached'

The payment does not stop the passengers from filing lawsuits.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Growing a Business

The Key to Better SEO Actually Comes From Your Customers — Here's How

Discover the difference user-generated content can make for SEO.

Thought Leaders

Are You Ready to Be a CEO, a Founder or Both? Here's How to Know

Every founder becomes a CEO, but not every CEO becomes a founder. There is a stark difference between the two. Here's how you know which one better suits you — or maybe you can be both.

Business News

UnitedHealthcare Offers Employees Voluntary Buyouts to Meet 'Evolving Needs'

The health insurance giant could resort to layoffs if it doesn't meet resignation quotas with buyouts.