Mobile networks remain the main target of cybersecurity violations, and the persistent attacks on multiple carriers of Chinese hacking group Salt Typhoon are just the latest known examples.
Mobile carrier startup capes are taking new approaches to addressing problems. It built a service that says it can provide a safer, private alternative because it doesn’t collect any data about you at all. Even that website doesn’t have a cookie gate. On Wednesday, Cape announced some major developments in its efforts.
The Washington, D.C.-based company was founded by former head of Palantir’s national security business, who previously worked for the US Army Special Forces, but is releasing an open beta version of the MVNO (Mobile Virtual Network Operator) mobile service. Ink has partnered with Proton, a provider of encrypted email, VPNs and cloud services. And it raised another $30 million in equity and debt financing.
The $30 million is categorized as it has $15 million in stocks attached to A*, Costanoa, Point72 and XYZ Ventures Series B. Another $15 million comes from Silicon Valley Bank in the form of debt facilities. This brought Series B stock to $55 million, with the original $40 million in April 2024 being announced by Andreesen Horowitz.
Although Cape does not disclose its assessment, it is worth noting that funds are reaching when startups are building military, defense and security services, while geopolitics is increasing focus and prioritizing as they are changing.
While many of these shifts have been unfolding at a much higher level, including war, spying on officers and officials, and key contacts between large industrial organizations, Cape’s products and its growth are one rare example of how some of its evolution is being played at the consumer level.
That’s not to say that all of the Cape products are for everyday people. The new plan emerged from Stealth last year with $61 million in funding and launched a $1,500 phone called Obscura. “People facing a rising threat” in the company’s words. In January 2025, Cape made its first move to launch a consumer service. All open slots in that closed beta were filled in 4 hours.
“We will regain control over our digital identity that has a lot of interest from the wider consumer market, people with a general desire to regain privacy, people who don’t want to invest in digital networks that don’t want to connect to the global network,” said John Doyle, CEO who co-founded the company with R&D head Nicholas Espinoza, who co-founded the company with R&D head Nicholas Espinoza, and who said “restore control of our digital identity that doesn’t want to invest in digital networks that don’t want to connect to the global network,” Beta.
In addition to his commitment to not track or sell data, the plan includes unlimited audio, text and data (but there is no audio over Wi-Fi yet, Doyle is still here.
As part of that plan, Cape also provides protection against the threat of two other emerging cells. The first of these is protection from SIM swapping to prevent someone from hijacking your number using encryption protection.
It also provides what is described as “advanced signal protection” related to side-channel attacks through the telephony signaling protocol signaling system. Tracking via SS7 has been a known issue for many years, but in December 2024 it was highlighted by the US government as a specific issue of sensitive calls, text, and data.
Doyle added that general availability of phone plans will take place later this year. The closed beta version has fewer than 1,000 users.
Cape’s services are fixed to Uscellular, and the plan is to introduce roaming services to users to expand to other countries and implement MNVO-based plans in other countries.
Europe has proven to be a big market for privacy-first services, offering an alternative to engagement in big technology. This led to apps like a signal climbing to the top of at least one European market app store. It could present an interesting and addressable market for startups like Cape.
The Cape is leaning towards its European tastes in a different way in the interim for privacy. Just as mainstream carriers prefer to link with marketing partnerships and promote more sign-ups through Buzzy Consumer Services, one recent example is T-Mobile inked partnership with the “AI phone” baffling. The Door first is a contract with Switzerland-based Proton, which encourages signing up for the latter company’s premium offering. Those signing up for the Cape can pay $1 for a phone plan that costs $99 per month and add a six-month Proton unlimited plan.
“We’ve done a very rigorous investigation into this area. I think Proton is a clear leader in terms of reliability and how far their technology has progressed, and how they are approaching (privacy) issues,” Doyle said. He described the offer as the “first version” of the partnership between the two companies.