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The company was founded in 2007 by Or Offer in Tel Aviv, Israel. While trying to scale up a jewelry business, Offer built a web analytics tool that would help him learn about the competition, which led to SimilarWeb's development. By 2009, Similarweb won the first Israeli SeedCamp, attracting the attention of international media and investors. The company was described as a competitor to Alexa.
On February 24, 2014, Naspers invested $18 million into Similarweb and leading their Series C round. Within a month, Similarweb used a part of the capital for the acquisition of Israeli early-stage company TapDog for a few million dollars in shares and cash, less than a year after TapDog was founded.
In May 2021, Similarweb made its public debut on the NYSE at a $1.6 billion valuation.