This is a smart play. They are one of the
very rare consumer security products in the market and they have a lot of enterprise traction. Their average user lifetime will probably average a decade, and identity is an immensely sticky tech. Just as a channel to those users, they would be an asset to some megalithic platform (the way whatsapp was to facebook) who wanted to acquire users to sell other products into. I could see a defensive acquisition by one of them in the near term while it's still cheap.
I was lucky enough to have a brief exchange with their CEO on his recent customer interview tour, and my impression was his product view was enterprise focused, which made sense in the context of this raise now. My relatively cold read was he seemed laser focused on a kind of "do what we do really well," philosophical vision on their current product, which I think is a strong asset to secure their LTCV with current customers, and that will drive their valuation.
However, I get overexcited at the growth prospect because security products are never what anyone but security people actually want, and all the products in the identity space suffer from the same problem of being top down management frameworks with integration and federation as just something you say but never do. A consumer security product people actually choose for themselves and want their employers and services to integrate with because they already like the experience of it, is just infinite level growth potential in a market of slow moving dinosaurs. Okta's massive expansion in just the last decade established that the gerontocracy of enterprise behemoths was too slow footed to respond to an incursion into the very foundation of their market (user identity), and what impressed me about this raise is that I think a well capitalized startup with traction could absolutely sack it.