Security knowledge and analytics options supplier Rapid7 at the moment introduced its intent to amass DivvyCloud, a startup creating a cloud infrastructure automation platform, for about $145 million in money and inventory. The corporations count on the deal to shut throughout Q2 2020, topic to approval and shutting situations.
The acquisition — which comes two years after Rapid7’s preliminary public providing — is a spot of shiny information in a startup ecosystem that’s seen hundreds of companies lay off staff since March, owing to coronavirus headwinds. And it factors to the cybersecurity market’s power at a time when enterprises are experiencing a spike in malware campaigns utilizing coronavirus misinformation. Barracuda Networks reports that it noticed a 667% improve in phishing emails linked to the coronavirus throughout the month of March.
DivvyCloud, which is headquartered in Arlington, Virginia, has its origins within the infrastructure groups at Electronic Arts and its subsidiary BioWare Mythics. There, DivvyCloud CEO Brian Johnson and CTO Chris DeRamus managed over 5,000 servers throughout 5 completely different international locations with hundreds of thousands of paying subscribers. The two left EA in 2012 to develop a product that might present a consolidated view and framework for the forms of hybrid cloud environments they themselves oversaw.
DivvyCloud’s software-as-a-service (SaaS) platform gives real-time remediation with configurable bots and over 200 out-of-the-box guardrail insurance policies. It works throughout public clouds similar to Amazon Web Services, Google Cloud, and Azure and protects towards issues like insecure interfaces and APIs, misconfigurations, weak authentication, account hijacking, and knowledge breaches with a strong consumer and permission administration system, all whereas integrating with well-liked DevOps platforms like Splunk, ServiceNow, Jira, Slack, and PagerDuty.
As for Boston-based Rapid7, the corporate gives a variety of enterprise-focused cybersecurity providers together with vulnerability administration, consumer habits analytics, and phishing safety. It owns and maintains the Metasploit Project, a challenge that gives details about safety vulnerabilities and instruments for penetration testing, and it just lately refreshed Insight — its platform that analyzes over 50 billion occasions and hundreds of thousands of belongings each day — with new vulnerability administration and app safety testing merchandise.
Insight — which Rapid7 says is constructed on almost twenty years of analysis, a always increasing vulnerability and exploit database, Metasploit, and learnings from hundreds of penetration assessments and an in-house threat-hunting workforce — combines with predictive analytics and operates on buyer knowledge from community scans, logs, and endpoints through brokers and knowledge connectors. In this fashion, it’s capable of derive insights from the information, delivering steerage within the type of threat scores and alerts for incident detection, app safety, and IT optimization.
Insight’s InsightIDR providing finds attackers in hundreds of thousands of occasions and offers IT workforce members the flexibility to look endpoints and knowledge in actual time. InsightUBA helps to detect, examine, and cease threats with sensible assault detection and incident response instruments. Logentries centralizes logs and ingests knowledge to supply solutions to operations questions, whereas Nexpose accounts for vulnerabilities, controls, and configurations to identify sources of safety threat. And AppSpider dynamically assesses customized internet, cell, and cloud apps for vulnerabilities throughout environments.
DivvyCloud raised $29 million thus far previous to the acquisition from backers together with Providence Strategic Growth, MissionOG, and RTP Ventures, with the newest spherical — a $19 million collection B — closing in April 2019. In May 2019, Johnson informed VentureBeat that it had doubled its employees and shopper base from May 2018, bringing on clients like Discovery Communications, Sky, Mediacorp, Twilio, GE, Fannie Mae, Turner, Autodesk, Kroger, and Pizza Hut.
During its This fall 2019 earnings name, Rapid7 introduced 16% year-over-year shopper development and a 35% uptick in annualized recurring income (ARR) from 2018 to $338.7 million. At final rely, it had greater than 9,000 companies utilizing its product suite.
One factor’s for sure: There’s no scarcity of competitors within the cyberthreat detection and remediation area. Ironscales employs AI and machine studying to defeat organization-wide phishing assaults in actual time, and France- and Boston-based Vade just lately raised $79 million to additional develop its filtering stack that protects towards compromise, malware, and spam. There’s additionally Tessian, which makes use of machine studying for securing enterprise mail, and Valimail, which nabbed $45 million final yr to thwart e-mail phishing assaults. That’s to not point out ZeroFox — it novelly faucets AI to floor threats of violence and determine deepfake movies, or movies that take an individual in an present picture, audio recording, or video and exchange them with another person’s likeness utilizing AI.