Another big acquisition out of Israel this week points to how bigger tech companies are using the economic slowdown to focus on their longer-term strategies and shore up assets to support that. Today Microsoft announced that it would be acquiring CyberX, a security startup that focuses specifically on detecting, stopping, and predicting security breaches on internet of things networks and the networks of large industrial organizations. Terms of the deal are not being disclosed — we’re asking still — but sources say that it’s in the region of $165 million.
“CyberX will complement the existing Azure IoT security capabilities, and extends to existing devices including those used in industrial IoT, Operational Technology and infrastructure scenarios” said Michal Braverman-Blumenstyk, CVP, CTO, Cloud + AI Security, and Sam George, CVP, Cloud + AI Azure IoT in a blog post. “With CyberX, customers can discover their existing IoT assets, and both manage and improve the security posture of those devices.”
Know more: CCNP Security Certification
The deal caps off months of speculation that Microsoft would acquire the company. The reports started back in February, then went quiet, and then started to reappear again in May. Between then and now, the rumoured price also went up to $165 million from $150 million, which may have meant that the delay in closing the deal hinged on the valuation (or simply went up as others started to look at the company).
Microsoft’s interest in the company touches on two key areas that the company has been working on building up over the last several years: IT services for large enterprises, and cybersecurity — specifically cybersecurity leveraging AI to identify and tackle next-generation challenges.