Dark Reading is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Attacks/Breaches

SecureWorks-VeriSign Deal Highlights Acquisition Trend In Security Services

As SecureWorks gets bigger faster, VeriSign pulls out of services business

SecureWorks today completed the purchase of VeriSign's managed security service business -- a move that typifies a continuing trend toward consolidation and specialization in the security services market, according to some experts.

The SecureWorks-VeriSign deal, which was first disclosed in May, is the company's second buyout of a fellow services provider in the past three years. While the financial details of the acquisition were not disclosed, SecureWorks says its post-merger client base is approximately 2,600 clients, including four of the Fortune 10. The merged organization will have about 500 employees, with a presence in about 50 countries and a run rate of about $100 million annually, officials say.

The deal is a microcosm of trends in the security services market, observers say. While providers such as SecureWorks are growing larger by acquiring smaller players, vendors such as VeriSign are downsizing by focusing their product lines and getting out of the services space.

SecureWorks, like other managed services providers, is focusing its efforts on the security services market, which is growing relatively rapidly in an economy that demands more predictable security costs. A recent study by Symantec indicates that 61 percent of enterprises are now outsourcing at least some of their security functions.

In an effort to capture more of the services market, many providers have been making acquisitions during the past few years, buying up smaller and niche providers. StillSecure in February acquired managed security services provider ProtectPoint; Symantec acquired email security services firm MessageLabs in October. The big telcos have also made strong security plays during the past few years, with BT's purchase of Counterpane, and Verizon's acquisition of Cybertrust.

And the trend will likely continue, analysts say. In a report issued in September, IDC predicted that the security services market will continue to see more merger and acquisition activity "as larger, more established integrators and vendors acquire security assets and leverage their existing channels to drive solutions to market."

Interestingly, VeriSign is taking the trend in the opposite direction, choosing to pull out of the managed services market as part of its effort to downsize and improve its focus and profitability.

"The sale of the managed security services business is another important step toward VeriSign's divestiture goals as we continue our focus on core Internet infrastructure businesses," says Jim Bidzos, executive chairman of the board and interim CEO of VeriSign.

Have a comment on this story? Please click "Discuss" below. If you'd like to contact Dark Reading's editors directly, send us a message. Tim Wilson is Editor in Chief and co-founder of Dark Reading.com, UBM Tech's online community for information security professionals. He is responsible for managing the site, assigning and editing content, and writing breaking news stories. Wilson has been recognized as one ... View Full Bio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Commentary
Ransomware Is Not the Problem
Adam Shostack, Consultant, Entrepreneur, Technologist, Game Designer,  6/9/2021
Edge-DRsplash-11-edge-ask-the-experts
How Can I Test the Security of My Home-Office Employees' Routers?
John Bock, Senior Research Scientist,  6/7/2021
News
New Ransomware Group Claiming Connection to REvil Gang Surfaces
Jai Vijayan, Contributing Writer,  6/10/2021
Register for Dark Reading Newsletters
White Papers
Video
Cartoon Contest
Current Issue
The State of Cybersecurity Incident Response
In this report learn how enterprises are building their incident response teams and processes, how they research potential compromises, how they respond to new breaches, and what tools and processes they use to remediate problems and improve their cyber defenses for the future.
Flash Poll
How Enterprises are Developing Secure Applications
How Enterprises are Developing Secure Applications
Recent breaches of third-party apps are driving many organizations to think harder about the security of their off-the-shelf software as they continue to move left in secure software development practices.
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2021-31494
PUBLISHED: 2021-06-15
This vulnerability allows remote attackers to execute arbitrary code on affected installations of OpenText Brava! Desktop 16.6.3.84. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists within th...
CVE-2021-31495
PUBLISHED: 2021-06-15
This vulnerability allows remote attackers to execute arbitrary code on affected installations of OpenText Brava! Desktop 16.6.3.84. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists within th...
CVE-2021-31496
PUBLISHED: 2021-06-15
This vulnerability allows remote attackers to execute arbitrary code on affected installations of OpenText Brava! Desktop 16.6.3.84. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists within th...
CVE-2021-31497
PUBLISHED: 2021-06-15
This vulnerability allows remote attackers to execute arbitrary code on affected installations of OpenText Brava! Desktop 16.6.3.84. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists within th...
CVE-2021-31498
PUBLISHED: 2021-06-15
This vulnerability allows remote attackers to disclose sensitive information on affected installations of OpenText Brava! Desktop 16.6.3.84. User interaction is required to exploit this vulnerability in that the target must visit a malicious page or open a malicious file. The specific flaw exists w...