Last week, another Container security startup when board came out Rapid 7 bought Alcide For $ 50 million. The purchase is part of a broader trend with large companies buying cloud-native security startups in a rapid clip. But why is there so much M & A action in this space?
Palo Alto Network was the first To punch, grabbing Twistlock for $ 410 million in May 2019. VMware hit a year later, Octane,. Cisco after portshift In october and Red Hat holds back StackRox Last week before the Rapid7 response last week.
This is partly because many companies chose to become more cloud-native during the epidemic. It has placed an intense focus on security, but it would be a mistake to introduce COVID-19 strictly as an acquisition wave, as companies were making pre-pandemic changes in this direction.
It is also important to note that security startups that cover a niche like container security often reach market saturation faster than companies with broader coverage, as customers often deal with fragmented sets of vendors rather than dealing with a single Want to consolidate on stage. Work them all together.
Containers provide a way to deliver software by breaking a large application into discovery pieces, known as microservices. These are packaged in containers and distributed. Kubernetes provides the orchestration layer, determining when to deliver the container and when to close it.
This level of automation presents a security challenge, ensuring that the containers are properly configured and not vulnerable to hackers. This is not easy with myriad switches, and is even more challenging by the containers’ own nature.
Yoav Leitersdorf, managing partner of YL Ventures, an Israeli investment firm specializing in security startups, says these challenges are driving interest in container startups from larger companies. “The acquisitions we’re seeing now are filling gaps in the portfolio of security capabilities offered by large companies,” he said.