Cybersecurity has always been a business issue not just an IT issue and the digitization of business acceleration due to the pandemic brought that to the forefront. Couple that with the plethora of cybersecurity companies from which a business can choose from, it is no surprise that mergers & acquisitions in this sector have grown.
In June, it was reported that private equity investments were down. But even that slight decline wasn’t enough to really slow down the market as M&A deals remained strong. In following activity up to March 2022, S&P Global Market Intelligence estimated that the median value of such activity was around $97 million. Leading this trend were events like Google’s large-scale purchase of Mandiant. Despite other concerns, including inflation, the interest still clearly remains.
A new analysis conducted by Security Week, the cybersecurity news and information outlet, looks even further into cybersecurity-related mergers and acquisitions in 2022. The report concludes that the total number in 2022 is likely to exceed the number recorded in 2021. Security Week tracked 234 M&As in the first half of 2022. Considering that rate, 2022 is expected to outpace the 435 confirmed in 2021. Of those deals, the most occurred in the United States. The United Kingdom, Canada, Germany and Australia followed. Expertise leaders included MSSPs and solution providers to governance, risk management and compliance.
While M&As serve as a source of growth for cybersecurity, so do certain industries. One of which is the travel industry. GlobalData recently summarized that travel and tourism will garner cybersecurity $2.1 billion in revenue in 2025. That is an increase over the $1.4 billion earned in 2021. Companies within the field have also been investing in hiring Chief Information Security Officers. Contributing to this is the industry’s awareness of the havoc an attack can create to both its bottom line and reputation.
Key Takeaways:
“Cybersecurity M&A Activity Shows No Signs of Slowdown” – Jai Vijayan, Dark Reading
https://www.darkreading.com/cloud/no-slowdown-in-cybersecurity-m-a-activity
- In June, it was reported that private equity investments were down.
- However, M&A deals remained strong.
- In following activity up to March 2022, S&P Global Market Intelligence concluded that the median value of such activity was around $97 million.
“SecurityWeek Analysis: Over 230 Cybersecurity Mergers & Acquisitions Announced in First Half of 2022” – Security Week, Yahoo Finance
https://finance.yahoo.com/news/securityweek-analysis-over-230-cybersecurity-120000630.html
- According to a new analysis conducted by Security Week, cybersecurity-related mergers and acquisitions in 2022 are expected to exceed the number recorded in 2021.
- Security Week tracked 234 M&As in the first half of 2022.
- The most occurred in the United States.
“Cybersecurity revenue in tourism to top $2 billion in 2025” – Megha Paul, Travel Daily
https://www.traveldailymedia.com/cybersecurity-revenue-in-tourism-to-top-2-billion-in-2025/
- GlobalData recently summarized that travel and tourism will garner cybersecurity $2.1 billion in revenue in 2025.
- That is an increase over the $1.4 billion earned in 2021.
- Companies within the field have also been turning more and more into investing in hiring Chief Information Security Officers.