Published on: January 5, 2022
Alphabet Inc-owned Google said in a Jan. 4 blog post that it has acquired Israeli cybersecurity startup Siemplify. This comes as the US tech giant expands its security offerings amid increasing cyber attacks.
While financial details were not disclosed by the companies, reports from a source familiar with the transaction said that Google paid $500 million in cash to acquire Siemplify.
The deal comes after Google made a pledge to US President Joe Biden last August to invest $10 billion in cybersecurity over the next five years, as cyber attacks and data breaches have continued to rise significantly.
Led by co-founder and chief executive Amos Stern, Siemplify provides security orchestration, automation, and response solutions. The company has raised $58 million total from investors, including G20 Ventures and 83North.
According to a Jan. 4 statement by Siemplify, it has now officially entered a partnership with Google Cloud through this deal. The cybersecurity startup drew Google’s interest since it was in the process of raising a new round of private capital, according to reports.
“Today, the Siemplify platform is trusted by many of the world’s leading security teams, from Fortune 500 companies to world-class MSSPs,” Siemplify co-founder Amos Stern said in the statement. “The challenges we set out to solve are only becoming more profound, and organizations are facing an unprecedented volume of cybersecurity threats — all as the shortage of skilled personnel to address these threats remains at an all-time high. There is a need and opportunity to grow our business to meet these challenges.”
Since the onset of the Coronavirus pandemic in 2020, Google’s revenue from its cloud business has nearly doubled to around $5 billion as more companies shifted to working remotely from home. The need for protection against security threats has also increased significantly as a result. This development has caused large corporations to invest more of their time and resources on cybersecurity products.
Google said Siemplify’s platform would be integrated into its cloud software and serve as the cornerstone for the cybersecurity capabilities it will invest in as a company.