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Current Trends in Cybersecurity M&A

It’s a turbulent time in the cybersecurity industry, as with tech in general. With mass layoffs, declining company valuations, and a decrease in private equity investments, people are beginning to worry about the future of M&A in this space.

However, current evidence suggests no imminent slowdown in cybersecurity M&A, according to a recent article on darkreading.com. In recent weeks alone, ReliaQuest announced plans to purchase Digital Shadows for $160 million; Netskope acquired WootCloud, and Lookout acquired SaferPass.Nothing to worry about with cybersecurity M&A

“General economic conditions appear to have made investors a bit more cautious, however: Private equity (PE) investments — which accounted for nearly 40% of merger and acquisition activity last year — are down compared with the same period in 2021, as are company valuations overall. Even so, M&A and venture capital activity in the cybersecurity industry remains robust and shows little sign of a major slowdown.” — darkreading.com

Ultimately — while the cybersecurity industry remains in a state of uncertainty, there seems to be no reason for concern when it comes to M&A, for now. As always, it’s best to keep a close eye on how things are moving and pay attention to any warning signs.

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