Information evaluation Q&A: Shake up of the SIEM, UEBA markets continues as LogRhythm-Exabeam merge – Cyber Tech

By Byron V. Acohido

It’s straightforward to compile a guidelines on why the introduced merger of LogRhythm and Exabeam may probably make strategic sense.

Associated: Cisco pays $28 billion for Splunk

LogRhythm’s is a protracted established SIEM supplier and Exabeam has been making hay since its 2013 launch advancing its UEBA capabilities. Combining these strengths falls consistent with the drive to make cloud-centric, hyper-interconnected firm networks extra resilient.

Forrester Principal Analyst Allie Mellen observes: “The mixed group is more likely to push arduous within the midmarket, the place LogRhythm’s current suite has had success and the Exabeam consumer expertise makes it a extra pure match.”

Regardless of the promising synergies, Mellen cautioned that the merger alone wouldn’t resolve all challenges. “Each of those corporations have confronted challenges lately that aren’t solved by a merger,” she provides. “These embody problem preserving tempo with market innovation and with the transition to the cloud.” she stated.

Final Watchdog engaged Mellon in a drill down on different ramifications. Right here’s that alternate, edited for readability and size.

LW: How tough is it going to be for LogRhythm and Exabeam to align their differing market focuses; what potential conflicts are they going to need to resolve?

Mellen

Mellen: The businesses have dramatically completely different firm cultures and processes, as LogRhythm is a veteran safety companyfounded in 2003 with a deal with a suite-style providing, whereas Exabeam is, by comparability, a youthful firm based in 2012 with a deal with modular, stand-alone merchandise.

As well as, each corporations have confronted challenges lately that aren’t solved by a merger: problem preserving tempo with market innovation and with the transition to the cloud. LogRhythm has historically centered on the midmarket, whereas Exabeam aggressively pursued giant enterprise offers, highlighting a distinction in goal market that have to be bridged.

LW: How do you see them competing in opposition to the hyperscalers, i.e. Microsot, AWS and Google, who’re muscling into this area?

Mellen: Since 2018 we have now talked about how the Tech Titans are altering the cybersecurity market. The previous few years have demonstrated the accuracy of that prediction, with Microsoft, AWS, and GCP having an outsize influence on the safety market.

This acquisition is, partially, to assist each corporations proceed to be aggressive on this market in opposition to the likes of the Tech Titans. Nonetheless, whereas the hyperscalers are investing closely in safety, the mixed entity will probably be enjoying catch-up attempting to combine two very completely different merchandise and firms into one.

LW:  What particular areas of innovation ought to the merged entity prioritize to remain aggressive?

Mellen: LogRhythm and Exabeam are more likely to expertise a interval of innovation stagnation as they work to mix. Crucial first step for them: getting the mixed entity and merchandise aligned. As soon as they’ve addressed that, the innovation they push ahead must be centered on serving the mid market. That’s the place they will have essentially the most influence with the mixed providing. As all the time, ease of use, log pipeline administration, and high quality of analytics are among the greatest challenges for SIEM distributors and must be the mixed entity’s focus.

LW: In what methods may the mixed issues higher serve mid-market enterprises, even perhaps SMBs, as nicely?

Mellen: The mixed entity ought to goal the mid market and SMBs. LogRhythm has centered there, and although Exabeam beforehand focused giant enterprise, its consumer interface and ease of consumer makes it a very good match to convey down market.

LW: Anything?

Mellen: Between this merger, Cisco’s acquisition of Splunk, and IBM promoting QRadar belongings to Palo Alto Networks, the SIEM market is present process a sequence of high-profile modifications. A lot of that is pushed by stress from the Tech Titans, XDR suppliers, and the realities of a hybrid, multi-cloud world. Anticipate extra consolidation within the SIEM market within the subsequent yr.

Pulitzer Prize-winning enterprise journalist Byron V. Acohido is devoted to fostering public consciousness about the way to make the Web as personal and safe because it should be.

Could twenty second, 2024 | Q & A | Prime Tales | Uncategorized