No matter the business sector, mergers, and consolidations remain a normal part of any evolving industry. Companies combine with others with the hopes of leveraging economies of scale to improve efficiency, productivity, and profitability. This approach ultimately allows this new larger organization to better compete in a challenging modern economy.
Not surprisingly, many tech industry pundits feel the growing world of cybersecurity is ripe for mergers. So let’s take a look at this potential trend to inform your own business’s long-term planning process. After all, it’s a scenario that might end up influencing your company’s future cyber staffing and capital expenditures.
What Mergers Are Coming to the Cybersecurity Industry?
Some Tech Pundits Predict Consolidations For The SecOps Industry
The growth in demand for business cybersecurity services created a spate of new startups in this space. When multiple attractive smaller firms exist in a business sector championing technical innovation, expect mergers to follow. This is especially the case when the economy takes a downturn, even with that strong demand for SecOps services.
Dave DeWalt, the former CEO of FireEye and McAfee, commented on the potential consolidation trend in the cybersecurity world. “I really think we’re going to enter into the second half of 2022 with one [acquisition] after another,” said DeWalt. He even predicts some of these mergers to be rather large.
Note that emerging cybersecurity businesses still relying on venture capital investments remain attractive targets for larger firms. Smaller businesses boasting innovative SecOps technologies with investors looking to cash out might even advertise their availability for purchase. Keep this in mind if your company is looking to expand by acquisition. Additionally, expect some SecOps professionals to look for other opportunities after their company merges with another.
Cybersecurity Hiring on The Increase Despite Consolidation Rumors
Even with a predicted slate of mergers on the horizon, many SecOps companies plan on boosting their hiring. The Great Resignation and the failure of some smaller IT employers increased the amount of cyber talent on the market. So despite the strong demand for talent, many organizations hope to add SecOps employees throughout the rest of 2022.
Remember, to successfully hire talented and experienced cyber professionals, and your company needs to make a generous offer. Including a sign-on bonus also helps seal the deal, especially when a candidate boasts multiple offers. Notably, having a company culture focused on cybersecurity and professional advancement serves to attract and retain talented SecOps pros.
Need to Find Talent?
When searching for a top-shelf SecOps staffing agency, look no further than the team at Redbud Cyber. As one of the top employment firms in cybersecurity, we provide exceptional candidates to help your business. Schedule some time with us to discuss the benefits of partnering with us for your hiring needs.