Google confirms acquisition of cybersecurity startup Siemplify
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Google (NASDAQ:GOOGL) has confirmed that it has acquired Israeli cybersecurity startup Siemplify for a reported $500 million.
Siemplify specializes in end-to-end security services for businesses, a portfolio of services known as security orchestration, automation and response, or SOAR.
Following the acquisition, Siemplify will become a part of the Google Cloud's security team, joining its Chronicle operation.
"We plan to invest in SOAR capabilities with Siemplifyâs cloud services as our foundation and the teamâs talent leading the way," Google wrote in a blog post, announcing the deal. "Our intention is to integrate Siemplifyâs capabilities into Chronicle in ways that help enterprises modernize and automate their security operations."
Following news of the deal, several cyber security companies traded lower, with Fortinet (NASDAQ:FTNT), Crowdstrike Holdings (NASDAQ:CRWD) and Palo Alto Networks (NASDAQ:PANW)
all declining more than 3% in early Tuesday trading.
Last month, hedge fund manager Dan Niles recommended that investors keep their powder dry headed into 2022, suggesting that cash might represent the best option. However, he specifically called out Google parent Alphabet (GOOGL) and Meta Platforms (NASDAQ:FB) as two tech stocks he likes.