VMware (VMW - Free Report) recently announced its plans to acquire Octarine, an early-stage startup during Connect 2020, the company’s annual cybersecurity user and partner conference. The terms of the deal were not disclosed.
Octarine’s innovative security platform for Kubernetes applications helps simplify DevSecOps and enables cloud-native environments to be intrinsically secure from development through runtime.
Following the acquisition’s close, Octarine’s technology will be embedded into the VMware Carbon Black Cloud. The technology will support security features for containerized applications running in Kubernetes and enable security capabilities as part of the fabric of the existing IT and DevOps ecosystems.
Kubernetes Holds Promise for 2020
Kubernetes, which enables seamless deployment of multiple applications on a single OS and automates various processes such as monitoring, scaling scheduling of those applications, holds promise for 2020 with the emerging need for virtual infrastructure. In fact, all of these processes are driving the application container market.
Per a report from Grand View Research, the global application container space is expected to witness a CAGR of 26.5% between 2019 and 2024.
VMWare’s Kubernetes Efforts
Building Octarine's Kubernetes security platform into the VMware security portfolio will benefit customers in ways such as providing full visibility into cloud-native environments and helping them create content-based policies to protect sensitive information.
Moreover, the integration builds risk analysis into the devOps lifecycle to identify problems before applications are deployed into production.
Further, Octarine’s capabilities will also integrate and leverage the VMware Tanzu platform, including current investments in Service Mesh and Open Policy Agent.
Tanzu aims to bring Kubernetes containers and VMware's virtual machines together on a single management platform. Additionally, it includes technology preview of Project Pacific, which is focused on transforming VMware vSphere into a Kubernetes native platform in a future release.
Acquisitions like Octarine along with a growing Tanzu portfolio are expected to boost the recurring hybrid cloud subscription and SaaS revenues in the long haul.
In early 2020, VMware completed its acquisition of Pivotal Software for $2.7 billion, originally announced in August 2019. Pivotal’s operations have been combined with VMware’s Cloud Native Applications team under the newly formed Modern Applications Platform business unit.
Along with the previous deal to buy Kubernetes startup Heptio for $550 million, VMware is using Bitami, which was acquired in May 2019 to provide a catalog of pre-built Kubernetes clusters.
At the same time, the company has been building up its security offerings, having acquired Carbon Black for $2.1 billion last year.
VMware Announces Next-Gen SOC Alliance
During Connect 2020, VMware launched a Next-Gen Security Operations Centre (SOC) Alliance with multiple SIEM (security information and event management) and SOAR (security orchestration, automation and response) software providers including Splunk (SPLK - Free Report) , International Business Machines (IBM - Free Report) Security solution, Alphabet (GOOGL - Free Report) owned Google Cloud’s Chronicle, Exabeam and Sumo Logic.
VMware’s Carbon Black Cloud will integrate with vendor’s features to deliver key XDR capabilities and power modern-day security operations centers.
Additionally, the Zacks Rank #3 (Hold) company will also automate and orchestrate threat investigation and response, which VMware says will allow SOCs to scale and standardize their processes. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The alliance aims to provide SOC teams with these SIEM and SOAR vendors’ visibility, prevention, detection, and response capabilities using the VMware fabric and the company’s console to centralize security events and provide context.
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