Category Archives for "Managed Services News"

Jan 19

AT&T, Verizon Compromise on Airport 5G Controversy, Launch ‘Secret Sauce’ C-Band

By | Managed Services News

C-band could create new use cases for businesses. But do partners actually want to sell 5G?

Business customers gained access to a crucial component of 5G networking on Wednesday amid concerns over how the 5G rollout impacts airplanes.

AT&T and Verizon both switched on 5G services that use “C-band” spectrum, two weeks after pausing the deployment amid an outcry from airlines and regulators about how the service could interfere with flights. However, both wireless providers agreed not to switch on the service in “buffer zones” in close proximity to certain airports.

AT&T and Verizon have already deployed 5G services using mmWave, also known as high-band, spectrum, but C-band, which is part of the mid-band spectrum, provides a more consistent mix of geographical coverage and speed.

Max Silber, MetTel‘s vice president of mobility and IoT, said business mobile users with 5G-enabled phones will see improved network access and speeds.

MetTel’s Max Silber

“Businesses have lagged in the deployment of 5G capable phones because they didn’t really see the benefit of a slightly faster network compared to 4G LTE. 5G C-band will significantly improve network access and speed, in some cases as much as 10 times over LTE,” Silber told Channel Futures. “That makes for a strong business case to enable connectivity for work-from-home employees and verticals with large field forces like health care, trucking and field services.”

Channel partners and analysts agree that the 5G expansion helps move the technology into more actionable customer use cases.

Safety Debate

Despite the eagerness of mobile operators to fire up C-band spectrum, aviation companies and regulators have warned that C-band can interfere with a plane’s radio altimeter (which it uses to measure altitude). Indeed, the Federal Aviation Administration (FAA) says it raised the issue as early as 2015.

A lead pilot working off Boeing Field in Seattle told Channel Futures that his crew has already experienced problems due to C-band. He explained that while older airplanes may experience minimal issues, more advanced planes that use a fly-by-wire system “get rocked.”

“This is a big problem. 5G C-band needs to be shut off immediately until we understand its effects,” the pilot said. “… Airplanes go through years of certification testing to simulate all different kinds of scenarios but in this case we have done zero testing. It’s all by the seat of our pants.”

Verizon and AT&T have protested that C-band spectrum has worked near airports in 40 other countries, including China and South Korea.

“We have voluntarily agreed to temporarily defer turning on a limited number of towers around certain airport runways as we continue to work with the aviation industry and the FAA to provide further information about our 5G deployment, since they have not utilized the two years they’ve had to responsibly plan for this deployment. We are frustrated by the FAA’s inability to do what nearly 40 countries have done, which is to safely deploy 5G technology without disrupting aviation services, and we urge it do so in a timely manner,” an AT&T spokesperson said.

The FAA on Wednesday announced that its new approvals allowed approximately 62% of the U.S. commercial fleet to make low-visibility landings at C-band adjacent airports. The FAA has cleared five different types of altimeters. This news is a development from Jan. 5, when the agency said that 88 airports would not have been available for such landings.

Jason Leigh is research manager for mobility and 5G at IDC. He emphasized that the airport snafu has not paused the rollout of 5G — only the rollout of 5G “super close” to the airports.

Leigh, Jason_IDC

IDC’s Jason Leigh

“By and large, they’re still building out the spectrum. They’re installing the infrastructure. It’s in place,” Leigh told Channel Futures. “It’s simply a matter of when we get to turn these radios on?”

Prognosis?

Leigh initially thought this issue would find a quick resolution when it first arose; however, he said the wireless providers and their counterparts in aviation will need to work out an agreement over time.

Christopher Whitaker, who leads Telarus‘ mobility practice, agreed that …

Jan 19

AT&T, Verizon Compromise on Airport 5G Controversy, Launch ‘Secret Sauce’ C-Band

By | Managed Services News

C-band could create new use cases for businesses. But do partners actually want to sell 5G?

Business customers gained access to a crucial component of 5G networking on Wednesday amid concerns over how the 5G rollout impacts airplanes.

AT&T and Verizon both switched on 5G services that use “C-band” spectrum, two weeks after pausing the deployment amid an outcry from airlines and regulators about how the service could interfere with flights. However, both wireless providers agreed not to switch on the service in “buffer zones” in close proximity to certain airports.

AT&T and Verizon have already deployed 5G services using mmWave, also known as high-band, spectrum, but C-band, which is part of the mid-band spectrum, provides a more consistent mix of geographical coverage and speed.

Max Silber, MetTel‘s vice president of mobility and IoT, said business mobile users with 5G-enabled phones will see improved network access and speeds.

MetTel’s Max Silber

“Businesses have lagged in the deployment of 5G capable phones because they didn’t really see the benefit of a slightly faster network compared to 4G LTE. 5G C-band will significantly improve network access and speed, in some cases as much as 10 times over LTE,” Silber told Channel Futures. “That makes for a strong business case to enable connectivity for work-from-home employees and verticals with large field forces like health care, trucking and field services.”

Channel partners and analysts agree that the 5G expansion helps move the technology into more actionable customer use cases.

Safety Debate

Despite the eagerness of mobile operators to fire up C-band spectrum, aviation companies and regulators have warned that C-band can interfere with a plane’s radio altimeter (which it uses to measure altitude). Indeed, the Federal Aviation Administration (FAA) says it raised the issue as early as 2015.

A lead pilot working off Boeing Field in Seattle told Channel Futures that his crew has already experienced problems due to C-band. He explained that while older airplanes may experience minimal issues, more advanced planes that use a fly-by-wire system “get rocked.”

“This is a big problem. 5G C-band needs to be shut off immediately until we understand its effects,” the pilot said. “… Airplanes go through years of certification testing to simulate all different kinds of scenarios but in this case we have done zero testing. It’s all by the seat of our pants.”

Verizon and AT&T have protested that C-band spectrum has worked near airports in 40 other countries, including China and South Korea.

“We have voluntarily agreed to temporarily defer turning on a limited number of towers around certain airport runways as we continue to work with the aviation industry and the FAA to provide further information about our 5G deployment, since they have not utilized the two years they’ve had to responsibly plan for this deployment. We are frustrated by the FAA’s inability to do what nearly 40 countries have done, which is to safely deploy 5G technology without disrupting aviation services, and we urge it do so in a timely manner,” an AT&T spokesperson said.

The FAA on Wednesday announced that its new approvals allowed approximately 62% of the U.S. commercial fleet to make low-visibility landings at C-band adjacent airports. The FAA has cleared five different types of altimeters. This news is a development from Jan. 5, when the agency said that 88 airports would not have been available for such landings.

Jason Leigh is research manager for mobility and 5G at IDC. He emphasized that the airport snafu has not paused the rollout of 5G — only the rollout of 5G “super close” to the airports.

Leigh, Jason_IDC

IDC’s Jason Leigh

“By and large, they’re still building out the spectrum. They’re installing the infrastructure. It’s in place,” Leigh told Channel Futures. “It’s simply a matter of when we get to turn these radios on?”

Prognosis?

Leigh initially thought this issue would find a quick resolution when it first arose; however, he said the wireless providers and their counterparts in aviation will need to work out an agreement over time.

Christopher Whitaker, who leads Telarus‘ mobility practice, agreed that …

Jan 19

Will Activision Blizzard Punch Microsoft’s Ticket to the Metaverse?

By | Managed Services News

Microsoft could face an uphill battle convincing regulators to approve its $68.7 billion acquisition of Activision.

Microsoft is betting that its agreement to acquire videogaming giant Activision Blizzard will help punch its ticket to the metaverse. Most experts believe there is tremendous upside in $68.7 billion all-cash deal announced Tuesday, despite key hurdles.

The less certain part of Microsoft’s gamble is whether the company can convince regulators to approve the acquisition. Even if it clears that obstacle, Microsoft will inherit a company under scrutiny for imbedded employee misconduct and sexual harassment.

Microsoft officials expressed confidence that the deal will pass muster with regulators and that it can fix Activision’s troubled culture. Moreover, chairman and CEO Satya Nadella believes Activision will markedly expand Microsoft’s gaming franchise and broaden its metaverse ambitions.

In the rapidly growing gaming business, Activision has 400 million paid monthly subscribers of its content. Analysts expect 2021 revenues will total roughly $8.5 billion when the company reports earnings next month.

Nadella explained why it is so important to Microsoft during an investor briefing Tuesday.

Microsoft's Satya Nadella

Microsoft’s Satya Nadella

“Today, we face strong global competition from companies that generate more revenue from game distribution than we do from our share of game sales and subscriptions,” he said. “We need more innovation and investment in content creation and fewer constraints on distribution. And together with Activision Blizzard, that’s what we will be able to deliver.”

Activision, combined with Microsoft’s Xbox gaming business, would create the world’s third largest video gaming provider behind Tencent and Sony.

“The first and foremost opportunity in terms of monetization is of course gaming,” Loup Ventures managing partner Gene Munster said.

Loup Ventures' Gene Munster

Loup Ventures’ Gene Munster

While the metaverse is the next wave in gaming, Microsoft sees it carrying over into how people communicate and work.

Entering the Enterprise Metaverse

By virtue of its broad audience, Activision would expand Microsoft’s total addressable market (TAM). It would also expand the groundwork Microsoft has covered in establishing metaverse as the new user experience in computing.

Metaverse is a loosely defined term describing immersive augmented reality experiences where people represent themselves as avatars or digital twins. Nadella described it as “a collection of communities and individual identities anchored in strong content franchises accessible on every device.”

Last year, Nadella previewed Mesh for Teams, an add-on to Microsoft’s collaboration and meeting platform set to appear by June. Mesh seeks to make meeting participants feel more engaged and productive by bringing holographic, mixed-reality capabilities to Teams.

“In the end, the line between the enterprise and consumer metaverses was always going to be fuzzy, and you can’t focus on just one,” Gartner VP and distinguished said Thomas Bittman told ComputerWorld. “Microsoft is now going big on both.”

Regulatory Challenge

Microsoft and Activision appear to have planned for a lengthy regulatory review process in the structure of the deal. The scheduled close date is the end of Microsoft’s fiscal year 2023, roughly 18 months away. After a record year of mergers and acquisitions in 2021, global regulators are looking to rein in the activity.

In July, President Joe Biden signed an executive order seeking to reduce corporate dominance and expand competition. Among other things, the order encouraged U.S. regulators to increase their scrutiny of the IT industry.

Hours after Microsoft announced the Activision deal, the Federal Trade Commission (FTC) and Department of Justice (DOJ) addressed Biden’s order. The agencies jointly held a briefing to announce that they are seeking to modernize merger guidelines in the U.S. The first step is a request for information seeking public input.

FTC's Lina Khan

FTC’s Lina Khan

FTC chair Lina Khan said global deal making last year rose to $5.8 trillion, the highest on record. Merger approval filings in 2021 were more than double the average filed during the past five years, according to Khan.

“While periodic review of existing guidance is good practice generally, this review of the merger guidelines is especially timely and right,” Khan said. “Evidence suggests that many Americans historically have lost out with the diminished opportunity higher prices lower wages in lagging innovation.”

FTC and DOJ officials said they were not …

Jan 19

Fusion Connect Raises $55 Million in New Investment Round, Reduces Debt

By | Managed Services News

The new capital structure enables the company to embark on organic growth.

Fusion Connect is primed for further growth with a $55 million new investment round and a refinanced $60 million credit facility.

The new investment round and refinancing are part of an overall recapitalization of Fusion Connect’s balance sheet. It provides full funding for its long-term growth strategy, while simultaneously reducing debt by over 80%.

Following receipt of required regulatory approvals, Morgan Stanley Private Credit, via its affiliated or managed funds, will become the majority shareholder in the company.

The new capital structure enables the company to pursue organic growth. It will accelerate investments in product development, sales and marketing, and human capital. In addition, it will invest in a next-generation client management portal for midsize and enterprise clients.

Best Financial Standing in Fusion Connect’s History

Mario DeRiggi is Fusion Connect‘s chief revenue officer. He said Fusion now has the best financial standing in the company’s history.

Fusion Connect's Mario DeRiggi

Fusion Connect’s Mario DeRiggi

“This means we will be able to have more dedicated human and financial resources to substantially expand our reach within the partner community,” he said. “Now more than ever, we will be able to meet partners where they are, when they need us, and do that with unmatched service levels. Add to that our comprehensive service guarantee and we are now providing a truly unmatched, frictionless partner experience that empowers our partners to deliver meaningful outcomes and expand revenue.”

The channel has always been a core part of Fusion Connect’s strategic growth, DeRiggi said.

“We will continue to work with our partner community to offer a comprehensive suite of technology solutions and unmatched partner experience to best meet the needs of their end user customers and accelerate business outcomes,” he said. “Our commitment to our partners’ success is what differentiates us from our competitors. Our goal every day is to make the lives of our partners easier. And this new funding will give us added flexibility to further invest in our partners’ success. We constantly engage and listen to our partners’ needs. We will continue listening and making improvements that benefit our partners and their clients.”

What Channel Partners Need

Channel partners want suppliers that are reliable, flexible and able to provide “flawless” service to their customers, DeRiggi said.

Fusion Connect is well positioned now and, in the future, to meet this challenge,” he said.

Partners can expect more engagement in existing and new markets, DeRiggi said.

Ashwin Krishnan is co-head of Morgan Stanley Private Credit North America.

“We look forward to partnering with Fusion Connect in this next phase of the company’s journey that builds on material improvements in the business’ operational metrics and product portfolio driven by the talented management team,” he said.

Jan 19

DataBank Buys 4 Data Centers from CyrusOne for $670 Million

By | Managed Services News

The company’s expansion into the Houston market makes it the 27th U.S. metro it’s entered.

DataBank Data Centers, the provider of enterprise-class colocation, interconnection and managed cloud services, will buy four data centers in the Houston area from CyrusOne for $670 million.

The transaction will make Houston the 27th major U.S. metro market in DataBank’s portfolio. It solidifies what is already the largest edge infrastructure footprint in the United States. The company also has locations in the United Kingdom and France. The four Houston facilities will collectively add more than 300,000 square feet of raised-floor data center capacity. They will also carry 42.5 MW of critical IT load. Part of the mix is a roster of blue-chip customers from the area’s fast-growing health care, financial, energy, media and software sectors. DataBank’s total portfolio will now feature more than 65 facilities and 2 million square feet of raised-floor data center capacity.

DataBank's Raul Martynek

DataBank’s Raul Martynek

Raul Martynek is DataBank’s CEO.

“We are excited to add the Houston market to the DataBank portfolio,” Martynek said. “With our deep roots in Texas, it was a logical metro for us to expand into and allows us to bring our digital infrastructure and interconnection solutions to the fourth largest metro in the U.S. With the addition of Houston, DataBank now covers 27 metro markets, a larger geographic footprint in the U.S. than any other data center operator.

Houston Footprint

The four Houston facilities include the one known as the CyrusOne Galleria data center. There three other facilities are within 20 minutes west of downtown Houston. The Houston West Campus is the metro’s primary interconnection point. It has over 30 fiber networks, 3,500 cross connects and public cloud on-ramps from AWS and Google.

Expect the transaction to close late in the first quarter of 2022.

DataBank has had several notable acquisitions in recent years. In 2020, the company bought 44 Zayo data centers through its acquisition of zColo, Zayo‘s colocation division.

Jan 19

Bridgepointe ‘Certainly’ Looking to Buy Partners as Part of Investment

By | Managed Services News

Charlesbank Capital Partners announced a growth investment of more than $100 million into the firm last week.

Bridgepointe Technologies will grow its staff and pursue acquisitions thanks to its recent private equity funding.

The California-based technology solutions brokerage (TSB) last week announced a $100 million-plus growth investment from Charlesbank Capital Partners. As a result, 20-year-old Bridgepointe will most likely triple its staff in the upcoming two years, according to co-founder Scott Evars.

Moreover, Evars said Bridgepointe will evaluate regional TSBs and other partners who bring diverse geographic footprint and a growth mindset.

Evars spoke to Channel Futures in depth about Bridgepointe’s expansion plans. We have edited the transcript for length and clarity.

Channel Futures: How did you find Charlesbank?

Evars, Scott_Bridgepointe

Bridgepointe Technologies’ Scott Evars

Scott Evars: As you know, there’s been a ton of investment activity, starting all the way back with [ScanSource buying] Intelisys. That has steadily ramped up over the last year or so. Having done this for 20 years on our own, we started accepting more calls. We hadn’t really accepted calls for a period of time. Charlesbank, along with a few others, reached out to us. And we started having meetings with them in the late spring. We kind of hit the pause button on our conversations and hired the investment banking firm Q Advisors out of Denver. We got a little bit more disciplined around exactly what our pitch was and went through quality of earnings. Ultimately we ran a process and then selected Charlesbank, whom we were talking to six months prior.

The main thing with Charlesbank is that from the beginning it was obvious that they spent a lot of time understanding our space and, more specifically, us. Ultimately, they are firm believers in our model, mission and vision of starting at the customer. That’s our mission and vision; to be with our IT strategists in front of mid- and large enterprise customers to help them make the best IT decision for their company. And Charlesbank were the ones who are most interested in that model, but also believed in the acceleration of that and the total addressable market opportunity that’s out there.

Scroll through our slideshow above for the rest of the Q&A, including Evars’ take on expanding his staff; plus, how Bridgepointe Technologies has evolved over the years and what he thinks of all of the private equity entering the channel.

Jan 19

1Password Closes $620 Million Funding Round At $6.8 Billion Valuation

By | Managed Services News

Celebrities and business leaders also contributed to 1Password.

1Password has closed a $620 million Series C funding round, raising its valuation to $6.8 billion.

Iconiq Growth led the way, with participation from Tiger Global, Lightspeed Venture Partners and Backbone Angels. It’s the largest round raised by a Canadian company. Accel, which led the company’s Series A and B funding, also participated.

This 1Password funding round also attracted investment from celebrities like Ryan Reynolds, Scarlett Johansson, Robert Downey Jr., Matthew McConaughey and more.

Business leaders like Jeff Weiner, LinkedIn’s executive chairman; Robert Iger, former CEO and chairman of the Walt Disney Co.; and Mary Barra, General Motors’ CEO, also contributed.

More than 100,000 businesses, including IBM, Slack and Snowflake, use the company’s password management and credentials security platform.

Partners Play Many Roles in 1Password’s Growth, Expansion

Jeff Shiner is 1Password‘s CEO.

1Password's Jeff Shiner

1Password’s Jeff Shiner

“Our partners play many roles when it comes to our growth and expansion, and addressing the unique needs of our customers in global markets,” he said. “They’re a strong support in our mission to continue delivering on our promise of protecting businesses by keeping employees, at the individual level, secure. They also help us to better reach new customers, deliver a more human-centric extensible platform through product partnership integrations and co-development, and deliver world-class customer experiences through service providers, affiliates and other market influencers.”

In the near term, 1Password is deepening its current partnerships, Shiner said. It’s also bringing its security insights and services to market to address shadow IT, and ultimately delivering human-centric security.

“Capital from our Series C funding round is going to help us scale and accelerate execution toward achieving our mission of humanizing digital security,” he said. “And our partners will feel that too. While we don’t technically need the money, this funding round has come at the right time as we gear up for an even bigger year.”

1Password plans to build on its hiring momentum and will continue expanding into new international markets,” Shiner said.

“This new round of funding will also allow us to continue working towards executing our future product road map — developing and scaling much-needed, human-centric security solutions for everyone, in collaboration and with support from our partners,” he said.

Opportunity for Partners ‘Never Been Greater’

The opportunity for 1Password and its partners has never been greater, Shiner said.

“This injection of capital will help us continue expanding the business, developing our product vision and road map, introducing 1Password to more users, and building the exceptional team that we’ll need to get there,” he said. “Our human-centric approach to security is a crucial part of why we’ve been successful as a business to date. And we’re ready to continue tackling the biggest security threats facing the modern workforce.”

Over the last two years, 1Password has accelerated expansion, especially in its B2B business, where it grew more than 70% year over year. It also launched new product offerings, including 1Password 8 for Windows, 1Password Events, Psst password sharing and Secrets Automation.

Will Griffith is a founding partner at Iconiq Growth.

“In conversations with more than 100 CISOs, CIOs, CTOs, developers and IT leaders, we were impressed by their overwhelmingly fierce passion for 1Password’s ability to balance strict security standards with a profound understanding of how humans behave,” he said. “By making safe online behavior second nature, 1Password is not only protecting individuals, but also the enterprises where they work.”

Jan 19

Telia Carrier Rebrands as Arelion, Backed by Swedish Pension Funds

By | Managed Services News

Arelion will continue to expand its global network to provide network connectivity.

Telia Carrier has changed its brand to Arelion. The rebranding reinforces the Sweden-based company’s goal to provide premium global connectivity services to the world’s largest operators, content providers and enterprises.

Arelion is a new independent company backed by Polhem Infra, an investment company jointly owned by some of the largest Swedish Pension Funds.

Arelion is the world’s best-connected network spanning Europe, North America and Asia, the company said. It has more than 70,000 km of optical fiber and 1,700 MPLS endpoints, connecting customers in 125 countries. Enterprises from gaming to finance depend on the operator’s services. These include global internet transit, wavelengths, Ethernet, mobile data and wholesale voice termination.

Internet Backbone

Arelion's Staffan Göjeryd

Arelion’s Staffan Göjeryd

Staffan Göjeryd is CEO of Arelion.

“We live in the age of connectivity where people and businesses interact in real-time, all the time — wherever they are. As we move forward as Arelion, one thing that won’t change is the core of our business: the people, our customers and partners that bring us together,” Göjeryd said. “Arelion will continue to support the mission that has resulted in 30-plus years of success. And we will continue to execute on our mission to connect the world to a brighter future and deliver the highest quality of services to our customers. That’s all possible thanks to our investors at Polhem Infra, who share the same focus and vision for us.”

Over the past 30 years as Telia Carrier, Arelion built AS1299, its internet backbone, which today powers nearly 65% of all internet routes. Arelion leverages a legacy and relentless focus on customer excellence made possible by a unique culture, the company said. The company fixes 80% of customer issues at the first line.

Arelion will continue to expand its global network to provide the network connectivity. The goal for the future is to remain focused on growth through market enablement, cost and speed, the company said. Arelion will continue to capitalize on the shift to buying wavelength and Ethernet services. This will enable service providers and large enterprises to take full advantage of the company’s high-speed network infrastructure.

Channel Partners

Arelion representatives have not stated whether the rollout of the new company will affect their channel program. In 2020, Telia Carrier targeted value-added resellers (VARs) and agents through a new partner program. The Conflict-Free Channel Program allows partners to work directly with seasoned Telia Carrier, now Arelion, account directors, the company said.

And at the end of last year, the company expanded its channel team with the appointment of William Drake to channel development manager.

Arelion’s Rob Pulkownik

Arelion’s Rob Pulkownik

Rob Pulkownik is Arelion’s head of channel sales.

“As Telia Carrier continues to grow and transform as a new standalone company, we remain committed to expanding service and support for our partners and increasing distribution through our … channel program,” Pulkownik said. “By building out our team, we are poised to better support our partners in delivering leading wholesale connectivity services to their enterprise customers.

Jan 19

Disti, TSB Update: Ingram, Avant, TD Synnex, Jenne, Master Agent Rebrand, More

By | Managed Services News

Acquisitions, private equity funding, new suppliers and new programs.

Technology distributors and brokers announced big financial transactions and personnel appointments in the closing months of 2021.

Distribution continues to carve out a role for itself as an intermediary between customer-facing partners and the vendors whose offerings they sell. However, executives have their hands full with the rise of ecosystems and the increased emergence of super-partners.

The Global Technology Distribution Council (GTDC) proclaimed in November have “effectively adapted” to the changes of the last two years. For example, distributor cloud sales grew 27% in 2020, and distis are poised to take a chunk out of the XaaS market, according to the council.

In the meantime, the technology solutions brokerages (formerly known as master agents) and their partners got the jump on cloud. The TSB space continues to attract outside investment, with Avant earning private equity money in the fourth quarter.

The 15 images above encapsulated some of the biggest news in the traditional IT distribution and telecom brokerage markets in Q4 2021.

Check out our Q3 recap if you missed it.

 

Jan 19

McAfee Enterprise, FireEye Emerge as Trellix, a $2 Billion Cybersecurity Titan

By | Managed Services News

McAfee Enterprise and FireEye have emerged as a new company under the name Trellix. The company focuses on extended detection and response (XDR).

Trellix is the latest Symphony Technology Group (STG) entity. It stems from the previously announced merger of McAfee Enterprise and FireEye in October. STG acquired both companies last year.

Eric Parizo is principal analyst of Omdia’s cybersecurity operations intelligence service. (Omdia and Channel Futures share a parent company, Informa.) He said Omdia was first to predict the merger of McAfee and FireEye back in June of last year. The formal operating union between the two has been a long time coming.

Omdia's Eric Parizo

Omdia’s Eric Parizo

“Trellix instantly becomes a $2 billion cybersecurity industry titan, with products that span the network, endpoint, cloud, security operations, data security and other areas,” he said. “But it also faces many questions, particularly how two companies that were each sliding into industry irrelevancy can reinvent themselves together.”

STG should launch the McAfee Enterprise secure service edge (SSE) portfolio as a separate business later this quarter. That includes cloud access security broker (CASB), secure web gateway (SWG) and zero trust network access (ZTNA).

Ditching FireEye Brand a ‘Costly Mistake’

Omdia believes the Trellix rebrand will prove to be a “costly mistake,” Parizo said. It was “idiotic” for CEO Bryan Palma to abandon the FireEye brand.

“FireEye is an established, respected brand that has enjoyed years of success,” he said. “The FireEye name alone can open doors. Trellix, however, as a brand is highly likely to face the same challenges as Forcepoint. The Trellix name has no clear connection to security. And it doesn’t help articulate what the company actually is or does.”

Here’s how STG describes the new name:

“The new name evokes the structure of a trellis, a strong and safe framework used to support the structured growth of climbing plants and trees. Together, Trellix will deliver its brand promise to build resilient and confident organizations through living security — security technology that learns and adapts to protect operations from the most advanced threat actors.”

Benefits of XDR

Trellix's Bryan Palma

Trellix’s Bryan Palma

Trellix’s XDR is designed to accelerate the effectiveness of security operations by providing customers with the capability to ingest more than 600 native and open security technologies. Therefore, analysts can save time and act decisively to remediate threats. ​

“As today’s organizations push to achieve digital transformation, a strong security foundation is required to ensure continued innovation, growth and resiliency,” Palma said. “Trellix’s XDR platform protects our customers as we bring security to life with automation, machine learning (ML), extensible architecture, and threat intelligence.”

Scroll through our slideshow above for more on Trellix.

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